Disclaimer and Renunciation of Interest (Qualified Disclaimer) — Montana

FEDERAL TAX TIMING: To qualify under 26 U.S.C. § 2518, the signed writing generally must be received no later than nine months after the later of the transfer creating the interest or the disclaimant's 21st birthday. The disclaimant must not accept the interest or its benefits, and the interest must pass without the disclaimant's direction to the decedent's spouse or to someone other than the disclaimant. Montana counsel and tax counsel must identify the transfer date and recipient before signing.

DISCLAIMER AND RENUNCIATION OF INTEREST (QUALIFIED DISCLAIMER)

STATE OF MONTANA

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. Delivery, Filing, 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 the person to whom the interest would have passed absent a disclaimer, or a legally authorized fiduciary acting for that person, under Mont. Code Ann. §§ 72-2-818 and 72-2-821, namely a(n): ☐ heir ☐ devisee ☐ grantee ☐ donee ☐ surviving joint holder ☐ beneficiary under a governing instrument or beneficiary designation ☐ appointee under a power of appointment ☐ 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
☐ Revocable or testamentary trust
☐ Beneficiary designation (life insurance, retirement plan, annuity, POD/TOD account, or security registered in beneficiary form)
☐ Joint tenancy with right of survivorship
☐ Power of appointment
☐ Other: [________________________________]

Extent of the disclaimer:
☐ Full disclaimer — the Disclaimant disclaims the entire interest described above.
☐ Partial disclaimer — the Disclaimant disclaims only the following fraction, percentage, monetary amount, term of years, limitation of a power, or other described part: [____________________]. Mont. Code Ann. § 72-2-821 authorizes a disclaimer in whole or part.

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

3. STATUTORY AUTHORITY

This Disclaimer is made under the applicable provisions of Mont. Code Ann. §§ 72-2-821 through 72-2-831 and is intended to constitute a qualified disclaimer under 26 U.S.C. § 2518 and Treas. Reg. § 25.2518-2.

• Mont. Code Ann. § 72-2-821 permits a person or authorized fiduciary to disclaim an interest or power in whole or part despite a spendthrift or similar transfer restriction. The record must declare the disclaimer, describe the interest or power, be signed, and be delivered or filed under § 72-2-828.
• Mont. Code Ann. §§ 72-2-822 through 72-2-827 determine when a disclaimer takes effect and where the interest or power passes for the particular property type.
• Mont. Code Ann. § 72-2-829 identifies events that bar or limit a disclaimer, including acceptance, transfer, encumbrance, pledge, a contract to transfer, a judicial sale, or a written waiver.
• Mont. Code Ann. § 72-2-830 recognizes a disclaimer or transfer treated as tax-qualified under federal law.

4. THE DISCLAIMER

The Disclaimant hereby UNQUALIFIEDLY DISCLAIMS and RENOUNCES all—or the precise part selected in Section 2—of the interest or power described above. This record declares the disclaimer and describes its extent as required by Mont. Code Ann. § 72-2-821(3). Under § 72-2-821(5), the disclaimer becomes irrevocable when it has been delivered or filed under § 72-2-828 or becomes effective under §§ 72-2-822 through 72-2-827, whichever occurs later.

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 a signed writing or record that declares the disclaimer and describes the disclaimed interest or power, as required by Mont. Code Ann. § 72-2-821(3), 26 U.S.C. § 2518, and Treas. Reg. § 25.2518-2(b).

☐ For federal tax qualification, this writing will be received within nine (9) months after the later of (a) the date of the transfer creating the interest or (b) the date the Disclaimant attained age 21, as required by 26 U.S.C. § 2518(b)(2) and Treas. Reg. § 25.2518-2(c). Tax counsel has identified the transfer date as [__/__/____].

☐ The Disclaimant has NOT accepted the disclaimed interest or any of its benefits, and has not assigned, conveyed, encumbered, pledged, or transferred the interest or contracted to do so (Treas. Reg. § 25.2518-2(d)).

☐ The disclaimed interest passes without any direction on the part of the Disclaimant (26 U.S.C. § 2518(b)(4); Treas. Reg. § 25.2518-2(e)).

☐ The destination and effective date of the disclaimed interest have been reviewed under the governing instrument and the applicable rule in Mont. Code Ann. §§ 72-2-822 through 72-2-827; the Disclaimant does not direct the destination.

☐ This Disclaimer is intended as a qualified disclaimer under 26 U.S.C. § 2518 and the regulations thereunder.

