Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2025 to receive credits. NOTE: Go to My Professional Profile in your CCH CPELink account settings to ensure your name, and PTIN number; matches your PTIN card
The owner of an IRA has passed away. If an individual is named as the beneficiary, the claims process is relatively straightforward. But what if the owner names a trust, or worse yet, names his estate as the beneficiary or no beneficiary at all. What happens next?
In this course you will learn how to advise clients on their options for claiming a qualified account such as an IRA or 401k. These options are not always explained by financial institutions and sometimes require attorney opinion letters, but they can save clients thousands in tax if applied correctly.
Publication Date: June 2023
Designed For
Attorneys, CPAs, and Enrolled Agents.
Topics Covered
- Review of the qualified account rules for beneficiaries both prior to and after the passage of the Secure Act
- Analysis of the tax consequences of claiming a qualified account
- Description of the options for taking withdrawals from a qualified account left to a trust with one or multiple beneficiaries
- Explanation of methods to divide and distribute qualified accounts from a trust or estate to minimize tax and ongoing administrative costs
Learning Objectives
- Describe the options for beneficiaries to claim a qualified account after the death of an owner
- Recognize how to advise clients on the methods of dividing and distributing inherited retirement accounts to trust and estate beneficiaries
- Identify the tax consequences of applying various distribution rules at the estate and trust level
- Identify the importance of analyzing the various distribution options to minimize income tax and administrative headaches
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
None
Advance Preparation
None
Instructor
Klaralee R. Charlton
Klaralee Charlton is a Partner at 3i Law in Denver, Colorado. She practices fiduciary tax, estate administration, and business transactional law. As part of her practice, she guides clients through the process of administering a loved one’s estate including the collection, valuation, management and transfer of assets including financial accounts, real estate, and business interests with a focus on minimizing estate and income tax liability. Klaralee also works closely with trustees of ongoing trusts to ensure compliance and prepares clients’ fiduciary income tax returns annually.
Klaralee has written and lectured on topics including estate and gift tax, fiduciary income tax reporting and U.S. regulations governing the valuation of small family businesses. She is an active member of the Colorado Bar Association, Tax Section and Adjunct Profession at the University of Denver, Graduate Tax Program.
She earned her J.D. in 2011 from the University of Utah, S.J. Quinney College of Law, her LL.M. in Tax Law from the University of Denver in 2013, and her B.A. in political science in 2009 from Bryn Mawr College. She is admitted to practice in both Colorado and Montana.