16. Phil's deferred annuity has accumulated interest earnings of $5,000 and a cost basis of $50,000. He takes a $6,000 withdrawal. How much of that withdrawal would be considered taxable income to him? oa. Nothing would be taxable. ob. $1,000 OC. $5,000 od. $6,000
16. Phil's deferred annuity has accumulated interest earnings of $5,000 and a cost basis of $50,000. He takes a $6,000 withdrawal. How much of that withdrawal would be considered taxable income to him? oa. Nothing would be taxable. ob. $1,000 OC. $5,000 od. $6,000
Chapter2: Gross Income And Exclusions
Section: Chapter Questions
Problem 14MCQ
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9
![16. Phil's deferred annuity has accumulated interest earnings of $5,000 and a cost basis of
$50,000. He takes a $6,000 withdrawal. How much of that withdrawal would be considered
taxable income to him?
oa. Nothing would be taxable.
ob. $1,000
c. $5,000
od. $6,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F271b00bc-75b2-47db-8d97-f3cf434d15a8%2F0664a526-cab7-4138-b194-e328cbeedd11%2Foo0z1tf_processed.png&w=3840&q=75)
Transcribed Image Text:16. Phil's deferred annuity has accumulated interest earnings of $5,000 and a cost basis of
$50,000. He takes a $6,000 withdrawal. How much of that withdrawal would be considered
taxable income to him?
oa. Nothing would be taxable.
ob. $1,000
c. $5,000
od. $6,000
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