Question: Phyllis received a death benefit under a $ 2 5 0 , 0 0 0 life insurance policy that was included in her deceased husband's

Phyllis received a death benefit under a $

250, 000

life insurance policy that was included in her deceased husband's qualified plan. How much of the death benefit is taxable income to her if the policy's cash value was $

50, 000

at the time of death and her husband had a $

5, 000

cost basis in the plan?

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