Rollover deceased husband’s IRA into wife’s own IRA
Q: When does wife have to take first RMD from the husband’s IRA?
Assumptions: Husband died 3/16/15 at age 69 (was not taking RMDs-his DOB was 10/15/45)). Wife decided to make IRA her own. Wife turns 70 1/2 on 9/30/15 (her DOB is 3/31/45).
When is the wife required to take her first RMD from her deceased husband’s IRA which is now her own? Please provide your research source if at all possible so that can have documentation to substantiate the information. Thanks, Sandi
Permalink Submitted by Alan - IRA critic on Fri, 2015-06-26 17:00
There is no year of death RMD for the husband because he would not have reached 70.5 in 2015. Under IRS Reg 1.408-8 Q&A 5, if the surviving spouse assumes ownership or rolls over an IRA to her own IRA in the year of death (2015), her RMD for that year is the decedent’s RMD and decedent did not have an RMD. Accordingly, the wife’s 2015 RMD is based only on the 12/31/2014 IRA balance of IRAs she owned prior to husband’s death. The rollover of the inherited IRA will not increase her RMD until 2016 when her 12/31/2015 IRA balance will include the added balance from the inherited IRA she rolled over. https://www.law.cornell.edu/cfr/text/26/1.408-8