IRD Deduction
In 2007 I inherited an IRA balance which was considered Income in Respect of Decedent. I realize I have to take Required Minimum withdrawals each year, however if my income is so high that I start losing my itemized deductions, do I have to take an IRD deduction or can I save it for a year in which my taxable income will allow me to use my itemized deductions.
Permalink Submitted by Alan Spross on Tue, 2008-06-24 00:55
If you realize the IRD income, but cannot itemize for that year, the deduction attributed to that amount of IRD income is forfeited. To the extent you must take RMDs, you cannot control receipt of that income.