Inherited IRA Rules Explained | 5 Questions With Fidelity | Fidelity Investments

It’s common to inherit an IRA, yet many people aren’t fully aware of the impact it can have on their taxes. This episode of 5 Questions with Fidelity will help you understand the rules surrounding this type of inheritance. Key Takeaways: - With inherited traditional IRAs, withdrawals are generally taxed at the beneficiary’s ordinary income rate. With an inherited Roth IRA, however, the beneficiary generally does not pay income tax on qualified withdrawals, provided the account has met the five-year holding ...