IRA beneficiary from the Netherlands.

Submitted by Douglas Bauerband on Wed, 2016-06-15 17:19

Client has no family here left. Only family is in the Netherlands.

Does anyone have understanding of how an IRA here in the states would work with a beneficiary in the Netherlands?

Would the beneficiary be able to do a inherited IRA?

Would the IRA just pay out the beneficiary and withhold taxes since they live in the Netherlands?

Any help would be appreciated or other information?

Thank you,

Douglas

Permalink Submitted by Bruce Steiner on Wed, 2016-06-15 17:43

It works from the U.S. side. The issue is whether the Netherlands will recognize it so as to permit deferral for purposes of their tax.

If they don’t, a possible solution might be to leave it in trust rather than outright.

Their lawyer here might want to coordinate with counsel in the Netherlands, who can better advise as to the tax issues there.

Permalink Submitted by Douglas Bauerband on Wed, 2016-06-15 18:51

thank you