|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PARRIS N. GLENDENING, Governor
|
|
|
|
|
|
Ch. 292
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EXCESS OF THE CHARGES, TAXES, AND EXPENSES, INCLUDING THE EXPENSES OF
THE SALE, SHALL SUBSEQUENTLY BE DISTRIBUTED TO THE BENEFICIARY IN FULL
SATISFACTION OF THE RIGHT TO RECEIVE THE SPECIFIC PROPERTY. IF THE
PROCEEDS OF THE SALE ARE INSUFFICIENT TO SATISFY CHARGES, TAXES, AND
EXPENSES INCIDENT TO THE SPECIFIC PROPERTY, THEN THE PERSONAL
REPRESENTATIVE MAY PAY THE EXCESS EXPENSES, TAXES, AND OTHER CHARGES
OUT OF THE RESIDUARY ESTATE.
(2) A FIDUCIARY SHALL DETERMINE THE REMAINING NET INCOME OF A
DECEDENT'S ESTATE OR A TERMINATING INCOME INTEREST UNDER THE RULES IN
PARTS III THROUGH V OF THIS SUBTITLE WHICH APPLY TO TRUSTEES AND BY:
(I) INCLUDING IN NET INCOME ALL INCOME FROM PROPERTY
USED TO DISCHARGE LIABILITIES;
(II) PAYING FROM INCOME OR PRINCIPAL, IN THE FIDUCIARY'S
DISCRETION, FEES OF ATTORNEYS, ACCOUNTANTS, AND FIDUCIARIES; COURT COSTS
AND OTHER EXPENSES OF ADMINISTRATION; AND INTEREST ON DEATH TAXES, BUT
THE FIDUCIARY MAY PAY THOSE EXPENSES FROM INCOME OF PROPERTY PASSING
TO A TRUST FOR WHICH THE FIDUCIARY CLAIMS AN ESTATE TAX MARITAL OR
CHARITABLE DEDUCTION ONLY TO THE EXTENT THAT THE PAYMENT OF THOSE
EXPENSES FROM INCOME WILL NOT CAUSE THE REDUCTION OR LOSS OF THE
DEDUCTION; AND
(III) PAYING FROM PRINCIPAL ALL OTHER DISBURSEMENTS MADE
OR INCURRED IN CONNECTION WITH THE SETTLEMENT OF A DECEDENT'S ESTATE
OR THE WINDING UP OF A TERMINATING INCOME INTEREST, INCLUDING DEBTS,
FUNERAL EXPENSES, DISPOSITION OF REMAINS, FAMILY ALLOWANCES, AND DEATH
TAXES AND RELATED PENALTIES THAT ARE APPORTIONED TO THE ESTATE OR
TERMINATING INCOME INTEREST BY THE WILL, THE TERMS OF THE TRUST, OR
APPLICABLE LAW.
(3) A FIDUCIARY SHALL DISTRIBUTE THE REMAINING NET INCOME IN
THE MANNER DESCRIBED IN § 15-504 OF THIS SUBTITLE TO ALL OTHER
BENEFICIARIES, INCLUDING A BENEFICIARY WHO RECEIVES A PECUNIARY AMOUNT
IN TRUST, EVEN IF THE BENEFICIARY HOLDS AN UNQUALIFIED POWER TO
WITHDRAW ASSETS FROM THE TRUST OR OTHER PRESENTLY EXERCISABLE
GENERAL POWER OF APPOINTMENT OVER THE TRUST, BUT EXCLUDING A
BENEFICIARY OTHER THAN A SURVIVING SPOUSE WHO RECEIVES A PECUNIARY
AMOUNT THAT IS NOT IN TRUST.
(4) A FIDUCIARY MAY NOT REDUCE PRINCIPAL OR INCOME RECEIPTS
FROM PROPERTY DESCRIBED IN PARAGRAPH (1) OF THIS SECTION BECAUSE OF A
PAYMENT DESCRIBED IN § 15-523 OR § 15-524 OF THIS SUBTITLE TO THE EXTENT
THAT THE WILL, THE TERMS OF THE TRUST, OR APPLICABLE LAW REQUIRES THE
FIDUCIARY TO MAKE THE PAYMENT FROM ASSETS OTHER THAN THE PROPERTY OR
TO THE EXTENT THAT THE FIDUCIARY RECOVERS OR EXPECTS TO RECOVER THE
PAYMENT FROM A THIRD PARTY. THE NET INCOME AND PRINCIPAL RECEIPTS FROM
THE PROPERTY ARE DETERMINED BY INCLUDING ALL OF THE AMOUNTS THE
FIDUCIARY RECEIVES OR PAYS WITH RESPECT TO THE PROPERTY, WHETHER THOSE
|
|
|
|
|
|
|
|
|
|
- 1705 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
 |
