Splitting Inherited IRAs at same custodian

Would there be any tax consequences or logistical concerns for splitting an inherited IRA into 2 IRAs at the same custodian. For example, let’ say an investor has created an inherited IRA but later decides they want to split it into two inherited IRAs for their own investment strategy reasons. As long as they funds move directly there shouldn’t be any issues, correct?

As a follow up question, when it comes time for RMDs, can the RMD then for the inherited IRA be satisfied by taking the RMD from just one of the IRAs or would it be best to come from both?

Thanks,



A partial direct transfer of an inherited IRA is allowed, as is aggregating the RMD in any manner between the partitioned inherited IRA accounts. But this is a rare request, since most beneficiaries want to consolidate inherited IRAs when possible.

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