Inherited IRA in a Trust
I have a client who has an inherited IRA in a Trust set up at her parent’s death.
She lives in Canada.
If she pays taxes on the IRA and cashes it out, must the proceeds remain n the trust?
Thank you
I have a client who has an inherited IRA in a Trust set up at her parent’s death.
She lives in Canada.
If she pays taxes on the IRA and cashes it out, must the proceeds remain n the trust?
Thank you
Permalink Submitted by Alan - IRA critic on Fri, 2014-10-10 19:08
Depends on the trust provisions. Her parents might have set up the trust so that she could not cash out the IRA in a lump sum and spend the money.