N.Y. Estates, Powers and Trusts Law 2-1.14 – Right to recover state estate and gift taxes where decedent
§ 2-1.14 Right to recover state estate and gift taxes where decedent
Terms Used In N.Y. Estates, Powers and Trusts Law 2-1.14
- Decedent: A deceased person.
- Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
- Gross estate: The total fair market value of all property and property interests, real and personal, tangible and intangible, of which a decedent had beneficial ownership at the time of death before subtractions for deductions, debts, administrative expenses, and casualty losses suffered during estate administration.
retained interest
(a)(1) If any part of the gross tax estate on which tax has been paid consists of the value of property included in the gross estate by reason of section two thousand thirty-six of the internal revenue code (relating to transfers with retained life estate), the decedent's estate shall be entitled to recover from the person receiving the property the amount which bears the same ratio to the total tax under this chapter which has been paid as
(A) the value of such property bears to
(B) the taxable estate.
(2) Paragraph one shall not apply if the decedent otherwise directs in a provision of his will (or a revocable trust) specifically referring to this section.
(b) For purposes of this section, if there is more than one person receiving the property, the right of recovery shall be against each such person.
(c) In the case of penalties and interest attributable to the additional taxes described in subsection (a) of this section, rules similar to the rules of subsections (a) and (b) of this section shall apply.
(d) No person shall be entitled to recover any amount by reason of this section from a trust to which section six hundred sixty-four of the internal revenue code applies (determined without regard to this section).