Revenue Administrative Bulletin 1989-43

INHERITANCE TAX - AUTOMATIC WAIVERS OF NOTICE AND/OR 15-DAY WAITING PERIOD

FOR TRANSFERS OF A DECEDENT'S PROPERTY

Approved: May 5, 1989

 

RAB-89-43. This Revenue Administrative Bulletin lists the automatic waivers of notice that the Department of Treasury has granted for transfers subject to notice requirements un MCL 205.209-.290f.

Waiver of Notice and 15-Day Waiting Period

1.     Transfers to Joint or Common Owners of a Safe Deposit Box

The Department waives the notice and 15-day waiting period requirements under MCL 205.209-.209f, for the transfer of assets contained in a safe deposit box or compartment when the transfer is to a join or common owner of the box. In the case of such assets owned at date of death by a resident decedent the waiver is made pursuant to the Department’s authority under MCL 205.209f. (The authority under MCL 205.209f, to prescribe conditions for notice includes the authority to waive notice altogether.)

2.     Transfers of Less Than $100

The Department waives the notice and 15-day waiting period requirements under MCL 205.209-.209f, for the transfer of assets whose aggregate worth is less than $100. The waiver is made pursuant to the Department’s authority under MCL 205.209e.

 

3.     Transfers to the Decedent’s Spouse

The Department waives the notice and 15-day waiting period requirements under MCL 205.209-.209f, for the transfer of assets to the decedent’s spouse. The waiver is made pursuant to the Department’s authority under MCL 205.209e.

4.     Transfers to a Join Owner with Right of Survivorship

The Department waives the notice and 15-day waiting period requirements under MCL 205.209-.209f, for the transfer of assets to a party who form more than two years prior to the decedent’s death owned the property with the decedent as a joint owner with right of survivorship. The waiver is made pursuant to the Department’s authority under MCL 205.209e.

 

Waiver of 15-Day Waiting Period

1.     Transfers of $10,000 or Less to Members in the Family Line

 

The department waives the 15-day waiting period requirement (but not the notice requirements), under MCL 205.209-.209f, for the transfer of assets whose aggregate worth is $10,000 or less, when the transfer is to a member of the decedent’s family line. The members of the decedent’s family line are the decedent’s husband, wife, parents, grandparents, children, adopted children, brothers or sisters, including half-bloods, and sons-in-law and daughters-in-law even though widowed (by death, but not divorced) and remarried. The waiver is made pursuant to the Department’s authority under MCL 205.209e.

 

2.     Transfers to Personal Representatives in Their Capacity as Personal Representatives and not as Beneficiaries of the Estate

 

The Department of Treasury waives the 15-day waiting period requirements, but not the notice of requirements, under MCL 205.209-.209f, for the transfer of assets to personal representatives acting in their capacity as personal representatives and not as beneficiaries of the estate.

 

Note: This waiver of waiting period applies to all transfers of assets to personal representatives acting in their capacity as personal representatives, whether or not the assets are contained in a safe deposit box. The waiver is made pursuant to the Department‘s authority under MCL 205.209e.

Effect of Waiver

When assets are transferred under a Department of Treasury waiver of the notice requirements contained in MCL 205.209-.209f, the notice requirements are deemed to have been complied with. Such compliance with the notice requirements has the sole effect of releasing the holder from liability for Michigan inheritance tax, interest, and penalty due on the estate of the decedent. [MCL 205.209c] When the Department approves a transfer of assets the approval does not confer a right to receive the assets nor does the approval affect the holder’s liability to rightful owners or possessors, for improperly transferring assets to parties not entitled to receive the assets.