IRA’s in TRUST
Individuals had marital Trust passed away now and is irrevocable, being managed by the Trustee. Can the Trustee pick or change the Custodian/Investment Company that currently holds the investments to another of their choice?
Thank you
Steve
Permalink Submitted by Alan - IRA critic on Thu, 2021-12-16 17:34
Yes, the trustee of the trust could do a direct transfer to a new IRA custodian. The inherited IRA would be titled the same as before since the trustee and the trust did not change, just the IRA custodian. This transfer should be handled by the receiving custodian and the trustee would establish an inherited IRA there to receive the transferred inherited IRA. This direct transfer is not reportable and should not generate a 1099R or 5498.