Exclusions.

(a) For the purposes of this section, the term "power of appointment" means a power that enables a person acting in a nonfiduciary capacity to designate a recipient of an ownership interest in or another power of appointment over trust property. (b) This chapter does not apply to a: (1) Power of appointment; (2) Power to appoint or remove a trustee or trust director; (3) Power of a settlor over a trust to the extent the settlor has a power to revoke the trust; (4) Power of a beneficiary over a trust to the extent the exercise or nonexercise of the power affects the beneficial interest of: (A) The beneficiary; or (B) Another beneficiary represented by the beneficiary under §§ 19-1303.01 through 19-1303.05 with respect to the exercise or nonexercise of the power; or (5) Power over a trust if: (A) The terms of the trust provide that the power is held in a nonfiduciary capacity; and (B) The power must be held in a nonfiduciary capacity to achieve the settlor's tax objectives under the United States Internal Revenue Code of 1986 and regulations issued thereunder. (c) Unless the terms of a trust provide otherwise, a power granted to a person to designate a recipient of an ownership interest in or power of appointment over trust property which is exercisable while the person is not serving as a trustee is a power of appointment and not a power of direction.