Congress May Crush Key Tool For IRA Inheritors

From Forbes

Don’t look now, but a provision buried in the latest transportation funding bill would deal a fatal blow to an important strategy for estate planning with IRAs.

Good news! It appears Senator Max Baucus has backed down. A reader just forwarded me this link to About.com Wills & Estate Planning blog post:

Senator Max Baucus (D-MT) has done an abrupt about-face on his proposal to require inherited IRAs to be liquidated within five years of the deceased owner's death, thereby subjecting the inherited assets to income taxes over a five-year period instead of allowing the IRA beneficiaries to stretch withdrawals over their entire life expectancies.