Question: Progress: 1 7 / 2 0 items Question Content Area Len and Marilyn got a divorce. Marilyn has $ 1 5 0 , 0 0

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Len and Marilyn got a divorce. Marilyn has $150,000 in a 401(k), all pre-tax contributions, and the court issued a QDRO stating that half of that balance be transferred to Len. Len puts the money into a rollover IRA. What are the tax implications for Len?
a. Len will pay 10% that is automatically withheld on the transferred amount.
b. Len will not be taxed until he starts taking distributions.
c. Len will be taxed on the $75,000 as ordinary income.
d. Len will be taxed on the $75,000 as a capital gain.

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