IC 6-4.1-6
Chapter 6. Special Procedures for Appraising and Taxing Certain
Property Interests
IC 6-4.1-6-1 Mortality standards and actuarial tables; valuation of future
interests
Sec. 1. (a) For purposes of this article, county inheritance tax
appraisers and the department of state revenue shall, if possible,
appraise each future, contingent, defeasible, or life interest in
property and each annuity by using the rules, methods, standards of
mortality, and actuarial tables used by the Internal Revenue Service
on October 1, 1988, for federal estate tax purposes.
(b) Except as otherwise provided in this chapter, the value of a
future interest in specific property equals the remainder of:
(1) the total value of the property; minus
(2) the value of all other interests in the property.
(c) Unless otherwise provided by the transferor, the inheritance
tax imposed on the transfer of each of the interests is payable from
the property in which the interests exist. As added by Acts 1976, P.L.18, SEC.1. Amended by P.L.95-1989,
SEC.1.
IC 6-4.1-6-2 Property interests that may be divested
Sec. 2. County inheritance tax appraisers and the department of
state revenue shall appraise a property interest which may be
divested because of an act or omission of the transferee as if there
were no possibility of divestment. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-3 Agreements with department for computing taxes
Sec. 3. (a) The department of state revenue and a taxpayer may
enter into an agreement under which the department will compute the
inheritance tax due with respect to a taxable transfer if:
(1) it is impossible to compute the present value of the property
interest transferred; or
(2) the tax imposed on the transfer cannot be computed because
a contingency makes it impossible to determine who will take
the property.
The personal representative of an estate or the trustee of a trust may,
without court authorization, enter into such an agreement with the
department on behalf of the estate or trust.
(b) When the department of state revenue enters into an agreement
with a taxpayer under this section, the tax computed by the
department is payable from the property interest transferred. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-4 Manner of property distribution; circumstances where court
determination required; finality
Sec. 4. For purposes of determining the inheritance tax imposed
on a decedent's transfer of specific property, the appropriate probate
court shall, so far as possible, determine the manner in which the
property will probably be distributed if:
(1) a contingency makes it impossible to determine each
transferee's exact interest in the property; and
(2) the department of state revenue and the taxpayer fail, within
a reasonable time, to enter into an agreement under section 3 of
this chapter.
Unless the court's determination is appealed, it is final and binding
on all parties. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-5 Appraisal of limited, contingent, dependent, or determinable
interests
Sec. 5. If a probate court files an application with the department
of state revenue asking the department to appraise a property interest
which is limited, contingent, dependent, or determinable upon a life
in being, including but not limited to a life or remainder interest, the
department shall, if possible, appraise the property interest. The
department shall base its appraisal on the facts stated by the court in
the application, and the department shall certify its appraisal in
duplicate to the court. The department's certification is competent
evidence that the appraisal is correct. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-6 Contingent or defeasible future interests; appraisal
Sec. 6. (a) If proceedings have not been instituted under this
chapter to determine the inheritance tax imposed on the decedent's
transfer of a contingent or defeasible future interest in property or if
the tax imposed on such a transfer is postponed under subsection (b)
of this section, the county inheritance tax appraiser or the department
of state revenue shall, notwithstanding the provisions of IC 6-4.1-5,
appraise the property interest at its fair market value when the
transferee of the interest obtains the beneficial enjoyment or
possession of the property.
(b) The inheritance tax imposed on the decedent's transfer of a
contingent or defeasible interest in property accrues and is due when
the transferee of the interest obtains the beneficial enjoyment or
possession of the property if the fair market value of the property
interest as of the appraisal date prescribed by IC 6-4.1-5-1.5 cannot
otherwise be ascertained under this chapter. As added by Acts 1976, P.L.18, SEC.1. Amended by Acts 1980,
P.L.57, SEC.18.
IC 6-4.1-6
Chapter 6. Special Procedures for Appraising and Taxing Certain
Property Interests
IC 6-4.1-6-1 Mortality standards and actuarial tables; valuation of future
interests
Sec. 1. (a) For purposes of this article, county inheritance tax
appraisers and the department of state revenue shall, if possible,
appraise each future, contingent, defeasible, or life interest in
property and each annuity by using the rules, methods, standards of
mortality, and actuarial tables used by the Internal Revenue Service
on October 1, 1988, for federal estate tax purposes.
(b) Except as otherwise provided in this chapter, the value of a
future interest in specific property equals the remainder of:
(1) the total value of the property; minus
(2) the value of all other interests in the property.
(c) Unless otherwise provided by the transferor, the inheritance
tax imposed on the transfer of each of the interests is payable from
the property in which the interests exist. As added by Acts 1976, P.L.18, SEC.1. Amended by P.L.95-1989,
SEC.1.
IC 6-4.1-6-2 Property interests that may be divested
Sec. 2. County inheritance tax appraisers and the department of
state revenue shall appraise a property interest which may be
divested because of an act or omission of the transferee as if there
were no possibility of divestment. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-3 Agreements with department for computing taxes
Sec. 3. (a) The department of state revenue and a taxpayer may
enter into an agreement under which the department will compute the
inheritance tax due with respect to a taxable transfer if:
(1) it is impossible to compute the present value of the property
interest transferred; or
(2) the tax imposed on the transfer cannot be computed because
a contingency makes it impossible to determine who will take
the property.
The personal representative of an estate or the trustee of a trust may,
without court authorization, enter into such an agreement with the
department on behalf of the estate or trust.
