$12/2/24,3$:$12$ PM

Realue Vour Potential HAR Bleck

Test $-$ Tax Analyst Certification Test $(202$a$)$

General Tax Topics: Retirement Contributions, Distributions, and Adjustments to Income

Question $8$ of $75.$

During $2023,$ Lisa $($age $54),$ took a $$12,500$ distribution from her traditional IRA. She used the distribution to pay qualfied education expenses for her husband's grandson, Joshua. Joshua is attending a state university, and that year, his tuition expenses alone were more than $$20,000.$ Neither Lisa nor her husband will claim Joshua as a dependent. How much of Lisa's distribution is subject to the $10\%$ additional tax on early distributions?

$($ $$12,500$

$$10,000$

$ $$2,500$

$$0($None of Lisa's distribution is subject to the $10\%$ additional tax on early distributions.$)$

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