Unfortunately my wife is expected to die in the next few days. This brings the following question:
The beneficiary of her Traditional IRA is our daughter. The IRA will become her Inherited IRA.
The 2023 RMD for my wife's IRA has yet to be taken.
Is the following correct?
- If I take the RMD prior to her passing, the RMD proceeds will be taxable to our joint tax return.
- If I wait until the RMD becomes our daughter's Inherited IRA, the RMD Proceeds will be taxable at her tax rate.
A link to a source would be appreciated.
Thanks in advance
