§ 450.96 — Contingent estates

Iowa § 450.96

• Jurisdiction: Iowa
• Title X: FINANCIAL RESOURCES
• Ch. 450: INHERITANCE TAX

Text

Estates in expectancy which are contingent or defeasible and in which proceedings for
the determination of the tax have not been taken or where the taxation has been held in
abeyance, shall be valued at their full, undiminished value when the persons entitled to the
estates come into the beneficial enjoyment or possession of the estates, without diminution
for or on account of any valuation previously made. When an estate, devise, or legacy can be
divested by the act or omission of the legatee or devisee, it shall be taxed as if there were no
possibility of the divesting. When a devise, bequest, or transfer is one in part contingent, and
in part vested so that the beneficiary will come into possession and enjoyment of a portion
of the inheritance on or before the happening of the event upon which the possible defeating
contingency is based, a tax shall be imposed and collected upon the bequest or transfer
as upon a vested interest, at the highest rate possible under this chapter if no contingency
existed; provided that if the contingency reduces the value of the estate or interest taxed, and
the amount of tax paid is in excess of the tax for which the bequest or transfer is liable upon
the removal of the contingency, the excess shall be refunded as provided in sections 450.94
and 450.95 in other cases.

Legislative History

[S13, §1481-a44; C24, 27, 31, 35, 39, §7397; C46, 50, 54, 58, 62, 66, 71, 73, 75, 77, 79, 81, §450.96]