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dent’s estate, was $32,237.6 The estate calculated that amount
as follows:
9% x $20,000 = $1,800
3.6% x $845,4807 = 30,437
Total 32,237
The estate reasons that, because it claimed only $16,875 as
executors’ fees for its personal representatives, and not the
maximum compensation of $32,237 that it believes it could have
claimed under Md. Code Ann., Est. & Trusts, sec. 7-601(b), the
full amount of such compensation claimed in Schedule L of the
estate tax return, i.e., $16,875, is reasonable and allowable by
Maryland law. According to the estate, “Meeting the tests for
allowability by local law, it [the amount of executors’ fees
claimed by the estate] is also allowable by federal law.”
6The estate argues that the personal representatives of
decedent’s estate also were entitled to a commission on the
proceeds of the sale of decedent’s residence of up to 9% of those
proceeds. In support of that argument, the estate apparently
relies on Md. Code Ann., Est. & Trusts, sec. 7-601(d)(1) (1991).
That provision was repealed, effective Jan. 1, 1992, and was not
in effect when decedent died on Apr. 2, 1994, or thereafter
during the administration of decedent’s probate property. See
Md. Code Ann., Est. & Trusts, sec. 7-601(d) (1998 Supp.). In any
event, the provision on which the estate relies in Md. Code Ann.,
Est. & Trusts, sec. 7-601(d)(1) (1991) applied only to the sale
of real property subject to administration and, even as to such
real property, the personal representative was required to
petition a Maryland court and explain in reasonable detail why a
commission with respect to such a sale should have been allowed.
7The estate arrived at $845,480 by deducting $20,000 from
$865,480, i.e., the value of the nonprobate property reported in
Schedule G of the estate tax return.
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