152                                               LAWS OF MARYLAND                              [Ch. 11

(E)   EXEMPTION FROM TAXES AND DEBTS.

DEATH BENEFITS PAYABLE AS PROVIDED IN THIS SECTION,
UNLESS PAID TO A PERSONAL REPRESENTATIVE UNDER THE
PROVISIONS OF SUBSECTION (E), ARE NOT CONSIDERED PART OF
THE ESTATE OF THE DECEDENT, AND ARE NOT SUBJECT TO ANY
OBLIGATION TO PAY TAXES, DEBTS, OR OTHER CHARGES
ENFORCEABLE AGAINST THE ESTATE OF THE DECEDENT, EXCEPT AS
PROVIDED IN §11-109.

(F)   COMMINGLING OF ASSETS.

DEATH BENEFITS HELD IN TRUST MAY BE COMMINGLED WITH
OTHER ASSETS WHICH MAY PROPERLY COME INTO THE TRUST.

REVISOR'S NOTE: This section presently appears as
Art. 93, §11-105. The only changes are in
style and language.

11-106. TAX ELECTIONS BY FIDUCIARIES.
(A) DEDUCTIONS.

UNLESS OTHERWISE EXPRESSLY PROVIDED BY A WILL OR
OTHER CONTROLLING INSTRUMENT, [[UNDER WHICH A TRUST IS
CREATED OR MADE]] WHERE A PERSON IS GIVEN AN INTEREST IN
INCOME, AM ESTATE FOR YEARS OR FOR LIFE, OR OTHER
TEMPORARY INTEREST IN A TRUST OR OTHER ASSETS AND, UNDER
A TAX LAW OF THE UNITED STATES, THE PERSONAL
REPRESENTATIVE OR OTHER PERSON ACTING IN A FIDUCIARY
CAPACITY FOR THE DECEASED MAKER OF THE WILL OR OTHER
INSTRUMENT[[,]] IS GIVEN AN ELECTION TO TREAT
ADMINISTRATION EXPENSES OF THE ESTATE OF THE DECEDENT
PAID FROM OR CHARGEABLE TO THE PRINCIPAL OF THE TRUST OR
OTHER ASSETS EITHER AS INCOME TAX DEDUCTIONS OR ESTATE
TAX DEDUCTIONS, AND THE FIDUCIARY ELECTS TO TREAT THE
EXPENSES IN WHOLE OR IN PART AS INCOME TAX DEDUCTIONS,
WITH THE RESULT THAT ESTATE TAXES IMPOSED UNDER THE LAW
AND PAID FROM OR CHARGEABLE TO PRINCIPAL ARE GREATER THAN
IF THE CONTRARY ELECTION HAD BEEN MADE, AN AMOUNT EQUAL
TO THE DIFFERENCE IN ESTATE TAXES SHALL BE REIMBURSED TO
PRINCIPAL FROM THE INCOME OF THE TRUST OR OTHER ASSETS.

(E) ADJUSTMENT NOT NECESSARY.

UNLESS OTHERWISE EXPRESSLY PROVIDED BY A WILL OR
OTHER CONTROLLING INSTRUMENT, UNDER WHICH A GIFT IS MADE
TO OR FOR THE BENEFIT OF THE SURVIVING SPOUSE OF THE
DECEDENT WHICH QUALIFIES FOR AN ESTATE TAX MARITAL
DEDUCTION UNDER THE TAX LAW OF THE UNITED STATES AND THE
AMOUNT OR SIZE OF THE GIFT IS DEFINED BY THE TERMS OF THE
WILL OR OTHER CONTROLLING INSTRUMENT IN TERMS OF THE
MAXIMUM MARITAL DEDUCTION ALLOWABLE UNDER THE TAX LAW, NO
ADJUSTMENT IS REQUIRED TO BE MADE BETWEEN THE GIFT AND