IRA Disclaimer
Hello,
With respect to an individual who will be disclaiming an Inherited IRA pursuant to IRC Sect. 2518, aside from executing a valid disclaimer as prepared by the estate attorney, is it typical/customary for the custodian to require its own documentation – separate and apart from the signed disclaimer? I’m just trying to find out what is commonly required by custodians, if anything.
Separately, I want to confirm that, in the case of a primary and secondary beneficiary, once the primary beneficiary disclaims the Inherited IRA, even though he cannot direct where the assets go, they will automatically pass to the secondary (contingent) beneficiary – regardless of what state we’re talking about (in this case, NJ).
Thanks.
Permalink Submitted by Alan Spross on Thu, 2012-05-24 20:57
Custodians might ask for a signature guarantee or similar evidence that the person submitting the disclaimer is in fact the primary beneficiary, but there is probably some variation from custodian to custodian.
Yes, if the disclaimer is qualified and accepted by the custodian, the disclaimant is considered to have pre deceased the IRA owner and therefore the account would pass to the contingent beneficiary(s).
Permalink Submitted by george collins on Thu, 2012-06-14 22:10
[quote=”[email protected]“]Custodians might ask for a signature guarantee or similar evidence that the person submitting the disclaimer is in fact the primary beneficiary, but there is probably some variation from custodian to custodian.
Yes, if the disclaimer is qualified and accepted by the custodian, the disclaimant is considered to have pre deceased the IRA owner and therefore the account would pass to the contingent beneficiary(s).[/quote]
Alan, would this also be considered out of the disclaimer’s Estate?
jerry
Permalink Submitted by mk foss on Thu, 2012-06-14 23:37
Assets disclaimed with a valid disclaimer are not considered gifts. They are not part of the disclaimers estate wither.
Permalink Submitted by george collins on Fri, 2012-06-15 12:56
[quote=”[email protected]“]Assets disclaimed with a valid disclaimer are not considered gifts. They are not part of the disclaimers estate wither.[/quote]
Mary–thanks