(a) In this section, a gift “for the benefit of” an individual includes a gift to a trust, an account under the Uniform Transfers to Minors Act, a tuition savings account or prepaid tuition plan as defined under section 529 of the Internal Revenue Code, and an ABLE account as defined under section 529A of the Internal Revenue Code.

(b) Unless the power of attorney otherwise provides, language in a power of attorney granting general authority with respect to gifts authorizes the agent only to do the following:

(1) Make a gift of any of the principal’s property, including by the exercise of a presently exercisable general power of appointment held by the principal for the following purposes:

a. To or for the benefit of an individual so long as the value of the gift does not exceed the greater of (i) the amount determined to be in accordance with the principal’s history of making or joining in the making of gifts or (ii) the annual dollar limit of the federal gift tax exclusion under section 2503(b) of the Internal Revenue Code without regard to whether the federal gift tax exclusion applies to the gift, or if the principal’s spouse agrees to consent to the split gift pursuant to section 2513 of the Internal Revenue Code in an amount per donee not to exceed twice the annual federal gift tax exclusion limit.

b. To any organization described in sections 170(c) and 2522(a) of the Internal Revenue Code in accordance with the principal’s history of making or joining in the making of gifts.

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Terms Used In North Carolina General Statutes 32C-2-217

  • Donee: The recipient of a gift.
  • following: when used by way of reference to any section of a statute, shall be construed to mean the section next preceding or next following that in which such reference is made; unless when some other section is expressly designated in such reference. See North Carolina General Statutes 12-3
  • Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
  • Power of attorney: A written instrument which authorizes one person to act as another's agent or attorney. The power of attorney may be for a definite, specific act, or it may be general in nature. The terms of the written power of attorney may specify when it will expire. If not, the power of attorney usually expires when the person granting it dies. Source: OCC
  • property: shall include all property, both real and personal. See North Carolina General Statutes 12-3

(2) Consent, pursuant to section 2513 of the Internal Revenue Code to the splitting of a gift made by the principal’s spouse with respect to gifts described in subdivision (1) of this subsection. (2017-153, s. 1.)