We live in Colorado. My wife is under 55 but has an inherited IRA with an RMD that was her mothers Does the RMD qualify for the Colorado retirement subtraction? Thanks.

[Cindy0H · Accepted solution]

Yes, the RMD would qualify. This is from Colorado:

Younger than 55 years old and you received pension/annuity income as a secondary beneficiary (widow, dependent child, etc.) due to the death of the person who earned the pension/annuity, then you are entitled to subtract $20,000 or the total amount of your secondary beneficiary taxable pension/annuity income, whichever is smaller. If this applies to you, please list the Social Security number of the deceased in the space provided.

Here are the complete details on the subtraction:

https://www.colorado.gov/pacific/sites/default/files/Income25.pdf