Anonymous
Anonymous asked in Business & FinanceTaxesUnited States · 7 months ago

what is tax liability on inherited ira from a trust account?

3 Answers

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  • 7 months ago

    It depends on what you do with is.

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  • Judy
    Lv 7
    7 months ago

    depends on your marginal tax rate. It's taxed as ordinary income.

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  • 7 months ago

    It will be treated as income and taxed based on what bracket it moves you into. No one can determine that without knowing what you will earn by the end of the year or how much money is in that account you will be receiving. The taxes will be removed before they send you a check.

    • NA
      Lv 7
      7 months agoReport

      The problem is, only 10% is withheld and most people are in the 12% or higher tax bracket.

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