Recommendations & StrategiesPregunta 65 de 110
Which statement about a 529 college savings plan is accurate?
a.Earnings grow tax-deferred and qualified education withdrawals are tax-free
b.Contributions are federally tax-deductible in all cases
c.Funds can be withdrawn tax-free for any purpose
d.Only the beneficiary may control the account
Explicación
A 529 plan allows investments to grow tax-deferred, and withdrawals used for qualified education expenses are free from federal income tax. Contributions are not federally deductible, though some states offer a state tax benefit. Non-qualified withdrawals of earnings are taxed and may incur a penalty.
Practica las 110 preguntas gratis — sin registro.
Preguntas relacionadas de este tema
- An efficient frontier graph plots portfolios according to which two dimensions?
- A client in a high tax bracket seeking tax-advantaged income would most likely benefit from which of the following?
- A bond ladder strategy is designed primarily to accomplish which of the following?
- An investor holds a portfolio of 30 stocks across many industries. Which risk remains that cannot be diversified away?
- A required minimum distribution (RMD) generally applies to which type of account?
- An adviser evaluating two portfolios with equal returns should generally prefer the one with which characteristic?
Última revisión: · proceso editorial
Equipo Editorial de PrepPass · Verificado con NASAA Series 65 Investment Adviser Law Exam · Cómo revisamos