Praise be to Allah.
This is not correct at all; in fact it is one of the innovations (bid’ah) of which we must beware .
Shaykh Sa’d al-Humayd
Allaah says (interpretation of the meaning):
“To Him ascend (all) the goodly words, and the righteous deeds exalt it” [Faatir 35:10]
So our reading Qur’aan, if it is done for the sake of Allaah and from a pious heart, is accepted and ascends to Allaah, It is not detained between the heavens and the earth. Allaah says (interpretation of the meaning):
“Verily, Allaah accepts only from those who are Al-Muttaqoon (the pious)” [al-Maa’idah 5:27]
Part of being pious is avoiding bid’ah and shunning false beliefs which are based on ignorance. The commonly held belief that the reward for reading Qur’aan reaches the dead cannot be taken as definitive. The evidence (daleel) of sharee’ah does not indicate that, so giving the reward for reading Qur’aan to the deceased is not an action that is prescribed by sharee’ah. And Allaah is the Source of strength.
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