Rules for an IRA inherited in 2003
Do 2003 rules apply to an IRA I inherited from my that year? If so it seems that IRS publication 590 from that year would allow me to transfer part of my beneficiary IRA assets to a beneficiary Roth IRA. Can anyone confirm this?
Permalink Submitted by Alan - IRA critic on Wed, 2023-06-14 18:13
If you are a spousal beneficiary, you can roll it over to your own Roth IRA or assume ownership. If a non spouse, you are not permitted to convert to an inherited Roth IRA, and that has always been the case. A conversion is treated as a distribution and rollover, and a non spouse beneficiary is not allowed to roll over any distribution. You may be misreading Pub 590 for 2003. See “inherited IRA” on p 27 for a very clear statement that a non spouse cannot convert an inherited IRA.
Permalink Submitted by James Finamore on Wed, 2023-06-14 19:18
Yes, I see the language on page 27 now. It’s not what I was hoping for but thanks anyway for pointing that out.