2009 Kansas Code
Chapter 79 TAXATION
Article 15 DEATH TAXES
79-15,215. Same; amounts receivable under policy of life insurance on the life of decedent.

79-15,215

Chapter 79.--TAXATION Article 15.--DEATH TAXES

      79-15,215.   Same; amounts receivable under policy of life insurance on the life of decedent. The value of the gross estate shall include the value of all property:

      (a)   To the extent of the amount receivable by the personal representative as insurance under policies on the life of the decedent; and

      (b)   to the extent of the amount receivable by all other beneficiaries as insurance under policies on the life of the decedent with respect to which the decedent possessed at the time of death any of the incidents of ownership exercisable either alone or in conjunction with any other person. For purposes of this subsection, the term "incident of ownership" includes a reversionary interest, whether arising by the express terms of the policy or other instrument or by operation of law, only if the value of such reversionary interest exceeded 5% of the value of the policy immediately before the death of the decedent. As used in this subsection, the term "reversionary interest" includes a possibility that the policy, or the proceeds of the policy, may return to the decedent or the decedent's estate, or may be subject to a power of disposition by the decedent. The value of a reversionary interest at any time shall be determined, without regard to the fact of the decedent's death, by usual methods of valuation, including the use of tables of mortality and actuarial principles, pursuant to rules and regulations prescribed by the secretary. In determining the value of a possibility that the policy or proceeds thereof may be subject to power of disposition by the decedent, such possibility shall be valued as if it were a possibility that such policy or proceeds may return to the decedent or the decedent's estate.

      History:   L. 2006, ch. 199, § 15; Jan. 1, 2007.