How much of jermaine distribution is taxable

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Problem 1: Jremained, a retired single taxpayer, began receiving a monthly pension from his former employer's qualified plan in January 2019. He was 66 years old when he received his first payment and the pension will pay over the course of his life. He received a 1099-R for the tax year shoeing a gross distribution of $8000 in box 1. Code 7 in box 7, and total employee contributions of $20,000 in box 9b. Box 2a is blank and box 2b indicates that the taxable amount is not determined. How much of Jermaine's distribution is taxable?

Option 1: $6588
Option 2: $6857
Option 3: $8000
Option 4: $18,857

Reference no: EM132711587

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