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Annual Distributions. Alternatively, IRA beneficiaries are allowed to take annual distributions based on the IRS life expectancy table, instead of withdrawing the entire account within five years. Annual distributions to IRA beneficiaries must begin in the year after the account ownerâs death. If annual distributions donât start on time, however, the beneficiary must liquidate the entire IRA within five years.
Save. Roth IRAs are retirement accounts in which the money put into the account grows tax-free instead of tax-deferred like Traditional IRA accounts. Additionally, the money contributed into a Roth IRA is not allowed to be deducted for the year the contribution was made.ave. Roth IRAs are retirement accounts in which the money put into the account grows tax-free instead of tax-deferred like Traditional IRA accounts. Additionally, the money contributed into a Roth IRA is not allowed to be deducted for the year the contribution was made.