FYI: Many investors use mutual funds throughout their lives to invest. When it comes time to sell mutual funds, dealing with taxes can be complicated, especially if you've reinvested dividends and capital gains distributions into additional shares. For those inheriting mutual funds, the tax aspects are actually much simpler. Let's take a look at some of the tax implications of inherited mutual funds.
Regards,
Ted
http://www.sfgate.com/business/fool/article/Taxes-on-Inherited-Mutual-Funds-6736730.php
Comments
Except that they're not subject to an early distribution (10%) tax, spousal IRAs can be transferred to one's own IRA (in which case they follow the heir's IRA rules, not those of the deceased), and you get to take an IRD deduction if estate taxes were paid on the IRA.
https://www.kitces.com/blog/understanding-the-irc-section-691c-income-in-respect-of-a-decedent-ird-deduction-for-the-beneficiary-of-an-inherited-ira/
Possibly other stuff as well - this is off the top of my head. Kitces is very good; otherwise I generally stick with *.gov (e.g. irs.gov), or financial institutions (e.g. schwab.com, fidelity.com, etc.) that have to be accurate.