(b) When the department of state revenue enters into an agreement
with a taxpayer under this section, the tax computed by the
department is payable from the property interest transferred. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-4 Manner of property distribution; circumstances where court
determination required; finality
Sec. 4. For purposes of determining the inheritance tax imposed
on a decedent's transfer of specific property, the appropriate probate
court shall, so far as possible, determine the manner in which the
property will probably be distributed if:
(1) a contingency makes it impossible to determine each
transferee's exact interest in the property; and
(2) the department of state revenue and the taxpayer fail, within
a reasonable time, to enter into an agreement under section 3 of
this chapter.
Unless the court's determination is appealed, it is final and binding
on all parties. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-5 Appraisal of limited, contingent, dependent, or determinable
interests
Sec. 5. If a probate court files an application with the department
of state revenue asking the department to appraise a property interest
which is limited, contingent, dependent, or determinable upon a life
in being, including but not limited to a life or remainder interest, the
department shall, if possible, appraise the property interest. The
department shall base its appraisal on the facts stated by the court in
the application, and the department shall certify its appraisal in
duplicate to the court. The department's certification is competent
evidence that the appraisal is correct. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-6 Contingent or defeasible future interests; appraisal
Sec. 6. (a) If proceedings have not been instituted under this
chapter to determine the inheritance tax imposed on the decedent's
transfer of a contingent or defeasible future interest in property or if
the tax imposed on such a transfer is postponed under subsection (b)
of this section, the county inheritance tax appraiser or the department
of state revenue shall, notwithstanding the provisions of IC 6-4.1-5,
appraise the property interest at its fair market value when the
transferee of the interest obtains the beneficial enjoyment or
possession of the property.
(b) The inheritance tax imposed on the decedent's transfer of a
contingent or defeasible interest in property accrues and is due when
the transferee of the interest obtains the beneficial enjoyment or
possession of the property if the fair market value of the property
interest as of the appraisal date prescribed by IC 6-4.1-5-1.5 cannot
otherwise be ascertained under this chapter. As added by Acts 1976, P.L.18, SEC.1. Amended by Acts 1980,
P.L.57, SEC.18.
IC 6-4.1-6
Chapter 6. Special Procedures for Appraising and Taxing Certain
Property Interests
IC 6-4.1-6-1 Mortality standards and actuarial tables; valuation of future
interests
Sec. 1. (a) For purposes of this article, county inheritance tax
appraisers and the department of state revenue shall, if possible,
appraise each future, contingent, defeasible, or life interest in
property and each annuity by using the rules, methods, standards of
mortality, and actuarial tables used by the Internal Revenue Service
on October 1, 1988, for federal estate tax purposes.
(b) Except as otherwise provided in this chapter, the value of a
future interest in specific property equals the remainder of:
(1) the total value of the property; minus
(2) the value of all other interests in the property.
(c) Unless otherwise provided by the transferor, the inheritance
tax imposed on the transfer of each of the interests is payable from
the property in which the interests exist. As added by Acts 1976, P.L.18, SEC.1. Amended by P.L.95-1989,
SEC.1.
IC 6-4.1-6-2 Property interests that may be divested
Sec. 2. County inheritance tax appraisers and the department of
state revenue shall appraise a property interest which may be
divested because of an act or omission of the transferee as if there
were no possibility of divestment. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-3 Agreements with department for computing taxes
Sec. 3. (a) The department of state revenue and a taxpayer may
enter into an agreement under which the department will compute the
inheritance tax due with respect to a taxable transfer if:
(1) it is impossible to compute the present value of the property
interest transferred; or
(2) the tax imposed on the transfer cannot be computed because
a contingency makes it impossible to determine who will take
the property.
The personal representative of an estate or the trustee of a trust may,
without court authorization, enter into such an agreement with the
department on behalf of the estate or trust.
(b) When the department of state revenue enters into an agreement
with a taxpayer under this section, the tax computed by the
department is payable from the property interest transferred. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-4 Manner of property distribution; circumstances where court
determination required; finality
Sec. 4. For purposes of determining the inheritance tax imposed
on a decedent's transfer of specific property, the appropriate probate
court shall, so far as possible, determine the manner in which the
property will probably be distributed if:
(1) a contingency makes it impossible to determine each
transferee's exact interest in the property; and
(2) the department of state revenue and the taxpayer fail, within
a reasonable time, to enter into an agreement under section 3 of
this chapter.
Unless the court's determination is appealed, it is final and binding
on all parties. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-5 Appraisal of limited, contingent, dependent, or determinable
interests
Sec. 5. If a probate court files an application with the department
of state revenue asking the department to appraise a property interest
which is limited, contingent, dependent, or determinable upon a life
in being, including but not limited to a life or remainder interest, the
department shall, if possible, appraise the property interest. The
department shall base its appraisal on the facts stated by the court in
the application, and the department shall certify its appraisal in
duplicate to the court. The department's certification is competent
evidence that the appraisal is correct. As added by Acts 1976, P.L.18, SEC.1.
IC 6-4.1-6-6 Contingent or defeasible future interests; appraisal
Sec. 6. (a) If proceedings have not been instituted under this
chapter to determine the inheritance tax imposed on the decedent's
transfer of a contingent or defeasible future interest in property or if
the tax imposed on such a transfer is postponed under subsection (b)
of this section, the county inheritance tax appraiser or the department
of state revenue shall, notwithstanding the provisions of IC 6-4.1-5,
appraise the property interest at its fair market value when the
transferee of the interest obtains the beneficial enjoyment or
possession of the property.
(b) The inheritance tax imposed on the decedent's transfer of a
contingent or defeasible interest in property accrues and is due when
the transferee of the interest obtains the beneficial enjoyment or
possession of the property if the fair market value of the property
interest as of the appraisal date prescribed by IC 6-4.1-5-1.5 cannot
otherwise be ascertained under this chapter. As added by Acts 1976, P.L.18, SEC.1. Amended by Acts 1980,
P.L.57, SEC.18.
