Nilodop wrote:Thanks all. It's indeed a learning experience.
Is my last post above correct?
I’m not sure I understand exactly what is being asked. Originally I got the impression you’re trying to figure out a way to deduct a loss from an investment contained inside the Roth IRA.
If this is case, before 2017:
I don’t believe you can cherry pick investments, rather all Roth IRA accounts must be closed and the calculation of loss would be determined on the aggregate of all investments of all Roth assists from the Basis of the original owner. Off hand, I would say Roth IRA and Inherited Roth IRA would be treated separately so would not require to close the non inherited Roth accounts. You would need to verify. To take the loss deduction it would be an itemized deduction.
After 2017, the deduction above is no longer available.
Further, your question about excess value distribution: not sure I follow. Normally when I hear this I relate it to the owner made unallowable contributions to an IRA. If this was done and not rectified before the owner passed, it gets complicated to correct.
Finally, if your asking about in-kind distribution:
The taxation of the in-kind distribution will follow the same tax principles of a Roth IRA cash distribution.