N.Y. Estates, Powers & Trusts Law § 2-1.5: Advancements and their adjustment

§ 2-1.5 Advancements and their adjustment

(a) An advancement is an irrevocable gift intended by the donor as an

anticipatory distribution in complete or partial satisfaction of the

interest of the donee in the donor's estate, either as distributee in

intestacy or as beneficiary under an existing will of the donor.

(b) No advancement shall affect the distribution of the estate of the

donor unless proved by a writing contemporaneous therewith signed by the

donor evidencing his intention that the gift be treated as an

advancement, or by the donee acknowledging that such was the intention.

(c) When so proved, the advancement is part of the estate of the donor

for the purpose of distribution. If such advancement is equal to or

greater than the interest of the donee, whether in intestacy or under

the will, such donee or his successor in interest may not share in the

distribution of the estate; but if less than such intestate share or

testamentary interest, the donee or his successor in interest may take

his intestate share or testamentary interest reduced by the amount of

the advancement.

(d) Unless otherwise provided in a writing contemporaneous with the

advancement and signed by the donor:

(1) An advancement, made as provided in this section, may be adjusted

out of the property of the donor in such manner as may be equitable.

(2) The advancement shall have the value at which it is appraised for

estate tax purposes, or, if not included in the gross taxable estate of

the donor, the value at which it would have been appraised if included

therein.

(e) Nothing in this section shall increase or decrease the elective

share of a surviving spouse under either 5-1.1 or 5-1.1-A except to the

extent authorized by paragraph (b) of those sections.