Can a sole beneficary spouse transfer undistributed RMDs during year of death?
First spouse passes in 2014. First spouse took only half of the required RMDs. Is the surviving spouse required to take the unpaid RMD during the year of death prior to transferring the IRA or can may they transfer the IRA and then take the unpaid RMD for year of death?
Permalink Submitted by Alan - IRA critic on Fri, 2014-08-08 21:40
Either way. Under the RMD aggregation rules, the custodian does not know if the year of death RMD might have been taken from a different IRA account. But if surviving spouse takes a distribution rather than a direct transfer, the rest of the year of death RMD cannot be rolled over.