Wife's mother just passed away. Some of her small estate is in IRA accounts. Are state or local taxes due on the inheritance (specifically because the money is in a tax deferred account)
2006-06-13 10:26:12 · 3 answers · asked by bridges_j@sbcglobal.net 1 in Business & Finance ➔ Taxes ➔ United States
If it is from a traditional IRA-YES. If it is from a ROTH IRA-MAYBE. You really need to bring your documents to a CPA or Enrolled Agent for review. I have listed some articles below that can help. The first is on ROTH IRAs and the second on traditional IRAs.
Be sure to have tax withholding on any distribution to avoid owing IRS.
2006-06-13 10:49:56 · answer #1 · answered by exirsman 5 · 0⤊ 0⤋
If its a Traditional IRA and you withdraw all of it or take required distributions you have to pay taxes on whatever you take out.
2006-06-13 16:28:59 · answer #2 · answered by jeff410 7 · 0⤊ 0⤋
she is going to spend greater funds attempting to get the money decrease back than there is funds to get decrease back. basically have the total quantity coated interior the divorce settlement, and that they are going to cut up it. on the different hand (the questions could desire to be replied): Whose call is on the account that the money is in? What criminal document did they draft stating who might get what? And your neice unquestionably signed the tax return indicating that her funds could be going into her mom-in-rules economic business enterprise account? on an identical time as on an identical time understanding that she and her husband have been having issues? (she is going to have a tough time getting that funds decrease back except the companion's mom differences her recommendations.) Get an low-fee criminal expert?
2016-12-08 08:55:14 · answer #3 · answered by Anonymous · 0⤊ 0⤋