dmertz
Level 15

Retirement tax questions

As others have implied, it doesn't make sense to look at the distribution from the inherited IRA and the capital loss in isolation from the rest of your tax return.  Prepare a simulated tax return to see the effect of varying amounts of distributions from the inherited traditional IRA.

 

If you are a non-spouse beneficiary and the IRA participant died after their required beginning date for RMDs, you are required to take some minimum amount out of the IRA each year regardless of the tax consequences.