Disclaimer and Renunciation of Interest (Qualified Disclaimer) — Kentucky

Two deadlines: Under KRS § 394.620(1), a disclaimer of a present interest must be filed in Kentucky District Court within nine months after the death of the decedent or donee of the power. The federal qualified-disclaimer rule in 26 C.F.R. § 25.2518-2(c)(1) separately requires delivery within nine months after the later of the transfer creating the interest or the disclaimant's 21st birthday. The federal age-21 extension does not extend Kentucky's filing deadline. Confirm both before signing.

DISCLAIMER AND RENUNCIATION OF INTEREST (QUALIFIED DISCLAIMER)

Choose one extent in Section 2. A fractional disclaimer must cover the same fraction of every substantial right in the identified interest for its entire term. Confirm that the portion has not been accepted and will pass without your direction.

COMMONWEALTH OF KENTUCKY

TABLE OF CONTENTS

1. Disclaimant Information
2. Identification of the Transfer and Interest Disclaimed
3. Statutory Authority
4. The Disclaimer
5. Qualified-Disclaimer Representations
6. Effect and Passing of the Disclaimed Interest
7. Irrevocability and Binding Effect
8. Filing, Delivery, and Recording
9. Signature, Acknowledgment, and Notarization
10. Verification / Declaration
11. Certificate of Delivery / Service
12. Attachments Checklist

1. DISCLAIMANT INFORMATION

The undersigned (the "Disclaimant") is a living person, or the legal representative of a living person, who is entitled to disclaim the right of succession under KRS 394.610, namely a(n): ☐ heir ☐ next of kin ☐ devisee ☐ legatee ☐ joint tenant ☐ person succeeding to a disclaimed interest ☐ beneficiary under a testamentary instrument ☐ appointee under a power of appointment exercised by a testamentary instrument ☐ other: [____________________].

2. IDENTIFICATION OF THE TRANSFER AND INTEREST DISCLAIMED

Source of the interest (check all that apply):
☐ Last Will and Testament of the Decedent
☐ Intestate succession (KRS Chapter 391)
☐ Testamentary trust interest
☐ Joint tenancy with right of survivorship
☐ Power of appointment exercised by a testamentary instrument
☐ Other interest expressly within KRS § 394.610: [________________________________]

Extent of the disclaimer (choose one):

☐ Entire interest. The Disclaimant disclaims the entire separate interest described above.

☐ Undivided portion. The Disclaimant disclaims an undivided [____]% or [____]/[____] of the separate interest described above. This same fraction applies to each and every substantial right in that interest for its entire term, including property into which the interest is converted. The remaining fraction is retained. Identify the interest and fraction precisely; do not describe only selected rights or a limited period.

Legal description of any real property disclaimed (or see attached Exhibit A): [________________________________]

3. STATUTORY AUTHORITY

This Disclaimer is made under KRS §§ 394.610–394.640 for an interest within those provisions and is intended to satisfy the federal qualified-disclaimer requirements in 26 U.S.C. § 2518 and 26 C.F.R. §§ 25.2518-2 and 25.2518-3. Check other transfers separately before using this form.

• KRS 394.610 authorizes a living person (or the legal representative of a living person) who is an heir, next of kin, devisee, legatee, joint tenant, person succeeding to a disclaimed interest, beneficiary under a testamentary instrument, or appointee under a power of appointment exercised by a testamentary instrument to disclaim, in whole or in part, the right of succession to any property or interest, including a future interest. The instrument must (a) describe the property or interest disclaimed; (b) declare the disclaimer and the extent thereof; and (c) be signed by the disclaimant.
• KRS 394.620 requires a disclaimer of a present interest to be filed not later than nine (9) months after the death of the decedent or donee of the power; a disclaimer of a future interest to be filed not later than nine (9) months after the interest becomes finally ascertained and indefeasibly vested; specifies the place of filing and delivery; and permits recording where real property is disclaimed.
• KRS 394.640 provides that the right to disclaim exists notwithstanding a spendthrift or similar restriction, and that the disclaimer is binding on the disclaimant and all persons claiming through or under the disclaimant.

4. THE DISCLAIMER

The Disclaimant, intending to be legally bound, hereby IRREVOCABLY and UNQUALIFIEDLY DISCLAIMS and RENOUNCES the interest or undivided portion selected in Section 2 above, including all substantial rights in that selected interest or portion for its entire term.

This Disclaimer is made freely, voluntarily, and with full knowledge of its legal and tax consequences.

5. QUALIFIED-DISCLAIMER REPRESENTATIONS

The Disclaimant represents and certifies that:

☐ This Disclaimer is in writing, describes the property or interest disclaimed, declares the disclaimer and its extent, and is signed by the Disclaimant, as required by KRS § 394.610(2) and 26 C.F.R. § 25.2518-2(b).

☐ For a present interest, this Disclaimer is being filed in Kentucky District Court within nine (9) months after the death of the Decedent or donee of the power under KRS § 394.620(1). For a future interest, counsel has determined the separate filing trigger in subsection (2): [DATE AND EVENT: ________________________________].

☐ Separately, this signed writing is being delivered to a recipient permitted by 26 C.F.R. § 25.2518-2(b)(2) within the federal period in subsection (c)(1), measured from the later of the transfer creating the interest or the Disclaimant's 21st birthday. State filing and federal delivery are recorded separately below.

