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thelaughter
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Inheritance

My dad passed away 03/08/2018 

My mom inherited my dads Voluntary Investment Plan. The distribution code is 4-meaning Death. So she inherited this because of his death it shows fed income tax withheld of $90090.84 bot nothing was with held for state. My mom passed away this year 06/27/2019. I am trying to figure out these taxes does she have to claim this money she inherited?

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1 Reply

Inheritance

sorry for your loss

 

all income up to the date of her death gets reported on her tax return as if she were still alive - there is no difference in treatment due to her passing. 

 

what is in the taxable distribution box? that is what needs to be reported as income. 

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