If decedent first made a Roth contribution prior to 2017, the 5 year holding period required for the Roth to be qualified and tax free has been completed, and death replaces the other requirement of reaching 59.5 for this Roth to be qualified and fully tax free.  Until this 5 year holding period is completed, the earnings in the inherited IRA come out last and are taxable. The Roth IRA contribution basis is the amount contributed by the decedent by regular or conversion contributions less distributions taken. Therefore, the 49k the Roth was worth when inherited is likely to include earnings prior to death which wouldbe taxed. This will  require some research to determine exactly what the Roth basis is. If the decedent did not retain Form 5498 showing contributions made or other records, perhaps the Roth custodian will provide such information. It would be easier to first look for some evidence that a contribution was made prior to 2017, as that would eliminate the need for this other basis reseach.  Client is likely under the 10 year rule, but could also be an eligible designated beneficiary for the stretch. If eligible for the stretch client (assuming not a surviving spouse) will have an RMD due by 12/31/2021. If not eligible for the stretch, there is no annual RMD, but the inherited Roth must be drained by 12/31/2030. 

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