You have it right. Marshall, Parker & Weber is open and available to help you assess what documents you may need or whether your current plan is in good shape. By definition, filing what is known as a Qualified Disclaimer (“disclaimer”) is what an estate beneficiary does when he or she does not wish to claim an inheritance share. [This posting is an update of an article I originally posted on April 8, 2018.] In order to be eligible for Medicaid, there are both income and asset limits. The best advice is to talk with an accountant and get advice on how to best to accomplish this. Real property […] Other Necessary Tax Filings. Estate Bequests, Disclaimers and Medicaid Penalties A Bequest From An Estate To Someone On Medicaid Cannot Be Simply “Disclaimed” Because A Medicaid Penalty Will Apply. Child Quality Measure Data. In federal fiscal year (FFY) 2019, reported of 22 frequently reported health care quality measures in the CMS Medicaid/CHIP Child Core Set. When your mother receives her inheritance, you or whoever is representing her will have to inform the Medicaid agency for your state. Exact rules vary from state to state. The asset limit for a single senior in PA is $2,000, with an additional $6,000 that can be retained for some individuals who have particularly low income. An inheritance, which is something received as a result of someone’s death, is counted as unearned income. The provisions of this § 181.103 issued under section 403(b) of the Public Welfare Code (62 P. … The PA inheritance tax would be 12% of that, or $36,000. The Pennsylvania inheritance tax isn’t the only applicable tax for the estates of decedents. Department of Human Services Provides Updates on Work Supports System for Medicaid Re... February 04, 2021. In addition, the PA Affordable Care Act expansion for Medicaid also allowed children in households with incomes up to 319 percent of the federal poverty line to be eligible for either Medicaid or the Children’s Health Insurance Program (CHIP). For the state of Pennsylvania, as a general rule of thumb, seniors must have income no greater than $2,250 / month. Here are Pennsylvania’s rules on the most common exempt resources: Home, at least up to $500,000 in equity. One reason for confusion with inheritances of married individuals is that inheritance assets, if kept separately, can be considered non-marital property protected in a divorce proceeding. An inheritance can be cash, or a right or interest in real or personal property. Authority. If you do not live in Pennsylvania, for all these observations note that you should check the rules of the state where Medicaid services are to be received. Inheritance does affect Medicaid eligibility and the results can be even more dramatic if she is covered by Medicare because of her disability. Example: 1 Pa. Code § 17.51. Medicaid coverage will then end until she has again spent down her money to the countable asset limit, $2,000 in many states. The information for the Pennsylvania Code included at this website has been derived directly from the Pennsylvania Code, the Commonwealth's official publication of rules and regulations.Cite all material in the Pennsylvania Code by title number and section number. To be eligible for Medicaid, an applicant can own only a modest amount of “resources.” But some resources are exempt, meaning they will be excluded when determining eligibility.