Maryland 2023 Regular Session

Maryland House Bill HB179 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	WES MOORE, Governor Ch. 714
2	1
3		-	– 1 –
4		-	Chapter 714
5		-	(House Bill 179)
6	2
7		-	AN ACT concerning
	3	+	EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTING LA W.
	4	+	[Brackets] indicate matter deleted from existing law.
	5	+	Underlining indicates amendments to bill.
	6	+	Strike out indicates matter stricken from the bill by amendment or deleted from the law by
	7	+	amendment.
	8	+	hb0179
8	9
9		-	Maryland Estate Tax – Portability – Time Period for Election
	10	+	HOUSE BILL 179
	11	+	Q7 3lr1206
	12	+	CF SB 55
	13	+	By: Delegate Cardin
	14	+	Introduced and read first time: January 18, 2023
	15	+	Assigned to: Ways and Means
	16	+	Committee Report: Favorable with amendments
	17	+	House action: Adopted
	18	+	Read second time: February 21, 2023
10	19
11		-	FOR the purpose of altering the period of time within which a person is required to file a
12		-	Maryland estate tax return for the purpose of allowing a surviving spouse to take
13		-	into account the deceased spousal unused exclusion amount; applying this Act
14		-	retroactively; and generally relating to the Maryland estate tax.
	20	+	CHAPTER ______
15	21
16		-	BY repealing and reenacting, with amendments,
17		-	Article – Tax – General
18		-	Section 7–305
19		-	Annotated Code of Maryland
20		-	(2022 Replacement Volume)
	22	+	AN ACT concerning 1
21	23
22		-	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
23		-	That the Laws of Maryland read as follows:
	24	+	Maryland Estate Tax – Portability – Time Period for Election 2
24	25
25		-	Article – Tax – General
	26	+	FOR the purpose of altering the period of time within which a person is required to file a 3
	27	+	Maryland estate tax return for the purpose of allowing a surviving spouse to take 4
	28	+	into account the deceased spousal unused exclusion amount; applying this Act 5
	29	+	retroactively; and generally relating to the Maryland estate tax. 6
26	30
27		-	7–305.
	31	+	BY repealing and reenacting, with amendments, 7
	32	+	Article – Tax – General 8
	33	+	Section 7–305 9
	34	+	Annotated Code of Maryland 10
	35	+	(2022 Replacement Volume) 11
28	36
29		-	(a) If a federal estate tax return is required to be filed, the person responsible for
30		-	filing the federal estate tax return shall complete, under oath, and file a Maryland estate
31		-	tax return with the Comptroller 9 months after the date of the death of a decedent.
	37	+	SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY O F MARYLAND, 12
	38	+	That the Laws of Maryland read as follows: 13
32	39
33		-	(b) If a federal estate tax return is not required to be filed but a federal estate tax
34		-	return would be required to be filed if the applicable exclusion amount under § 2010(c) of
35		-	the Internal Revenue Code were no greater than the applicable exclusion amount specified
36		-	under § 7–309(b) of this subtitle, the person who would be responsible for filing the federal
37		-	estate tax return shall complete, under oath, and file a Maryland estate tax return with
38		-	the Comptroller 9 months after the date of the death of the decedent.
	40	+	Article – Tax – General 14
39	41
40		-	(c) (1) If a person files a Maryland estate tax return solely for the purpose of
41		-	making the election under § 7–309(b) of this subtitle to allow a surviving spouse to take
42		-	into account the deceased spousal unused exclusion amount, the person shall file the
43		-	Maryland estate tax return within [2 years after the date of death of the decedent] THE
44		-	TIME PERIOD PRESCRIB ED FOR MAKING AN ELE CTION ON A FEDE RAL ESTATE TAX
45		-	RETURN TO ALLOW A SU RVIVING SPOUSE TO TA KE INTO ACCOUNT THE DECEASED
46		-	SPOUSAL UNUSED EXCLU SION AMOUNT .
47		-	Ch. 714 2023 LAWS OF MARYLAND
	42	+	7–305. 15
48	43
49		-	– 2 –
50		-	(2) THE COMPTROLLER SHALL ADO PT REGULATIONS NECES SARY TO
51		-	ENSURE THAT THE TIME PERIOD FOR MAKING TH E ELECTION UNDER § 7–309(B) OF
52		-	THIS SUBTITLE ON A MARYLAND ESTATE TAX R ETURN IS IDENTICAL T O THAT FOR A
53		-	SIMILARLY SITUATED F EDERAL ESTATE TAX RE TURN.
