An inherited IRA can give many beneficiaries up to 10 years to empty the account, but that does not necessarily give them 10 years to ignore the tax consequences. The IRS sets a deadline for getting the money out, while your own income, withdrawals, and tax situation determine what those distributions may cost along the way.
That matters because a traditional inherited IRA can turn into taxable income when money comes out. A beneficiary who treats the 10-year period like a decade-long pause button could face a particularly unpleasant tax problem near the finish line. The account may still be growing, the deadline may still look comfortably distant, and then suddenly the calendar gets much less friendly.
