Post by Admin/YBB on Apr 17, 2024 10:08:12 GMT -6
IRS Waiver of Annual RMD for Inherited Retirement Accounts
STRETCH went away (SECURE Act) for most INHERITED retirement accounts; there are important exceptions for ELIGIBLE beneficiaries that include spouses & minors. There was initial confusion for the new 10-yr Rule to empty most inherited retirement plan balances whether the annual RMDs will be still required. The IRS flip-flopped on this & now has resorted to ad-hoc annual WAIVERS. So, we now have a waiver for 2024 RMDs from inherited accounts for the 4th year. What a joke!
www.thinkadvisor.com/2024/04/17/irs-waives-2024-rmds-for-ira-beneficiaries-under-10-year-rule/
2024 www.irs.gov/pub/irs-drop/n-24-35.pdf
Edit/Add, 4/18/24. More details on this waiver. The issue is limited to those inherited a/c where the deceased had already started taking RMDs or was required to do so.
www.investmentnews.com/tax/opinion/ira-alert/once-again-irs-waives-rmds-for-beneficiaries-subject-to-the-10-year-rule-252329
Previous IRS Notices
2022 www.irs.gov/pub/irs-drop/n-22-53.pdf
2023 www.irs.gov/pub/irs-drop/n-23-54.pdf
STRETCH went away (SECURE Act) for most INHERITED retirement accounts; there are important exceptions for ELIGIBLE beneficiaries that include spouses & minors. There was initial confusion for the new 10-yr Rule to empty most inherited retirement plan balances whether the annual RMDs will be still required. The IRS flip-flopped on this & now has resorted to ad-hoc annual WAIVERS. So, we now have a waiver for 2024 RMDs from inherited accounts for the 4th year. What a joke!
www.thinkadvisor.com/2024/04/17/irs-waives-2024-rmds-for-ira-beneficiaries-under-10-year-rule/
2024 www.irs.gov/pub/irs-drop/n-24-35.pdf
Edit/Add, 4/18/24. More details on this waiver. The issue is limited to those inherited a/c where the deceased had already started taking RMDs or was required to do so.
www.investmentnews.com/tax/opinion/ira-alert/once-again-irs-waives-rmds-for-beneficiaries-subject-to-the-10-year-rule-252329
Previous IRS Notices
2022 www.irs.gov/pub/irs-drop/n-22-53.pdf
2023 www.irs.gov/pub/irs-drop/n-23-54.pdf