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Fill and Sign the Disclaimer of Property Interest Wills and Estates Legal Form

Fill and Sign the Disclaimer of Property Interest Wills and Estates Legal Form

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© 2016 - U.S. Legal Forms, Inc USLegal Pamphlet on Disclaiming an Inheritance INTRODUCTION In succession planning, a beneficiary may disclaim an inheritance, thus passing the inherited property to another beneficiary and avoiding inheritance/gift taxes, as well as any liabilities that may come with the property. By disclaiming inherited assets, one is essentially refusing to accept the inheritance. Such a disclaimer may be for various reasons, such as to lower tax liability, correct an improper estate plan, because the asset has attached debts that outweigh its total value, to keep it out of creditors’ hands, to avoid ineligibility for benefits, or other reasons. For tax purposes, disclaiming assets is the same as never having owned them. That's why it's important to follow the precise requirements of a qualified disclaimer. If the primary beneficiary does not follow these requirements, the property in question will be considered a personal asset that he or she has given as a taxable gift to the next beneficiary in line. H OW TO DISCLAIM According to the IRS, the person disclaiming the asset must meet the following requirements to use a disclaimer:

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