In this subtitle, “date of appointment” means the date of appointment of the personal representative.

An election for modified administration may be filed by a personal representative of an estate within 3 months from the date of appointment, if: All residuary legatees of a testate decedent and the heirs at law of an intestate decedent are limited to: The decedent’s personal representative; Individuals or entities exempt from inheritance tax in the decedent’s estate under § 7–203(b), (e), and (f) of the Tax – General Article; and Trusts under which each person who has a current interest in the trust is an individual or entity exempt from inheritance tax in the decedent’s estate under § 7–203(b), (e), and (f) of the Tax – General Article; The estate is solvent and sufficient assets exist to satisfy all testamentary gifts; A verified final report under modified administration is filed within 10 months from the date of appointment; Final distribution of the estate can occur within 12 months from the date of appointment; and All residuary legatees of a testate decedent and the heirs at law of an intestate decedent consent to a modified administration as required under § 5–706 of this subtitle.

The initial time periods for filing a final report and for making distribution to each legatee and heir are extended for 90 days on a consent for extension of the time periods signed by the personal representative and each interested person and filed within 10 months from the date of appointment. Except as provided in subsection (c) of this section, a register of wills or a court may not extend the time periods established under this subtitle. If the time periods for filing a final report and making distribution to each legatee and heir have been extended under subsection (a) of this section, the register of wills may extend the time periods for an additional period not to exceed 90 days on the filing of a request for an additional extension of the time periods. A request filed under paragraph (1) of this subsection shall be: Signed by the personal representative and consented to by each interested person; and Delivered to the register of wills before the date for filing a final report as extended under subsection (a) of this section.

After filing an election for modified administration, the personal representative shall: File a verified final report under modified administration no later than 10 months from the date of appointment instead of filing a formal inventory and account; and On the request of any interested person, provide a formal inventory and account, as required under Title 7 of this article, to all interested persons. If the personal representative discovers property of the decedent after the time for filing a verified final report required by subsection (a) of this section, the personal representative shall: File a verified final report under modified administration with respect to the after–discovered property within 60 days of the discovery of the property; and Make final distribution of the after–discovered property within 90 days of the discovery of the property.

An election for modified administration shall include: A statement that the estate qualifies for modified administration; A brief description of the property subject to administration; and An acknowledgment that: A verified final report under modified administration shall be filed no later than 10 months from the date of appointment; and Distribution of the estate shall occur no later than 12 months from the date of appointment.

The consent required under § 5–702(5) of this subtitle shall state that the subscribing person has notice that: Instead of filing a formal inventory and account, the personal representative shall file a verified final report under modified administration no later than 10 months from the date of appointment; On request by any legatee or heir not paid in full, a formal inventory and account shall be provided by the personal representative to the legatees or heirs; A written objection to modified administration by an interested person may be filed with the register of wills at any time during administration, which shall revoke the modified administration; By filing a written objection: The modified administration is revoked; The estate shall be administered under administrative probate; and The personal representative shall file a formal inventory and account as needed until the estate is closed; Unless an interested person waives notice of the verified final report under modified administration, the personal representative shall provide a copy to each interested person within 10 months from the date of the appointment; and Under modified administration, distribution to all legatees and heirs shall be made within 12 months from the date of appointment.

A final report under modified administration shall include: A statement representing the continued qualification for modified administration; An itemized schedule of the decedent’s property and the basis of its valuation; An itemized schedule of liens, debts, taxes, and funeral expenses of the decedent and administration expenses of the estate; and Schedules setting forth distributive shares of the estate and the applicable inheritance tax.

A modified administration shall be revoked by the: Filing of a timely request for judicial probate; Filing of a written objection to modified administration by an interested person; Filing of a withdrawal of the election for modified administration by a personal representative; Orphans’ Court, on its own initiative, or for good cause shown by an interested person or by the register of wills; Failure to timely file the final report under modified administration and make timely distribution; or Failure by the personal representative to comply with any provision of this subtitle. The register of wills shall mail notice of any revocation by first–class mail, postage prepaid, to each interested person. If a modified administration is revoked, the personal representative shall: Proceed under administrative probate; and File a formal inventory and account with the register of wills within the time periods provided in Title 7 of this article; or If the deadline has passed for filing either an inventory or an account, file the late document within 30 days from the register’s notice of revocation.

An estate under modified administration shall close not later than 13 months from the date of appointment, if a verified final report under modified administration is filed and all probate fees and inheritance taxes are paid.

Except to the extent inconsistent with this subtitle, all other provisions of the law of decedents’ estates shall apply to a modified administration.