c. Jimmer opened the Roth account 76 months before he withdrew the $21.500, and Jimmer is age 62. Tax Penalty

CONCEPTS IN FED.TAX.,2020-W/ACCESS
20th Edition
ISBN:9780357110362
Author:Murphy
Publisher:Murphy
Chapter15: Choice Of Business Entity—other Considerations
Section: Chapter Questions
Problem 58P
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Problem 13-77 (LO 13-4) (Algo)
[The following information applies to the questions displayed below)
Jimmer has contributed $20,000 to his Roth IRA, and the balance in the account is $23,000. In the current year, Jimmer
withdrew $21.500 from the Roth IRA to pay for a new car. If Jimmer's marginal ordinary income tax rate is 23 percent, what
amount of tax and penalty, if any, is Jimmer required to pay on the withdrawal in each of the following alternative
situations?
Note: Leave no answers blank. Enter zero if applicable.
Problem 13-77 Part c (Algo)
c. Jimmer opened the Roth account 76 months before he withdrew the $21,500, and Jimmer is age 62.
Tax
Penalty
Transcribed Image Text:Required information Problem 13-77 (LO 13-4) (Algo) [The following information applies to the questions displayed below) Jimmer has contributed $20,000 to his Roth IRA, and the balance in the account is $23,000. In the current year, Jimmer withdrew $21.500 from the Roth IRA to pay for a new car. If Jimmer's marginal ordinary income tax rate is 23 percent, what amount of tax and penalty, if any, is Jimmer required to pay on the withdrawal in each of the following alternative situations? Note: Leave no answers blank. Enter zero if applicable. Problem 13-77 Part c (Algo) c. Jimmer opened the Roth account 76 months before he withdrew the $21,500, and Jimmer is age 62. Tax Penalty
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