4.6.1 Basic Quiz -- IRA Owner/Spouse Distributions

An IRA is a "qualified" retirement plan.

True False

An IRA owner cannot take any distributions from an IRA until he or she reaches 72.

True False

There are two primary benefits for a traditional IRA.

True False

If an IRA is invested in stock and those stocks are sold with the proceeds distributed to the IRA owner, the taxation of those proceeds will be at capital gains rates because they were from the sale of stock.

True False

There is no penalty to an IRA owner for not taking a minimum distribution after age 72.

True False

A surviving spouse must have been the sole beneficiary of an IRA in order for him or her to be able to roll over that IRA into his or her own IRA.

True False

There is only one table used to determine the minimum distributions for an IRA owner.

True False

A surviving spouse, if given the option, should generally roll over a decedent spouse's IRA because it will allow him or her to take smaller distribution over his or her lifetime.

True False

An IRA owner who reaches 73 can wait until the following April 1 to take his or her first required minimum distribution.

True False

If a person inherits an IRA from a decedent spouse and rolls over that IRA, he or she can take occasional distributions from the IRA before reaching 59½ without paying the 10% penalty.