                                 CODE OF VIRGINIA

DECEDENT&#8217;S NON-PROBATE TRANSFERS TO OTHERS (§ 64.2-308.6)

The value of the augmented estate includes the value of the decedent&#8217;s
non-probate transfers to others, not included under § 64.2-308.5, of any of the
following types, in the amount provided respectively for each type of transfer:

1. Property owned or owned in substance by the decedent immediately before death
that passed outside probate at the decedent&#8217;s death. Property included
under this category consists of:
			a. Property over which the decedent, alone, immediately before death, held a
presently exercisable general power of appointment. The amount included is the
value of the property subject to the power, to the extent the property passed at
the decedent&#8217;s death, by exercise, release, lapse, in default, or
otherwise, to or for the benefit of any person other than the decedent&#8217;s
estate or surviving spouse.
			b. The decedent&#8217;s fractional interest in property held by the decedent
in joint tenancy with the right of survivorship. The amount included is the
value of the decedent&#8217;s fractional interest, to the extent the fractional
interest passed by right of survivorship at the decedent&#8217;s death to a
surviving joint tenant other than the decedent&#8217;s surviving spouse.
			c. The decedent&#8217;s ownership interest in property or accounts held in
Payable on Death or Transfer on Death designations or co-ownership registration
with the right of survivorship. The amount included is the value of the
decedent&#8217;s ownership interest, to the extent the decedent&#8217;s
ownership interest passed at the decedent&#8217;s death to or for the benefit of
any person other than the decedent&#8217;s estate or surviving spouse.
			d. Proceeds of insurance, including accidental death benefits, on the life of
the decedent, if the decedent owned the insurance policy immediately before
death or if and to the extent the decedent alone and immediately before death
held a presently exercisable general power of appointment over the policy or its
proceeds. The amount included is the value of the proceeds, to the extent they
were payable at the decedent&#8217;s death to or for the benefit of any person
other than the decedent&#8217;s estate or surviving spouse.

2. Property transferred in any of the following forms by the decedent during
marriage:
			a. Any irrevocable transfer in which the decedent retained the right to the
possession or enjoyment of, or to the income from, the property if and to the
extent the decedent&#8217;s right terminated at or continued beyond the
decedent&#8217;s death. The amount included is the value of the fraction of the
property to which the decedent&#8217;s right related, to the extent the fraction
of the property passed outside probate to or for the benefit of any person other
than the decedent&#8217;s estate or surviving spouse.
			b. Any transfer in which the decedent created a power over income or
property, exercisable by the decedent alone or in conjunction with any other
person, or exercisable by a non-adverse party, to or for the benefit of the
decedent, creditors of the decedent, the decedent&#8217;s estate, or creditors
of the decedent&#8217;s estate. The amount included with respect to a power over
property is the value of the property subject to the power, and the amount
included with respect to a power over income is the value of the property that
produces or produced the income, to the extent the power in either case was
exercisable at the decedent&#8217;s death to or for the benefit of any person
other than the decedent&#8217;s surviving spouse or to the extent the property
passed at the decedent&#8217;s death, by exercise, release, lapse, in default,
or otherwise, to or for the benefit of any person other than the
decedent&#8217;s estate or surviving spouse. If the power is a power over both
income and property and the preceding sentence produces different amounts, the
amount included is the greater amount.

3. Property that passed during marriage and during the two-year period next
preceding the decedent&#8217;s death as a result of a transfer by the decedent
if the transfer was of any of the following types:
			a. Any property that passed as a result of the termination of a right or
interest in, or power over, property that would have been included in the
augmented estate under subdivision 1 a, b, or c, or under subdivision 2, if the
right, interest, or power had not terminated until the decedent&#8217;s death.
The amount included is the value of the property that would have been included
under those subdivisions if the property were valued at the time the right,
interest, or power terminated, and is included only to the extent the property
passed upon termination to or for the benefit of any person other than the
decedent or the decedent&#8217;s estate, spouse, or surviving spouse. As used in
this subdivision, &#8220;termination,&#8221; with respect to a right or interest
in property, occurs when the right or interest terminated by the terms of the
governing instrument or the decedent transferred or relinquished the right or
interest, and, with respect to a power over property, occurs when the power
terminated by exercise, release, lapse, default, or otherwise, but, with respect
to a power described in subdivision 1 a, &#8220;termination&#8221; occurs when
the power terminated by exercise or release, but not otherwise.
			b. Any transfer of or relating to an insurance policy on the life of the
decedent if the proceeds would have been included in the augmented estate under
subdivision 1 d had the transfer not occurred. The amount included is the value
of the insurance proceeds to the extent the proceeds were payable at the
decedent&#8217;s death to or for the benefit of any person other than the
decedent&#8217;s estate or surviving spouse.
			c. Any transfer of property, to the extent not otherwise included in the
augmented estate, made to or for the benefit of a person other than the
decedent&#8217;s surviving spouse. The amount included is the value of the
transferred property to the extent the transfers to any one donee in either of
the two years next preceding the date of the decedent&#8217;s death exceeded the
amount excludable from taxable gifts under 26 U.S.C. &#xA7; 2503(b), or its
successor, on the date of the gift.

HISTORY: 2016, cc. 187, 269.