Transfer of death deed approved

Senators passed a bill March 30 that provides an asset specific mechanism for the nonprobate transfer of land.

LB536, introduced by Lexington Sen. John Wightman, permits individuals with an interest in real property to enable the owner to pass the property to a beneficiary on the owner’s death directly and without probate.

Under the bill, a transferor must sign a document under oath and in the presence of two disinterested witnesses affirming that he or she is not a minor and is of sound mind and that the transfer is voluntary.

If the transferred property is agricultural land, a transferor may designate his or her interest in growing crops to the estate or to one or more of the designated beneficiaries. If a deed does not contain a crop designation, a transferor’s interest in the growing crops passes to the estate.

Finally, property deeds between a spouse and ex-spouse or between a parent and child are tax exempt under the bill.

LB536 passed on a 40-0 vote.