	44	+	(a) If a federal estate tax return is required to be filed, the person responsible for 16
	45	+	filing the federal estate tax return shall complete, under oath, and file a Maryland estate 17
	46	+	tax return with the Comptroller 9 months after the date of the death of a decedent. 18
	47	+	2 HOUSE BILL 179
54	48
55		-	(d) (1) After a person files a Maryland estate tax return, the person shall file
56		-	an amended Maryland estate tax return with the Comptroller if the Maryland estate tax
57		-	liability is increased because of:
58	49
59		-	(i) a change in the federal gross estate, federal taxable estate,
60		-	federal estate tax, or other change as determined under the Internal Revenue Code;
	50	+	(b) If a federal estate tax return is not required to be filed but a federal estate tax 1
	51	+	return would be required to be filed if the applicable exclusion amount under § 2010(c) of 2
	52	+	the Internal Revenue Code were no greater than the applicable exclusion amount specified 3
	53	+	under § 7–309(b) of this subtitle, the person who would be responsible for filing the federal 4
	54	+	estate tax return shall complete, under oath, and file a Maryland estate tax return with 5
	55	+	the Comptroller 9 months after the date of the death of the decedent. 6
61	56
62		-	(ii) after–discovered property;
	57	+	(c) (1) If a person files a Maryland estate tax return solely for the purpose of 7
	58	+	making the election under § 7–309(b) of this subtitle to allow a surviving spouse to take 8
	59	+	into account the deceased spousal unused exclusion amount, the person shall file the 9
	60	+	Maryland estate tax return within [2 years after the date of death of the decedent] THE 10
	61	+	TIME PERIOD PRESCRIB ED FOR MAKING AN ELE CTION ON A FED ERAL ESTATE TAX 11
	62	+	RETURN TO ALLOW A SU RVIVING SPOUSE TO TA KE INTO ACCOUNT THE DECEASED 12
	63	+	SPOUSAL UNUSED EXCLU SION AMOUNT . 13
63	64
64		-	(iii) a correction to the value of previously reported property;
	65	+	(2) THE COMPTROLLER SHALL ADO PT REGULATIONS NECES SARY TO 14
	66	+	ENSURE THAT THE TIME PERIOD FOR MAKING TH E ELECTION UNDER § 7–309(B) OF 15
	67	+	THIS SUBTITLE ON A MARYLAND ESTATE TAX R ETURN IS IDENTICAL T O THAT FOR A 16
	68	+	SIMILARLY SITUATED F EDERAL ESTATE TAX RE TURN. 17
65	69
66		-	(iv) a correction to the amount of previously claimed deductions; or
	70	+	(d) (1) After a person files a Maryland estate tax return, the person shall file 18
	71	+	an amended Maryland estate tax return with the Comptroller if the Maryland estate tax 19
	72	+	liability is increased because of: 20
67	73
68		-	(v) any other correction to a previously filed return.
	74	+	(i) a change in the federal gross estate, federal taxable estate, 21
	75	+	federal estate tax, or other change as determined under the Internal Revenue Code; 22
69	76
70		-	(2) (i) The amended return shall be filed within 90 days after the later
71		-	to occur of the date of the event that caused the increase in the Maryland estate tax liability
72		-	or the date on which the person required to file an amended Maryland estate tax return
73		-	learned or reasonably should have learned of the increase in the Maryland estate tax
74		-	liability.
	77	+	(ii) after–discovered property; 23
75	78
76		-	(ii) On request, each register shall certify to the Comptroller the
77		-	amount of inheritance tax paid for each decedent for whom an amended Maryland estate
78		-	tax return is filed with the Comptroller.
	79	+	(iii) a correction to the value of previously reported property; 24
79	80
80		-	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to
81		-	apply retroactively and shall be applied to and interpreted to affect any decedents dying on
82		-	or after July 1, 2018 January 1, 2019.
	81	+	(iv) a correction to the amount of previously claimed deductions; or 25
83	82
84		-	SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July
85		-	1, 2023.
	83	+	(v) any other correction to a previously filed return. 26
86	84
87		-	Approved by the Governor, May 16, 2023.
	85	+	(2) (i) The amended return shall be filed within 90 days after the later 27
	86	+	to occur of the date of the event that caused the increase in the Maryland estate tax liability 28
	87	+	or the date on which the person required to file an amended Maryland estate tax return 29
	88	+	learned or reasonably should have learned of the increase in the Maryland estate tax 30
	89	+	liability. 31
	90	+
	91	+	(ii) On request, each register shall certify to the Comptroller the 32
	92	+	amount of inheritance tax paid for each decedent for whom an amended Maryland estate 33
	93	+	tax return is filed with the Comptroller. 34
	94	+	HOUSE BILL 179 3
	95	+
	96	+
	97	+	SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall be construed to 1
	98	+	apply retroactively and shall be applied to and interpreted to affect any decedents dying on 2
	99	+	or after July 1, 2018 January 1, 2019. 3
	100	+
	101	+	SECTION 3. AND BE IT FURTHER ENACTED, That this Act shall take effect July 4
	102	+	1, 2023. 5
	103	+
	104	+
	105	+
	106	+
	107	+	Approved:
	108	+	________________________________________________________________________________
	109	+	Governor.
	110	+	________________________________________________________________________________
	111	+	Speaker of the House of Delegates.
	112	+	________________________________________________________________________________
	113	+	President of the Senate.