RMD for beneficiaries
My client passed away in July and she had taken $7,200 of her RMD of $8,463 thus far. Her two beneficiaries are her sons. One of the sons wants to take $7,000 out of his IRA BDA once the assets are split. Will this satisfy the remaining RMD or does each beneficiary have to take out 1/2 of the remaining amount?
Thank you.
Permalink Submitted by Alan Spross on Mon, 2012-09-17 23:29
As long as the RMD is completed, the IRS does not care which beneficiary takes out the remaining year of death RMD. The son taking the distribution will satisfy the RMD and the other son does not have to withdraw anything from his share to satisfy the RMD.
Of course, this flexibility only applies to the year of death RMD.