43 C.F.R. § 30.187

What happens if I do not designate any eligible individual or entity to receive the renounced interest?

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If you do not designate any individual or entity to receive the renounced interest, or if you designate an individual or entity who is not eligible to receive the renounced interest, the interest will descend to the decedent's heirs or devisees as if you predeceased the decedent.