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qualified severance

Defined in 1 place of the United States Code.

The term “qualified severance” includes any other severance permitted under regulations prescribed by the Secretary.

Source

The term “qualified severance” means the division of a single trust and the creation (by any means available under the governing instrument or under local law) of two or more trusts if—

(I) the single trust was divided on a fractional basis, and

(II) the terms of the new trusts, in the aggregate, provide for the same succession of interests of beneficiaries as are provided in the original trust.

Source