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Level 7
May 27, 2021
Solved

Deceased's IRA with no designated beneficiary

  • May 27, 2021
  • 2 replies
  • 9 views

It must therefore go into estate.  Executor can distribute it all to beneficiary as ordinary income, in order to avoid high estate tax rates, also pay executor fee, & accountant fee before year is finished. Is this correct? Anything else to save on taxes?

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Best answer by sjrcpa

All of that is correct. 

2 replies

sjrcpa
sjrcpaAnswer
Level 15
May 27, 2021

All of that is correct. 

The more I know the more I don’t know.
BobKamman
Level 15
May 27, 2021

Before fiscal year is finished.  If death was after 2/1/21, consider a January fiscal year so K-1 income is pushed into 2022, if that helps beneficiaries.