An Act To Recouple Maine Estate Tax with the Federal Estate Tax
Maine Legislature, Session 124, LD 0198
Committee: Taxation
Sponsors: KNIGHT, SMITH, McCORMICK, GILES, LANGLEY, PILON, BOWMAN
Amends: 36 MRSA §4062, 36 MRSA §4068

FIRST P~GULAR SESSIO~~-2009 
Legislative Document 
No. 198 
H.P.163 
House of Representatives, January 21,2009 
An Act To Recouple Maine Estate Tax with the Federal Estate Tax 
Reference to the Committee on Taxation suggested and ordered printed. 
Presented by Representative KNIGHT of Livennore Falls. 
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MILLICENT M. MacFARLAND 
Clerk 
Cosponsored by Senator SMITH of Piscataquis, Senator McCORMICK of Kennebec and 
Representatives: GILES of Belfast, LANGLEY of Ell sWOlih , PILON of Sa co, Senator: 
BOWMAN of York. 
PritUt:d 011 I'l.!cydC'J PUP!!,. 
II 
IS 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 36 MRSA §4062, sub-§l-A, EjfA, as repealed and replaced by PL 2005, c. 
12, Pt. N, § I and affected by §4, is amended to read: 
A. For the estates of decedents dying after December 3 I, 2002 and before January I, 
2009, "federal credit" means the maximum credit for state death taxes determined 
under the Code, Section 20 II as of December 3 I, 2002 exclusive of the reduction of 
the maximum credit contained in the Code, Section 20 II (b )(2); the period of 
limitations under the Code, Section 20 II(c); and the termination provision contained 
in the Code, Section 20 II (t). The federal taxable estate is to be determined using the 
applicable Code as of the date of the decedent's death, except that: 
(I) The state death tax deduction contained in the Code, Section 2058 is to be 
disregarded; 
(2) The unified credit is to be determined under the Code, Section 20 I 0 as of 
December 3 I, 2000; 
(3) For the estates of decedents dying after December 3 I, 2004, but before 
January I, 2009, the federal taxable estate must be decreased by an amount equal 
to the value of Maine qualified terminable interest property in the estate of the 
decedent; and 
(4) For the estates of decedents dying after December 31, 2004, the federal 
taxable estate must be increased by an amount equal to the value of Maine 
elective property in respect of the decedent; aRB-
Sec. 2. 36 MRSA §4062, sub-§l-A, €[A-l is enacted to read: 
A-I. For the estates of decedents dying after December 31, 2008, "federal credit" 
means the maximum credit for state death taxes determined under the Code, Section 
II as of December 31, 2008 exclusive of the reduction of the maximum credit 
contained in the Code, Section 20 1I(b)(2); the period of limitations under the Code, 
Section 201I(c); and the termination provision contained in the Code, Section 
II CD. The federal taxable estate is to be determined using the applicable Code as 
of the date of the decedent's death, except that the state death tax deduction contained 
in the Code, Section 2058 is to be disregarded and an amount equal to the value of 
I 
Maine elective property in respect to the decedent must be added; and 
Sec. 3. 36 MRSA §4068, sub-§2, ~, as enacted by PL 2005, c. 218, §43, is 
amended to read: 
. 
B. The federal gross estate, increased by the amount of adjusted taxable gifts made 
by the decedent after December 3 I, 1976 and by the aggregate amount of any specific 
gift tax exemption under former Code, Section 2521 used by the decedent after 
September 8, 1976 exceed the exclusion and related unified credit amounts "RRGifiRA 
in section 4062. subsection 1 A . 
Sec. 4. 36 MRSA §4068, sub-§3, as amended by PL 2005, c. 218, §43, is further 
amended to read: 
Page I - 124LR0303(Ol)-1 
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3. No tax liability. ]n all cases where a Maine estate tax return is not required to be 
filed.,. , the personal representative, surviving joint tenant of real estate or any other person 
whose real estate might be subject to a lien for taxes pursuant to this chapter may at any 
time file with the assessor in the form prescribed by the assessor a statement of the value 
of the federal gross estate. 
A. 
If the personal representative makes no election pursuant to section 4062, 
subsection 2 B, the personal representative, sUFviving joint tenant of real estate or any 
other person whose real estate might be subject to a lien for taxes pursuant to this 
chapter may at any time file '>",ith the assessor in the form prescribed by the assessor a 
statement of the value of the federal gross estate; and 
B. 
If the personal representative makes an election pursuant to section 4062, 
subsection 2 B, the personal representative shall make such election on a timely filed 
return. The retum must be in the form prescribed by the assessor and it must be 
accompanied by a copy of the federal estate tax return, if any, and other supporting 
documentation that the assessor may require, including documentation related to an 
election made pursuant to section 4062, subsection 2 B. 
Sec. 5. Application. This Act applies to the estates of decedents dying on or after 
January .1,2009. 
SUMMARY 
This bill amends the Maine estate tax to conform to the federal estate tax, beginning 
January 1,2009.