Ch. 2

LAWS OF MARYLAND

... or other disposition" are deleted as unnecessary
since this section applies to transfers of property.

Also in the introductory language of subsection (a) of
this section, the former reference to a "territory of
the United States" and the second sentence of former
Art. 81, § 174, which included possessions and the
District of Columbia, are deleted as included in the
defined term "state".

Also in the introductory language of subsection (a) of
this section, the former parenthetical phrase
"including also therein mortgages upon real or
personal property located within the State of
Maryland" is deleted as included in the term "personal
property".

In subsection (a)(1) and (2) of this section, the
former parenthetical references to exceptions for
"tangible personal property having an actual situs in
such state or territory or foreign country" are
deleted as surplusage.

Also in subsection (a)(1) and (2) of this section, the
former references to "transfer tax[es] ... of [any]
character" are deleted as surplusage.

In subsection (a)(2) of this section, the reference to
a "reciprocal exemption ... similar to the exemption
allowed under this subsection" is substituted for the
former reference to an "exemption provision under
which residents of Maryland are exempted ... provided
the State of Maryland allows a similar exemption to
residents of the state, territory or country of
residence of the decedent", for clarity.

For parallel exemption provisions that are similar to
those in this section and apply to the inheritance tax
and the tax on commissions, see §§ 7-203(f) and 7-402
of this title, respectively.

Defined terms: "Death taxes" § 7-101

"Estate" § 7-301 "Maryland estate tax" § 1-101

"Property" § 1-101 "State" § 1-101

7-304. AMOUNT OF TAX.

(A) "FEDERAL CREDIT" DEFINED.

IN THIS SECTION, "FEDERAL CREDIT" MEANS THE MAXIMUM CREDIT
FOR DEATH TAXES PAID TO ANY STATE THAT IS ALLOWABLE UNDER § 2011
OF THE INTERNAL REVENUE CODE AGAINST THE FEDERAL ESTATE TAX OF A
DECEDENT AS REDUCED BY THE PROPORTION THAT THE AMOUNT OF THE
ESTATE NOT INCLUDED IN THE MARYLAND ESTATE BEARS TO THE AMOUNT OF
THE ENTIRE ESTATE OF THE DECEDENT.

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