The Internal Revenue Code limits deferral by requiring that minimum distribution must begin for the calendar year in which the

Question

Quizplus · Accepted Answer

The correct answer is E because the Internal Revenue Code requires that minimum distributions must begin for the calendar year in which the account holder turns 70½ and must be paid no later than April 1 of the following year. This is known as the required minimum distribution (RMD) rule.

The Internal Revenue Code Limits Deferral by Requiring That Minimum