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Yes, if you are under the 10 year rule, no distributions are required on a yearly basis but must all be withdrawn by the end of the 10 years after passing.
The ROTH IRA withdrawal has the same tax basis to you as it did to the person you inherited it from, so making sure it meets the "held for 5 year" rule is important.
From Retirement topics - Beneficiary | Internal Revenue Service:
Definitions
5-year rule: If a beneficiary is subject to the 5-year rule,
- They must empty account by the end of the 5th year following the year of the account holders' death
- 2020 does not count when determining the 5 years
- No withdrawals are required before the end of that 5th year
10-year rule: If a beneficiary is subject to the 10-year rule,
- Empty the entire account by the end of the 10th year following the year of the account owner's (or eligible designated beneficiary's) death
- Relief under Notice 2022-53 for beneficiaries subject to the 10-year rule
- The IRS will not treat a beneficiary of an inherited account in a plan or IRA who was subject to the 10-year rule and who failed to take an RMD for 2021 and 2022 as having failed to take the correct RMD
Publication 590-B (2022), Distributions from Individual Retirement Accounts.
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March 7, 2024
2:01 PM