☐ The Disclaimant has NOT accepted the interest or portion disclaimed or any of its benefits, and has not assigned, conveyed, encumbered, pledged, transferred, or contracted to transfer that interest or portion, and has not executed any written waiver of the right to disclaim (KRS § 394.640; 26 C.F.R. § 25.2518-2(d)).

☐ If an undivided portion is selected, the fraction in Section 2 covers every substantial right in the separate interest for its entire term, as required by 26 C.F.R. § 25.2518-3(b); no right or time period is carved out of the disclaimed fraction.

☐ The disclaimed interest passes without any direction on the part of the Disclaimant, as required by 26 C.F.R. § 25.2518-2(e).

☐ As a result of this Disclaimer, the interest passes as if the Disclaimant had predeceased the Decedent (or the donee of the power), as provided by KRS 394.630.

6. EFFECT AND PASSING OF THE DISCLAIMED INTEREST

Under KRS 394.630, unless the Decedent or donee of the power has otherwise provided, the disclaimed property or interest devolves as if the Disclaimant had predeceased the Decedent (or, for an interest taken under a power of appointment exercised by a testamentary instrument, as if the Disclaimant had predeceased the donee of the power). A future interest that takes effect after the termination of the disclaimed interest takes effect as if the Disclaimant had predeceased the Decedent or donee of the power. The Disclaimer relates back for all purposes to the date of the death of the Decedent or the donee of the power.

The Disclaimant does not direct to whom the disclaimed interest passes; it passes solely by operation of the governing instrument and Kentucky law.

7. IRREVOCABILITY AND BINDING EFFECT

The Disclaimant intends this Disclaimer to be irrevocable. Under KRS § 394.640(3), an effective disclaimer binds the Disclaimant and persons claiming through or under the Disclaimant. The right to disclaim exists notwithstanding a spendthrift or similar restriction under subsection (2).

8. FILING, DELIVERY, AND RECORDING

Pursuant to KRS § 394.620, the Disclaimant shall complete the filing and delivery steps and record a real-property copy if appropriate:

File this Disclaimer with the District Court of [____________] County, Kentucky, in which proceedings for the administration of the estate of the deceased owner or deceased donee of the power have been or could be commenced. Filing date: [__/__/____].

Deliver a copy of this Disclaimer, in person or by registered or certified mail, to any personal representative or other fiduciary of the Decedent or donee of the power. Recipient and date: [________________________________]. Separately confirm delivery to a federally permitted recipient within the federal deadline.

☐ Record a copy of this Disclaimer in the Office of the County Clerk of [____________] County, Kentucky, in which the real estate is situated, if real property or an interest in real property is disclaimed (KRS 394.620(3)).

9. SIGNATURE, ACKNOWLEDGMENT, AND NOTARIZATION

Executed this [____] day of [____________], 20[____].

Disclaimant Signature: ______________________________________

Printed Name: [________________________________]

ACKNOWLEDGMENT

COMMONWEALTH OF KENTUCKY )
COUNTY OF [____________] )

Before me, the undersigned Notary Public in and for said county and Commonwealth, personally appeared [DISCLAIMANT FULL LEGAL NAME], known to me (or satisfactorily proven) to be the person whose name is subscribed to the foregoing instrument, who acknowledged before me that he/she executed the same voluntarily on the day the same bears date.

Given under my hand and official seal this [____] day of [____________], 20[____].

______________________________________
Notary Public
Printed name: [________________________________]
My commission expires: [__/__/____]
Commission number: [________________]

[NOTARY SEAL]

10. VERIFICATION / DECLARATION

I, [DISCLAIMANT FULL LEGAL NAME], declare that the foregoing is true and correct, that I have not accepted the disclaimed interest or any benefit thereof, and that I make this Disclaimer of my own free will.

Signature: ______________________________________
Date: [__/__/____]

11. CERTIFICATE OF DELIVERY / SERVICE

I certify that on the date(s) shown below a true and correct copy of this Disclaimer was delivered (in person, or by registered or certified mail, return receipt requested) to the following:

Signature: ______________________________________
Printed Name: [________________________________]

12. ATTACHMENTS CHECKLIST

☐ Copy of the Last Will and Testament, trust instrument, or beneficiary designation creating the disclaimed interest
☐ Exhibit A — legal description of any real property disclaimed
☐ Certified copy of the Decedent's Death Certificate
☐ Proof of delivery / mailing (registered or certified mail receipts)
☐ Copy of the recorded Disclaimer (County Clerk), if real property is involved
☐ File-stamped copy from the District Court (estate proceeding)
☐ Court order authorizing disclaimer by legal representative (if applicable, KRS 394.610(3))

SOURCES AND REFERENCES

• KRS 394.610 (Right to disclaim succession) — https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=36299
• KRS 394.620 (Filing deadline and place) — https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=36300
• 26 U.S.C. § 2518 (Federal qualified-disclaimer statute) — https://uscode.house.gov/download/releasepoints/us/pl/119/120/[email protected]
• 26 C.F.R. §§ 25.2518-2 and 25.2518-3 (Federal qualified-disclaimer rules) — https://www.govinfo.gov/bulkdata/ECFR/title-26/ECFR-title26.xml