Background:
Client with one child set up a Living trust with a single beneficiary to the trust. Client was ill advised to change her IRA beneficiary to her trust by the Attorney who established it. While client was in hospice, the POA who is also the daughter and sole beneficiary attempted to change the beneficiary (with client written premmission) on the IRA to herself as an individual rather than through the trust so that she could receive the full tax deferral benefits; however, Chase Bank refused the beneficiary change by the POA. Client has passed and now the IRA is payable to the trust fbo beneficiary. The trust is an older single person trust without stretch language; however, it is a single beneficiary trust so the see-through to a natural person is clear. The trust and I quote said ” any and all bank accounts held in the trustor’s name with JP Morgan Chase Bank including, but not limited to accounts numbers xxx, xxx, and xxx shall be distributed to Trustor’s daughter, Donna.” she is the sole beneficiary of the trust.

Is the beneficiary eligible to stretch the IRA distributions over her lifetime under a single beneficiary trust with clear identification of a natural person, or is she required to distribute the trust within 5 years forfeiting the life tax deferral of the qualified account?