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A participant in a tax-exempt 457(b) plan terminated employment in 2001 and elected to defer her distribution until 2005, when she reached age 65. In December 2002, she requested (and received) a partial payment of $32,000 to pay for a down payment on a house. Does this amount to a revocation of her initial election to defer her distribution and result in the all the amounts deferred under the plan being taxed because now they are "paid or made available"? Or is just the $32,000 taxed?

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