§ 1601

Whenever used in this chapter, the following terms shall have the meanings ascribed to them in this section: (1) 'Beneficiary' has the meaning ascribed to it by common law, including, without limitation, any heir, devisee or legatee of an estate or beneficiary of a trust. (2) 'Distributive share' means, with respect to any member and with respect to any taxable year of such member: In the case of a pass-through entity that is classified as a partnership under the Internal Revenue Code, the distributive share of such member for such taxable year of the pass-through entity's income, gain, loss or deduction, or items thereof, as appropriate, determined under § 704 of the Internal Revenue Code [26 U.S.C. § 704]; or In the case of a pass-through entity that is an S corporation for federal income tax purposes, the pro rata share of such member for such taxable year of the pass-through entity's income, gain, loss or deduction, or items thereof, as appropriate, determined under § 1377(a) of the Internal Revenue Code [26 U.S.C. § 1377(a)]. (3) 'Member of a pass-through entity' or 'member' means a person treated for federal income tax purposes as either a partner in a

d under § 1377(a) of the Internal Revenue Code [26 U.S.C. § 1377(a)]. (3) 'Member of a pass-through entity' or 'member' means a person treated for federal income tax purposes as either a partner in a partnership or a shareholder of an S corporation, but does not include a beneficiary of an estate or trust. (4) 'Nonresident estate' means an estate which is not a resident estate. (5) 'Nonresident trust' means a trust that is not a resident trust of this State. (6) 'Pass-through entity' means any person: a. Which is classified as a partnership under the Internal Revenue Code [26 U.S.C. § 1, et seq.]; or b. Which is classified as an 'S corporation' for federal income tax purposes within the meaning of § 1361 of the Internal Revenue Code [26 U.S.C. § 1361]. (7) 'Resident estate' means the estate of a decedent who at death was domiciled in this State. (8) 'Resident trust' means a trust: a. Created by the will of a decedent who at death was domiciled in this State; b. Created by, or consisting of property of, a person domiciled in this State; or c. With respect to which the conditions of 1 of the following paragraphs are met during more than 1/2 of any taxable year: 1.

ed by, or consisting of property of, a person domiciled in this State; or c. With respect to which the conditions of 1 of the following paragraphs are met during more than 1/2 of any taxable year: 1. The trust has only 1 trustee who or which is: A. A resident individual of this State, or B. A corporation, partnership or other entity having an office for the conduct of trust business in this State; 2. The trust has more than 1 trustee, and 1 of such trustees is a corporation, partnership or other entity having an office for the conduct of trust business in this State; or 3. The trust has more than 1 trustee, all of whom are individuals and 1/2 or more of whom are resident individuals of this State. (9) 'Trust' means an entity classified as a trust for federal income tax purposes, other than a trust of which the grantor or another person is treated as the owner of the entire trust under §§ 672 through 679 of the Internal Revenue Code [26 U.S.C. §§ 672-679].72 Del. Laws, c. 467, § 1;