The IRS has issued final regulations on the required minimum distribution (RMD) rules for inherited IRAs. In 2022, the IRS issued proposed regs that provide that, if the deceased dies on or after the required beginning date for RMDs, beneficiaries must take taxable RMDs in years one through nine after death, receiving the balance of the account in the tenth year. In other words, they aren’t permitted to wait until the end of 10 years to take a lump-sum distribution. This annual RMD requirement gives beneficiaries less tax planning flexibility and could push them into higher tax brackets during those years. The final regs generally follow the proposed regs. Contact us with questions.