As per IRS website, I found the following.
Review Screen
What
tax year are you asking about?
2023Was the inheritance from foreign sources? Yes
Interactive Tax Assistant (ITA)
This tool cannot determine the taxability of your inheritance. For information on inheritance received from a foreign source, see Publication 525, Taxable and Nontaxable Income and the instructions for the Form 3520, Annual Return to Report Transactions with Foreign Trusts and Receipt of Certain Foreign Gifts.
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Question -
If I inherit $100K in foreign account. I do not pay tax on this funds as an inheritance money but any income generated from this funds in the following year is taxable? is this correct?
Also, if the taxes are paid on the income in the foreign country, do I report the funds on my Income tax & pay tax in US again?
Please advise.
Thx
