Early Distributions from Qualified Retirement Plans Are Assessed a 10

question 47

Multiple Choice

Early distributions from qualified retirement plans are assessed a 10 percent penalty tax.However,there are some exceptions to this rule.All of the following distributions would be exempt from the penalty tax EXCEPT

• A)distributions made after age 59.5.
• B)distributions made when an employee of any age changes employers.
• C)distributions made after the death or permanent disability of the employee.
• D)distributions that are part of a series of substantially equal payments over the worker's life expectancy.

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Definitions:

Mitochondrial Donation

A medical technique that involves replacing faulty mitochondria with healthy ones from a donor to prevent mitochondrial diseases.

Mitochondrial Disorders

A group of diseases caused by dysfunction of the mitochondria, the organelles that generate energy for the cell.

Mitochondria

Organelles found in the cytoplasm of eukaryotic cells that generate most of the cell's supply of ATP, used as a source of chemical energy.

Mitochondrial Matrix

The innermost compartment of mitochondria, filled with enzymes that are involved in energy production through the citric acid cycle.