RODRIGUEZ & ASSOCIATES BANKRUPTCY BLOG
November 7, 2013
The U.S. Supreme Court is to resolve the issue of inherited IRA’s. Two different Circuit Courts, the Fifth Circuit and the Seventh Circuit, have ruled different ways as to whether inherited IRA’s are exempt under the bankruptcy code. The Seventh Circuit ruled that inherited IRA’s were not exempt, while the Fifth Circuit ruled they are exempt for non-spouse beneficiaries.
The Supreme Court decision will have a far-reaching impact on inherited IRA’s.
Source: Consumer Bankruptcy News October 28, 2013, Volume 24, Issue 2.