inherited ira

jslimmers — Tue, 24 Feb 2026 07:37:32 GMT

do you have to pay tax on an inherited ira if it transfered to a new iraa from mother to myself?

Re: inherited ira

KarenL4 — Wed, 25 Oct 2023 17:56:06 GMT

Hi, jslimmers
First, sorry for your loss. I recently lost someone and know how hard it is to deal with finances at the same time.

I believe you are telling me you inherited an IRA from your mom. If that is the case , you will not have any inheritance tax at the time you inherit, but you may have income taxes when you take withdrawals.

Basically, when you take a distribution from traditional IRAs, 401(k)s, 403(b)s, and annuities, that payment is generally taxed to the heir. That's because the money was generally set aside tax free when deposited into these accounts and the withdrawal of that money, plus the related earnings, is generally taxable.

Money withdrawn from Roth IRA's and Roth 401K's is typically not taxable to the heir (subject to requirements like the 5 year Roth IRA holding period). You can read more about both of these topics here.

When you do take a distribution, you will receive a form 1099-R that should help you with your taxes.

Additionally, generally, a designated beneficiary is required to liquidate the account by the end of the 10th year following the year of death of the IRA owner (this is known as the 10-year rule). This IRS publication provides more information and you are also welcome to follow-up with us.

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Regards,

Karen

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inherited ira

Re: inherited ira