Disclaiming an interest under an intestacy

[carolinehs]

My brother died without a will. He was never married nor had any children. His estate is worth more than the nil rate.

Our mother is still alive, and I have one other brother.

I understand that according to the rules of intestacy our Mother will inherit his estate.

His estate consists of shared ownership of 3 houses with my brother and I, that we inherited from our father. Our parents had been divorced for nearly 40 years and our Mother feels that my brother and I should be inheriting our deceased brother's estate.

I have heard that it is possible for our Mother to legally disclaim her inheritance. Is this true? Does this count as a gift to my brother and I, in other words, If she does will there be IHT implications (in addition to the IHT payable on our brother's estate) if our Mother passes away within 7 years.

Any advice would be gratefully received. Thank you

[maths]

If the beneficial interest of your brother was held as a joint tenant then on his death his interest automatically passes to the other owners of the property under the law of survivorship ie as mother doesn't own any interest in the properties she does not inherit under the laws of intestacy.

If, however, his interest was held beneficially as a joint tenant in common then his interest would pass under the laws of intestacy ie as you state, mother inherits. In which case, probably preferable for mother to execute a Deed of Variation under which she can specifically redirect her inheritance to you and/or others. No IHT arises for mother and IHT on brother's estate remains the same.

DoV must be executed within 2 years of brother's death.