Current through Register Vol. 56, No. 18, September 16, 2024
(a) Except as otherwise
indicated in this chapter, written consent to transfer or release (waiver) of any
real property or any tangible or intangible personal property must be obtained from
the Director prior to such transfer or release where:
1. Such property is held by an executor,
administrator, trustee, individual, firm, association, partnership, organization, or
corporation including any banking institution, trust company, or safe deposit
company organized under the laws of New Jersey; national bank operating in this
State; building and loan or savings and loan associations engaged in New Jersey; or
credit unions chartered by the United States operating in this State; and
2. Such property belongs to or stands in the name
of a resident decedent or in the names of a resident decedent and one or more
persons, to an executor, administrator, or legal representative of a resident
decedent, or upon his or their order or request, or, to the survivor or survivors
when held in the joint names of a resident decedent and one or more persons, or upon
his or their order or request.
(b) No waivers are required in estates of
nonresident decedents, except for a transfer inheritance tax waiver for real
property located in the State of New Jersey. See
N.J.A.C.
18:26-11.4(c).
1. It must, however, be established in detail that
the decedent was legally domiciled in a jurisdiction other than New Jersey to the
satisfaction of the trustee, individual, firm, association, partnership,
organization, or corporation (its transfer agent) including any banking institution,
trust company, or safe deposit company organized under the laws of New Jersey;
national bank operating in this State; building and loan or savings and loan
associations engaged in New Jersey; or credit unions chartered by the United States
operating in this State. To do this, the personal representative of the estate
should file with the proper party an affidavit providing details as to domicile,
including the following:
i. Place of residence and
voting;
ii. Social and business
affiliations;
iii. Jurisdictions where
the last five income tax returns were filed prior to death;
iv. Date of commencement and length of actual
residence in place claimed as legal domicile;
v. Whether decedent formerly resided in New Jersey
and, if so, what facts are relied upon to establish abandonment of New Jersey and
intention not to return.
2.
If the party in possession or control of the property determines from the proofs
submitted that decedent was legally domiciled outside of New Jersey, that party may
transfer the stock or obligation of the corporation or any other tangible or
intangible personal property without the written consent of the Director,
permanently maintaining the affidavit as authority for the action taken.
(c) The Director waives the requirement
to file a waiver in the case of certain transfers to Class "A" transferees, in the
estate of New Jersey domiciled decedent. In order to satisfy a corporation or its
transfer agent, including any banking institution, trust company organized under the
laws of New Jersey, national bank operating in this State, building and loan or
savings and loan association in New Jersey, or credit union chartered by the United
States operating in this State that intangible assets may be released to the Class
"A" transferee, an Affidavit of Waiver (Form L-8) can be executed by the Class "A"
transferee or the personal representative of the decedent's estate.
1. If two or more executors or administrators
qualify, the affidavit may be executed by one of them.
2. The Class "A" transferee can execute a Form L-
8 in all cases where under the terms of the account or instrument and applicable
State law the Class "A" transferee has the right of survivorship or is the named
beneficiary. Letters testamentary or of administration are not required to be
attached as part of the affidavit when executed by the Class "A" transferee, except
as provided in (c)3 below.
3. Where the
Class "A" transferee has qualified as executor or administrator of the decedent's
estate, intangible assets that pass to the Class "A" transferee under a will or law
of intestate distribution may be released by the affidavit together with assets
described in (c)2 above, provided that the Class "A" transferee's letters
testamentary or of administration are attached and made a part of the Form L- 8 as
provided in (c)1 above. Where the Class "A" transferee has not qualified as an
executor or administrator of the decedent's estate, only intangible assets may be
released by the Form L- 8 in accordance with (c)2 above.
4. A separate Form L- 8 is required for each
institution, organization, or corporation releasing assets to a Class "A"
transferee.
5. The Form L- 8 of waiver
by the Class "A" transferee cannot be used for the following:
i. Real property;
ii. Tangible personal property transfers from a
decedent to a Class "A" transferee;
iii.
Where a disclaimer has been filed; or
iv. For transfers through a third party, such as a
testamentary trust.
(d) Estate tax waivers are required if the
decedent died after December 31, 2001. Estate tax waivers are not required if a
decedent died on or prior to December 31, 2001.
(e) In the absence of the express approval of the
Director, waivers are issued no earlier than 10 business days following the receipt
of the tax payment.
