Get Sample Letter Of Disclaimer Of Inheritance

There's absolutely nothing to stop you from taking possession of an inheritance, then giving it away. Some people have good reasons for not accepting such gifts, from tax issues to simple generosity. If you would rather not accept an inheritance at all, however, things become a bit more complicated.

Put the disclaimer in writing. Deliver the disclaimer to the person in control of the estate usually the executor or trustee. Complete the disclaimer within nine months of the death of the person leaving the property. ... Do not accept any benefit from the property you're disclaiming.

Put the disclaimer in writing. Deliver the disclaimer to the person in control of the estate usually the executor or trustee. Complete the disclaimer within nine months of the death of the person leaving the property. ... Do not accept any benefit from the property you're disclaiming.

The answer is yes. The technical term is "disclaiming" it. If you are considering disclaiming an inheritance, you need to understand the effect of your refusal known as the "disclaimer" and the procedure you must follow to ensure that it is considered qualified under federal and state law.

When you disclaim inherited IRA or retirement plan funds, the portion that you disclaim typically passes to someone else and is unavailable to you. If you instead accepted the inherited funds, you would have additional money to meet expenses and/or invest elsewhere.

Common reasons for disclaiming an inheritance include not wishing to pay taxes on the assets or ensuring that the inheritance goes to another beneficiary; for example, a grandchild. Specific IRS requirements must be followed in order for a disclaimer to be qualified under federal law.

If you want to control who gets the inheritance, you must accept it and give it to that person. If you relinquish the property and the deceased didn't name a back-up heir, the court will apply state law to decide who inherits. You can't give up property once you receive a financial benefit from it.

Put the disclaimer in writing. Deliver the disclaimer to the person in control of the estate usually the executor or trustee. Complete the disclaimer within nine months of the death of the person leaving the property. ... Do not accept any benefit from the property you're disclaiming.

If you refuse to accept an inheritance, you will not be responsible for inheritance taxes, but you'll have no say in who receives the assets in your place. The bequest passes either to the contingent beneficiary listed in the will or, if that person died without a will, according to your state's laws of intestacy.

Under Internal Revenue Service (IRS) rules, to refuse an inheritance, you must execute a written disclaimer that clearly expresses your "irrevocable and unqualified" intent to refuse the bequest. ... If you have already accepted the inheritance or any of its benefits, the IRS would likely find the disclaimer invalid.

The disclaimer must be in writing: A signed letter by the person doing the disclaiming, identifying the decedent, describing the asset to be disclaimed, and the extent and amount, percentage or dollar amount, to be disclaimed, must be delivered to the person in control of the estate or asset, such as an executor, ...

When you receive an inheritance, via a will, such as a house or cash, or as a beneficiary of an IRA or 401(k), or an estate, you can say thanks, but no thanks, and refuse it by disclaiming. The inheritance then passes to the next beneficiary, altogether bypassing the person who disclaims.