Maryland Code, ESTATES AND TRUSTS 15-501
Terms Used In Maryland Code, ESTATES AND TRUSTS 15-501
- Administrator: includes an executor and a personal representative. See
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Decedent: A deceased person.
- Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
- Fiduciary: A trustee, executor, or administrator.
- Legatee: A beneficiary of a decedent
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- Person: includes an individual, receiver, trustee, guardian, personal representative, fiduciary, representative of any kind, corporation, partnership, business trust, statutory trust, limited liability company, firm, association, or other nongovernmental entity. See
- Personal representative: includes an administrator and an executor. See
- Remainder: An interest in property that takes effect in the future at a specified time or after the occurrence of some event, such as the death of a life tenant.
- Trustee: A person or institution holding and administering property in trust.
(b) (1) “Accounting period” means a calendar year unless another 12-month period is selected by a fiduciary.
(2) “Accounting period” includes a portion of a calendar year or other 12-month period that begins when an income interest begins or ends when an income interest ends.
(c) “Beneficiary” includes, in the case of a decedent‘s estate, an heir and legatee and, in the case of a trust, an income beneficiary and a remainder beneficiary.
(d) (1) “Fiduciary” means a personal representative or a trustee.
(2) “Fiduciary” includes an executor, administrator, successor personal representative, special administrator, and a person performing substantially the same function.
(e) (1) “Income” means money or property that a fiduciary receives as current return from a principal asset.
(2) “Income” includes a portion of receipts from a sale, exchange, or liquidation of a principal asset, to the extent provided in Part IV of this subtitle.
(f) “Income beneficiary” means a person to whom net income of a trust is or may be payable.
(g) “Income interest” means the right of an income beneficiary to receive all or part of net income, whether the terms of the trust require it to be distributed or authorize it to be distributed in the trustee’s discretion.
(h) “Mandatory income interest” means the right of an income beneficiary to receive net income that the terms of the trust require the fiduciary to distribute.
(i) “Net income” means the total receipts allocated to income during an accounting period minus the disbursements made from income during the period, plus or minus transfers under this subtitle to or from income during the period.
(j) “Person” means an individual, corporation, business trust, statutory trust, estate, trust, partnership, limited liability company, association, joint venture, government; governmental subdivision, agency, or instrumentality; public corporation, or any other legal or commercial entity.
(k) “Principal” means property held in trust for distribution to a remainder beneficiary when the trust terminates.
(l) “Remainder beneficiary” means a person entitled to receive principal when an income interest ends.
(m) “Terms of a trust” means the manifestation of the intent of a settlor or decedent with respect to the trust, expressed in a manner that admits of its proof in a judicial proceeding, whether by written or spoken words or by conduct.
(n) “Trustee” includes an original, additional, or successor trustee, whether or not appointed or confirmed by a court.
(o) “Unitrust” means a trust from which the income beneficiary is entitled to receive annually a fixed percentage of the fair market value of the trust’s assets.