Lily dies early in 2009. All her property passes subject to her will, which provides that her surviving husband, Rick, is to receive all the property outright. Her will further states that any property Rick disclaims will pass instead to their children in equal shares. Lily's gross estate is about $5 million, and her Sec. 2053 deductions are very small. Rick, who is in poor health, already owns about $3 million of property.
What would the costs and benefits be of having Rick make a disclaimer? If he were to make a disclaimer, how much should he disclaim?