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F-415.1 Division of Welfare and Supportive Services TRANSFER OF ASSETS Medical Assistance Manual TREATMENT OF JOINTLY OWNED ASSETS 23 Oct 01 MTL 04/23 F-415.1 Treatment of Jointly Owned Assets

When an asset is held by an individual in common with another person or persons via joint tenancy, tenancy in common, joint ownership or a similar arrangement, the asset (or affected portion of the asset) is considered to be transferred by the individual when any action is taken, either by the individual or any other person, that reduces or eliminates the individual's ownership or control of the asset.

When a transfer of assets situation is identified, individuals must be allowed an opportunity to rebut the presumption of ownership. Either individual can provide convincing evidence the assets transferred were the sole property of the other person.

The account resource balance will be presumed available to the individual unless the individual can successfully prove the funds are not his/hers. This portion will be considered a transfer of assets if withdrawn by the other individual or given away by the individual.

In the event of a divorce of an institutionalized applicant or recipient of Medicaid, a copy of the divorce decree and property settlement agreement must be provided to the case manager.

In the event that the court made an unequal disposition of the community property and failed to find a compelling reason set forth in writing for making such unequal disposition as required in state statute, this will be deemed to be a transfer of assets for less than fair market value to the extent of the unequal division. (NRS 125.150)

F-415.2 Treatment of Certain Kinds of Asset Transfers

Life Estates, Promissory Notes, Loans or Mortgages

a. Treatment of Life Estates Prior to April 1, 2006:

In a transaction involving a life estate, a transfer of assets has occurred:

1. Whenever the value of the transferred asset is greater than the value of the rights conferred (given) by the life estate.

b. Treatment of Life Estates and Promissory Notes, Loans or Mortgage Purchases on or after April 1, 2006:

In a transaction involving a life estate, a transfer of assets has occurred:

1. When the individual purchasing a life estate in another individual’s home has not actually resided in the home for a period of at least one year after the date of purchase.

2. When payment exceeds the fair market value of the life estate.

3. When an individual makes a gift or transfers interest in a life estate.

Note: The amount of the transfer is the entire amount used to purchase the life estate. This amount is not reduced or prorated to reflect an individual’s residency for any time less than a year.