The CARES Act waves Required Minimum Distributions (RMDs) for 2020 from all defined contribution plans such as 401(k)s, 403(b)s, 457 plans, and IRAs which allows for further income tax deferral. This 2020 waiver of RMDs is not limited to those affected by coronavirus like many other provisions in this Act. A(n) RMD is the amount of money that is required to be withdrawn by the account owner once he/she reaches age 72.
If a distribution was already made in 2020, it can be rolled over into a plan within 60 days. Certainly, if you are in need or want of the funds, you can withdraw them. Waiving the RMD in 2020 does not require individuals to make two RMDs in 2021.
There are additional opportunities for tax planning with the amounts that would have been withdrawn from qualified plans. Your financial advisor or CPA will be able to help you strategize.