Ask An Expert

Q: I saw that the CARES Act included verbiage that 2020 Required Minimum Distribution from my retirement account do not have to be taken. Is that true? If so, what if I have already taken one? — KB, Orlando

A: RMDs do not have to be taken in 2020, including inherited RMDs. If you have already taken your RMD, you have 60 days from the date of the distribution to put the exact amount back into the retirement account as part of a 60-day rollover that can occur every 12 months. Keep in mind, if you used a portion of the RMD to pay taxes, that portion will be taxable income to you unless you roll over that amount, too. The rollover is not available for inherited RMDs. — John

West

Q: I’m the successor trustee on my dad’s trust. Am I responsible for the taxes on the proceeds when the assets are distributed to me and my five siblings? — S.T., Deland

A: If all assets you describe are titled in the name of the trust, then you don’t have to worry about taxes on any funds distributed to your siblings. If any assets are not in the name of the trust, the estate would pay any taxes owed. Consult with an estate planning attorney to make sure the assets are titled properly. —

Dennis Nolte

E-mail askanexpert@fpafla.com. Include your name (only your initials will be printed), hometown and phone. Questions are answered by Certified Financial Planners from the Financial Planning Association of Central Florida. Answers are for educational purposes only; you should also consult a financial professional. Questions and answers may be edited.