On July 8th the IRS issued the following rulings.

Number 201628004, Summary: The IRS ruled that because a decedent’s estate was named as the beneficiary of an IRA, and because an estate cannot qualify as a section 401(a)(9) “designated beneficiary,” the assets of the IRA must be paid out over the reg. section 1.401(a)(9)-5, Q&A 5(c)(3), distribution period.

Number 201628005, Summary: The IRS ruled that because a decedent’s estate was named as the beneficiary of an IRA, and because an estate cannot qualify as a section 401(a)(9) “designated beneficiary,” the assets of the IRA must be paid out over the reg. section 1.401(a)(9)-5, Q&A 5(c)(3), distribution period.

Number 201628006, Summary: The IRS ruled that because a decedent’s estate was named as the beneficiary of an IRA, and because an estate cannot qualify as a section 401(a)(9) “designated beneficiary,” the assets of the IRA must be paid out over the reg. section 1.401(a)(9)-5, Q&A 5(c)(3), distribution period.

 

Posted by Allison Trupp, Associate Editor, Wealth Strategies Journal