N.Y. Estates, Powers & Trusts Law § 2-1.13: Certain formula clauses to be construed to refer to the federal

§ 2-1.13 Certain formula clauses to be construed to refer to the federal

estate and generation-skipping transfer tax laws applicable

to estates of decedents dying after December thirty-first,

two thousand nine and before January first, two thousand

eleven

(a)(1) If by reason of the death of a decedent property passes or is

acquired under a beneficiary designation, a will or trust of a decedent

who dies after December thirty-first, two thousand nine and before

January first, two thousand eleven, that contains a bequest or other

disposition based upon the amount of property that can be sheltered from

federal estate tax by referring to the "unified credit", "estate tax

exemption", "applicable exclusion amount", "applicable exemption

amount", "applicable credit amount", "marital deduction", "maximum

marital deduction", "unlimited marital deduction", "charitable

deduction", "maximum charitable deduction" or similar words or phrases

relating to the federal estate tax, or that measures a share of an

estate or trust based on the amount that can pass free of federal estate

taxes, or that is otherwise based on a similar provision of federal

estate tax then such beneficiary designation, will or trust shall be

deemed to refer to the federal estate tax law as applied with respect to

decedents dying in two thousand ten, regardless of whether an election

is made not to have the federal estate tax apply to a particular estate.

(2) If by reason of the death of a decedent property passes or is

acquired under a beneficiary designation, a will or trust of a decedent

who dies after December thirty-first, two thousand nine and before

January first, two thousand eleven, that contains a bequest or other

disposition based upon the amount of property that can be sheltered from

federal generation-skipping transfer tax by referring to the

"generation-skipping transfer tax exemption", "GST exemption",

"generation-skipping transfer tax", "GST tax" or similar words or

phrases that measures a share of an estate or trust based on the amount

that can pass free of federal generation-skipping transfer taxes, or

that is otherwise based on a similar provision of federal

generation-skipping transfer tax law, then such beneficiary designation,

will or trust shall be deemed to refer to the federal

generation-skipping transfer tax law in effect in two thousand ten,

regardless of whether an election is made not to have the federal estate

tax apply to a particular estate.

(3) This paragraph shall not apply to a beneficiary designation, will

or trust that manifests an intent that a contrary rule shall apply.

(b) The executor, trustee or other interested person under a

beneficiary designation, will or trust referred to in paragraph (a) of

this section may bring a proceeding to determine whether the beneficiary

designation, will or trust manifests a contrary intention within the

meaning of subparagraph three of paragraph (a) of this section. In any

such proceeding, extrinsic evidence may be admitted to establish the

decedent's intent.

(c) Any proceeding described in paragraph (b) of this section must be

commenced by the date which is (1) twenty-four months following the date

of death of the decedent, testator or grantor or (2) six months

following the day on which the chapter of the laws of two thousand

eleven which amended this paragraph became a law, whichever date is

later, and not at any time thereafter. Notwithstanding the foregoing,

the time to commence such a proceeding may be extended, in the

discretion of the court, on a petition showing reasonable cause and on

notice to such persons and in such manner as the court may direct.