Q: When my father passed away 20 years ago I and my siblings an inherited IRA from him.
Recently my brother passed away and I am again the beneficiary of the same IRA (it is still in my brother's account). Is this one subject to the new tax laws requiring it be empied in ten years? My existing one is not. Also can the assets be put directly into my already existing inherited IRA if I move it to that brokerage? Or would it be a separate account?
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A:
Your situation involves two different inherited IRAs from different time periods, which makes it important to understand the rules for each.
The inherited IRA from your brother would indeed fall under the SECURE Act's 10-year distribution rule since he passed away recently. This is different from your existing inherited IRA from your father, which remains under the old rules allowing you to take distributions over your lifetime because it was inherited before the SECURE Act took effect in 2020.
Unfortunately, you cannot combine these two inherited IRAs, even though they originally came from the same source. The IRS requires separate accounts for inherited IRAs from different people, so you'll need to maintain your brother's portion as its own account. You should work with your financial advisor or tax professional to understand the best distribution strategy for each account, as they have different rules and requirements.
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