inherited ira
Surviving spouse takes husbands IRA as an Inherited IRA
She is now subject to RMD’s, but doesn’t want/need the income.
Can the Inherited IRA be re-characterized as her own IRA, thus eliminating/delaying the requirement for RMD’s?
Surviving spouse takes husbands IRA as an Inherited IRA
She is now subject to RMD’s, but doesn’t want/need the income.
Can the Inherited IRA be re-characterized as her own IRA, thus eliminating/delaying the requirement for RMD’s?
Permalink Submitted by Alan - IRA critic on Mon, 2019-01-07 18:24
There is no deadline for electing to assume ownership of a sole spousal beneficiary IRA. Once the surviving spouse becomes subject to beneficiary RMDs, her RMDS will always be lower or even end for a time if she assumes ownership of the IRA, and this also protects the stretch for her own beneficiary. For any year after the year of death of the first spouse, if ownership is elected the surviving spouse is treated as if she owned the IRA the entire year, therefore her beneficiary IRA RMD for 2019 can be erased and replaced with either a lower Uniform table RMD or no RMD if she is not yet 70.5.
Permalink Submitted by JONATHAN LEWIS on Tue, 2019-01-08 19:47
thank you