6. EFFECT AND PASSING OF THE DISCLAIMED INTEREST

For an ordinary property interest governed by Mont. Code Ann. § 72-2-822, the interest first passes under any disclaimer provision in the governing instrument. If none applies, § 72-2-822 supplies different rules depending on whether the Disclaimant is an individual, whether descendants take by representation, whether the interest otherwise would pass to the Disclaimant's estate, and whether the interest is a future interest. A survivorship interest in jointly held property instead follows § 72-2-823. Counsel must identify the applicable rule and resulting recipient before execution.

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

7. IRREVOCABILITY AND BINDING EFFECT

Under Mont. Code Ann. § 72-2-821(5), this Disclaimer becomes irrevocable when it is delivered or filed under § 72-2-828 or when it becomes effective under §§ 72-2-822 through 72-2-827, whichever occurs later. Federal qualification separately requires an irrevocable and unqualified refusal under 26 U.S.C. § 2518.

8. DELIVERY, FILING, AND RECORDING

Pursuant to Mont. Code Ann. §§ 72-2-828 and 72-2-831, select the route matching the type of interest:

☐ Will or intestacy interest: deliver to the personal representative; if none is serving, file with a court having jurisdiction to appoint one (§ 72-2-828(3)).

☐ Testamentary trust: deliver to the serving trustee; if none, deliver to the personal representative; if neither is serving, file with a court having jurisdiction to enforce the trust (§ 72-2-828(4)).

☐ Inter vivos trust: deliver to the serving trustee or use the alternate route stated in § 72-2-828(5).

☐ Beneficiary designation: before irrevocability, deliver to the person making the designation; after irrevocability, deliver a personal-property disclaimer to the person obligated to distribute it, or record a real-property disclaimer in the county where the property is located (§ 72-2-828(6)–(7)).

☐ Surviving joint holder: deliver to the person to whom the disclaimed interest passes (§ 72-2-828(8)).

☐ Power of appointment or fiduciary power: use the recipient or court route in § 72-2-828(9)–(12).

Delivery may be by personal delivery, first-class mail, or another method likely to result in receipt. For federal qualification, use a delivery method satisfying Treas. Reg. § 25.2518-2 and retain proof of timely receipt or qualifying timely mailing.

Recording: Under § 72-2-831, a disclaimer generally may be filed, recorded, or registered wherever the instrument transferring the interest may be filed, recorded, or registered. Recording is not generally required for validity between the Disclaimant and successor recipients, except for the real-property beneficiary-designation route in § 72-2-828(7)(b).

9. SIGNATURE AND OPTIONAL ACKNOWLEDGMENT

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

Disclaimant Signature: ______________________________________

Printed Name: [________________________________]

OPTIONAL ACKNOWLEDGMENT — use if required for recording, the asset holder, or counsel's delivery plan

STATE OF MONTANA )
COUNTY OF [____________] )

This instrument was acknowledged before me on this [____] day of [____________], 20[____], by [DISCLAIMANT FULL LEGAL NAME].

______________________________________
Notary Public for the State of Montana
Residing at: [____________________]
My commission expires: [__/__/____]

[NOTARIAL SEAL]

10. VERIFICATION / DECLARATION

I, [DISCLAIMANT FULL LEGAL NAME], declare under penalty of perjury under the laws of the State of Montana 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 or filed under the applicable route in Mont. Code Ann. § 72-2-828:

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 (certified mail receipts, return receipts)
☐ Copy of the recorded Disclaimer, if recording is required or elected
☐ File-stamped copy from the court, if the applicable § 72-2-828 route requires filing

SOURCES AND REFERENCES

• Montana Code Annotated, Title 72, Chapter 2, Part 8 (official current code): https://leg.mt.gov/bills/mca/title_0720/chapter_0020/part_0080/sections_index.html
• Mont. Code Ann. § 72-2-821 — power to disclaim, general requirements, and irrevocability: https://leg.mt.gov/bills/mca/title_0720/chapter_0020/part_0080/section_0210/0720-0020-0080-0210.html
• Mont. Code Ann. §§ 72-2-822 and 72-2-823 — effect for property interests and jointly held property: https://leg.mt.gov/bills/mca/title_0720/chapter_0020/part_0080/sections_index.html
• Mont. Code Ann. § 72-2-828 — delivery or filing: https://leg.mt.gov/bills/mca/title_0720/chapter_0020/part_0080/section_0280/0720-0020-0080-0280.html
• Mont. Code Ann. §§ 72-2-829 through 72-2-831 — bars, tax-qualified disclaimers, and recording: https://leg.mt.gov/bills/mca/title_0720/chapter_0020/part_0080/sections_index.html
• 26 U.S.C. § 2518 — qualified disclaimers (official current preliminary U.S. Code): https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title26-section2518&num=0&edition=prelim
• 26 C.F.R. § 25.2518-2 — requirements for a qualified disclaimer (official current eCFR): https://www.ecfr.gov/current/title-26/part-25/section-25.2518-2