CHAPTER 24 HOUSE BILL No. 2672 An Act concerning taxation; relating to estates; amending K.S.A. 1999 Supp. 79-15,107,
79-15,114, 79-15,123 and 79-15,124 and repealing the existing sections. Be it enacted by the Legislature of the State of Kansas:

      Section  1. K.S.A. 1999 Supp. 79-15,107 is hereby amended to read
as follows: 79-15,107. (a) If the taxes imposed under this act are not paid
when due, the spouse, transferee other than a bona fide purchaser for
value, surviving tenant, person in possession of the property by reason of
the exercise, nonexercise or release of a power of appointment, or ben-
eficiary, who receives, or has on the date of the decedent's death, property
included in the gross estate as determined for federal estate tax purposes,
except property for which a marital deduction was allowed under pro-
visions of the internal revenue code, shall be personally liable for such tax,
to the extent of the value of such property at the time of the decedent's
death.

      (b) If the personal representative fails to timely pay the tax imposed
by K.S.A. 1999 Supp. 79-15,102 and amendments thereto, the director
shall enforce payment of the tax by the issuance of a warrant under the
director's hand and official seal, directed to the sheriff of any county of
the state, commanding such sheriff to levy upon and sell the real and
personal property of the estate found within the sheriff's county for the
payment of the amount thereof, with the added interest and the cost of
executing the warrant, and to return such warrant to the director and pay
to the director the money collected by virtue thereof not more than 60
days from the date of the warrant. The sheriff shall within five days after
the receipt of the warrant, file with the clerk of the district court of the
sheriff's county a copy thereof, and thereupon the clerk shall enter in the
appearance docket in appropriate columns, the name of the estate named
in the warrant, the amount of the tax or portion thereof and interest for
which the warrant is issued and the date such copy is filed. The amount
of such warrant so docketed shall thereupon become a lien upon the title
to, and interest in, the real property of the estate against whom it is issued
in the same manner, as a judgment duly docketed in the office of such
clerk. The sheriff shall proceed in the same manner and with like effect
as prescribed by law with respect to executions issued against property
upon judgments of a court of record, and shall be entitled to the same
fees for the sheriff's services to be collected in the same manner.

      (c) The court in which the warrant is docketed shall have jurisdiction
over all subsequent proceedings as fully as though a judgment had been
rendered in the court. In the discretion of the director, a warrant of like
terms, force and effect may be issued and directed to any officer or em-
ployee of the director, and in the execution thereof such officer or em-
ployee shall have all the powers conferred by laws upon sheriffs, and the
subsequent proceedings thereunder shall be the same as provided where
the warrant is issued directly to the sheriff. The estate shall have the right
to redeem the real estate within a period of 18 months from the date of
such sale. If a warrant be returned, unsatisfied in full, the director shall
have the same remedies to enforce the claim for taxes as if the state of
Kansas had recovered judgment against the distributee for the amount of
the tax. No law exempting any goods and chattels, land and tenements
from forced sale under execution shall apply to a levy and sale under any
such warrants or upon any execution issued upon any judgment rendered
in any action for inheritance taxes. The director shall have the right at
any time after the warrant has been returned unsatisfied or satisfied only
in part, to issue alias warrants until the full amount of the tax is collected.

      (d) (b) The lien imposed by K.S.A. 1998 Supp. 79-15,107 prior to its
amendment by this act is hereby released for the estates of decedents
dying on or after July 1, 1998.

      Sec.  2. K.S.A. 1999 Supp. 79-15,114 is hereby amended to read as
follows: 79-15,114. Whenever the amount of the tax imposed upon a
generation-skipping transfer by section 2601 of the internal revenue code
is determined, a tax, equal to the maximum amount of the credit allowed
against such tax by section 2604 of the internal revenue code, is hereby
imposed upon the taxable estate of the decedent same person or entity
liable for payment of the federal generation skipping tax under section
2603 of the internal revenue code as of the date of such determination.

      Sec.  3. K.S.A. 1999 Supp. 79-15,123 is hereby amended to read as
follows: 79-15,123. (a) (1) If any part of the federal gross estate consists
of property the value of which is includable in the federal gross estate by
reason of section 2044 of the internal revenue code, relating to certain
property for which marital deduction was previously allowed, the personal
representative shall be entitled to recover from the person receiving the
property the amount by which: (A) The total tax under chapter 11 of the
internal revenue code which has been paid the total tax imposed by K.S.A.
79-15,102, and amendments thereto, exceeds (B) the total tax under chap-
ter 11 of the internal revenue code the tax which would have been payable
imposed by K.S.A. 79-15,102, and amendments thereto, if the value of
such property had not been included in the gross estate.

      (2) Subsection (a)(1) shall not apply with respect to any property to
the extent that the decedent specifically indicates by will or trust an intent
to waive any right of recovery with respect to such property.

      (b) For purposes of this section, if there is more than one person
receiving the property, the right of recovery shall be against each such
person.

      (c) In the case of penalties and interest attributable to additional taxes
described in subsections (a) and (b), rules similar to subsections (a), (b)
and (c) shall apply.

      Sec.  4. K.S.A. 1999 Supp. 79-15,124 is hereby amended to read as
follows: 79-15,124. (a) (1) If any part of the gross estate on which tax has
been paid consists of the value of property included in the gross estate
by reason of section 2036 of the internal revenue code, relating to trans-
fers with retained life estate, the decedent's estate shall be entitled to
recover from the person receiving the property the amount which bears
the same ratio to the total tax under chapter 11 of the internal revenue
code which has been paid as: (A) The tax imposed by K.S.A. 79-15,102,
and amendments thereto, as the value of such property, bears to (B) the
taxable estate.

      (2) Subsection (a)(1) shall not apply with respect to any property to
the extent that the decedent by will or revocable trust specifically indi-
cates an intent to waive any right of recovery under this provision with
respect to such property.

      (b) For purposes of this section, if there is more than one person
receiving the property, the right of recovery shall be against each such
person.

      (c) In the case of penalties and interest attributable to the additional
taxes described in subsection (a), rules similar to the rules of subsections
(a) and (b) shall apply.

      (d) No person shall be entitled to recover any amount by reason of
this section from a trust to which section 664 of the internal revenue code
applies, determined without regard to this section.

 Sec.  5. K.S.A. 1999 Supp. 79-15,107, 79-15,114, 79-15,123 and 79-
15,124 are hereby repealed.
 Sec.  6. This act shall take effect and be in force from and after its
publication in the statute book.

Approved March 22, 2000.
__________