Since the SECURE Act was passed in December 2019, taxpayers have been awaiting final word on how to interpret the new 10-year rule that pertains to required minimum distributions (RMDs) from an inherited IRA account attributable to a decedent who had been required to take minimum distributions at the time of death. This relates to situations where death occurred after the decedent's "required beginning date" or "RBD." The verdict is finally in.

Many commentators fervently asserted that the correct statutory interpretation of the post-RBD 10-year rule was that no distributions should be required until the end of the 10-year period. However, the IRS issued proposed regulations in February 2022 indicating that, to the contrary, annual distributions would be required in each of the 10 years. Due to the uncertainty as to which approach would be adopted under the final regulations, the IRS has annually waived any distribution requirement for taxpayers subject to the post-RBD 10-year rule, including for 2024.