The SECURE Act and IRA required minimum distributions.
Last December (2019) the SECURE Act was signed into law. This new law changed the required beginning date for IRA required minimum distributions (RMDs). Prior to the act annual RMDs were required to begin by December 31 of the year that the IRA owner reached age 70.5. (Technically, it was the year following the year that the owner reached 70.5, but that is another story.) The SECURE Act has changed the required beginning date to December 31 of the year that the owner reaches age 72. This is welcome news for some of our clients.
The CARES Act and IRA required minimum distributions.
On March 27, 2020, intending to address the economic fallout of the COVID-19 pandemic in the United States, the Congress and the President passed the CARES Act. This law waived the IRA required minimum distributions for all IRA owners for this year (2020). In addition, the IRS has just released IRS Notice 2020-51 which extends the deadline for returning unwanted RMDs to August 31, 2020.
To summarize, no one is required to take a distribution from their IRA this year, and if someone has already taken a required minimum distribution this year she may “return it” to avoid taxation. The return must be made by August 31, 2020.
Before your criticize someone, walk a mile in their shoes. That way, when you do criticize them, you’re a mile away and have their shoes.
If you are able go for a nice walk today. 😊