We were able to do partial distributions on MIL estate but had to keep it open for 1 yr after the creditor notice. The executor has to make sure all bills are paid including attorney, final individual tax return and estate tax return, and estate taxes if applicable depending on where the estate is located. If the IRAs had “beneficiaries” - these would be outside the estate and the financial institution would deal with each beneficiary separately.

You can’t ask that here without a ton more info. A lot depends on specifics and no one here can tell you without that info. You don’t even list your state. I would suggest you read up on inherited IRAs and also the laws where you are regarding how an estate is handled. For example, some states require probate for assets over a certain amount unless you have a trust. Then you will be able to discuss with the SIL to understand her position and whether or not it is valid.

The easiest of estates can take many months because of state laws regarding how long the estate has to wait for creditors to claim what may be due and taxes that may be due - it likely differs state to state. This likely wouldn’t be at the discretion of the executor. And, in most states there is no inheritance tax unless the estate is worth more than a few million.

If your husband is a beneficiary of the IRA, as long as you roll it over into an inherited IRA there is no tax due. But all beneficiaries must take the distribution at the same time. Is your SIL planning to take her share in cash? Then she might have a tax reason but that is unfair to your husband.

There is no federal inheritance tax. Depending on your state there likely is no inheritance tax due for children or grandchildren of the deceased. Federal estate tax exemption is $13.6 million, so no tax if the estate is under that. Check if your state has an estate tax & what the exemption is.

I'm curious who the IRA beneficiaries are. If individuals are named, your SIL has no say in the matter. If it's the estate, that's unfortunate, but then the decision on IRA falls to your SIL if she's the executrix.

Your SIL is gettting a percentage of the estate as executor which is normal. But just gooing thru this…nothing to be gained in saving on taxes..so sounds like she is skimming. There shld be an estate atty…s/he wld be her atty now. So talk to your atty.

And I think there is a time limit to settle the estate.

Is it over 11 million $? If not. It doesn't matter

I haven't read all answers here (there are a bunch) but (1) you can have a simple estate & still have to probate and (2) probate doesn't impact tax. It sounds like there is some tax planning, which is a good thing. Without getting too technical, estate income tax bills tend to be higher than individual ones. Exec may be trying to match deductions to income in the final year (common, otherwise you can lose them). If you're concerned, consider hiring an attorney (2nd pair of eyeballs is helpful).