I withdrew 14,000.00 from inherited IRA. I gifted it to my daughter. Do I have to pay income taxes on that money?

dmcallaw · ‎June 3, 2019

MaryK1 · ‎June 3, 2019

Yes, you have to pay income tax on the IRA distribution if it was an inherited IRA the same as it would have been taxed to the decedent. You do not have to pay gift tax on it if you did not gift any other income in 2016 ($14,000 is the annual gift tax exclusion)

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MaryK1 · ‎June 3, 2019

Yes, you have to pay income tax on the IRA distribution if it was an inherited IRA the same as it would have been taxed to the decedent. You do not have to pay gift tax on it if you did not gift any other income in 2016 ($14,000 is the annual gift tax exclusion)

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I withdrew 14,000.00 from inherited IRA. I gifted it to my daughter. Do I have to pay income taxes on that money?