It also depends on the box 7 code - if a 4 then it *is * inherited. If not 4 then whose SSN and name is on the 1099-R? If *hers* and not a code 4 then it has been transferred to her own IRA and is no longer treated as inherited so she answers no to the question. If the name and SSN is her deceased spouse then the payer was not notified of the death and the payer needs to be contacted to issue a corrected 1099-R
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
