Trusts and Estates
Ca. Trs. & Estates Quarterly 2022, Volume 28, Issue 3
Content
- Chairs of Section Subcommittees
- Editorial Board
- Letter From the Chair
- Letter From the Editor
- Litigation Alert
- McLe Self-study Article A Snarl of Conflicting Presumptions—In re Brace and Estate of Wall Continue California's Struggle To Square the Conflicting Presumptions Set Forth In Family Code Section 760 and Evidence Code Section 662
- McLe Self-study Article California's Adoption of the Uniform Partition of Heirs Property Act
- McLe Self-study Article Extrinsic Fraud: Will the Real Slim Fraudster Please Stand Up?
- McLe Self-study Article Lps, General, and Limited Conservatorships: Where We Were, Where We Are and Where We Might Be Going
- Tax Alert
- TRUSTS & ESTATES QUARTERLY
- Tips of the Trade: Ira Planning—Gaining Security In a Post-secure World
TIPS OF THE TRADE: IRA PLANNING—GAINING SECURITY IN A POST-SECURE WORLD
Written by Lisa B. Roper, Esq.*
I. SYNOPSIS
After expanding tax incentives for Individual Retirement Accounts ("IRAs") for nearly fifty years, IRAs became a valuable estate planning and tax deferment tool. Congress passed The Setting Every Community Up for Retirement Enhancement Act of 2019 ("SECURE"), followed closely by The Securing a Strong Retirement Act of 2021 ("SECURE II"). SECURE and SECURE II changed the landscape for participants and estate planners alike and effectively clawed back many of the benefits to which they had become accustomed. The result is a new and complicated set of rules for beneficiaries who inherit IRAs from participant owners. Many of these rules are still being interpreted and articulated by the IRS and thus also practicing professionals. This article summarizes the law applicable to inherited IRAs as they stand today. This article also identifies areas in estate planning that may become increasingly important because of the sweeping changes to taxation of inherited IRAs.