MARVIN MANDEL, Governor                                    153

THE OTHER INTERESTS IN THE ESTATE OF THE DECEDENT, OR
GOVERNED BY THE INSTRUMENT, BECAUSE OF:

(1)    AN INCREASE IN THE AMOUNT OR SIZE OF THE
GIFT RESULTING FROM AN ELECTION BY THE FIDUCIARY, UNDER
THE TAX LAW, TO TREAT ESTATE ADMINISTRATION EXPENSES AS
INCOME TAX DEDUCTIONS OVER THE AMOUNT OR SIZE OF THE GIFT
HAD THE CONTRARY ELECTION BEEN MADE, OR

(2)   ANY INCREASE OR DECREASE IN THE AMOUNT OR
SIZE OF THE GIFT RESULTING FROM AN ELECTION BY THE
FIDUCIARY, UNDER THE TAX LAW, OF AN ESTATE TAX VALUATION
DATE OTHER THAN THE DATE OF THE DEATH OF THE DECEDENT AS
COMPARED WITH THE AMOUNT OR SIZE OF THE GIFT HAD THE
CONTRARY ELECTION BEEN MADE.

(C) ELECTION NOT REQUIRED.

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 A
DECEDENT WHICH QUALIFIES FOR AN ESTATE TAX MARITAL
DEDUCTION UNDER [[A]] 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, THE DEFINITIONS DO NOT CONSTITUTE A
DIRECTION BY THE DECEDENT TO THE FIDUCIARY TO EXERCISE AN
ELECTION RESPECTING THE DEDUCTION OF ESTATE
ADMINISTRATION EXPENSES OR THE DETERMINATION OF THE
ESTATE TAX VALUATION DATE, WHICH THE FIDUCIARY MAY HAVE
UNDER THE TAX LAW, ONLY IN A MANNER AS WILL RESULT IN A
LARGER ALLOWABLE ESTATE TAX MARITAL DEDUCTION THAN IF THE
CONTRARY ELECTION HAD BEEN MADE.

REVISOR'S NOTE.: This section presently appears as
Art. 93, §11-106. The only changes are in
style and language.

11-107. [[DISTRUBITION]] DISTRIBUTION IN KIND, USING
FEDERAL ESTATE TAX VALUES.

WHENEVER A WILL OR OTHER GOVERNING INSTRUMENT:

(1)    SPECIFICALLY AUTHORIZES A FIDUCIARY TO
SATISFY A LEGACY OR TRANSFER BY SELECTION AND
DISTRIBUTION OF ASSETS IN KIND; AND

(2)    PROVIDES THAT THE VALUE OF THE ASSETS TO
BE DISTRIBUTED SHALL BE DETERMINED BY REFERENCE TO THEIR
VALUE FOR PURPOSES OF PAYMENT OF FEDERAL ESTATE TAXES,
THE FIDUCIARY SHALL DISTRIBUTE ASSETS, INCLUDING CASH,
HAVING AN AGGREGATE FAIR MARKET VALUE AT THE DATE OR