10 yr rule and missed rmd by deceased
Can you help me understand the newly clarified rules on an Inherited IRA? I believe I understand no distributions need to be made in years 1-9, we are back to that understanding with the IRS? Also, would a beneficiary have to take the decedent’s RMD in the year they died if deceased did not satisfy it?
Permalink Submitted by Alan - IRA critic on Mon, 2021-05-24 20:07
Yes, the IRS has corrected the incorrect statement in Pub 590 B regarding annual RMDs within the 10 year rule. These are not required, and the only 10 year rule requirement is that the inherited IRA must be drained by the end of the 10th year after the year of death. However, any remaining decedent’s RMD from the year of death must be completed by the end of the year of death as before.