CHAPTER 12. APPORTIONMENT OF FEDERAL ESTATE TAXES
IC 29-2-12
Chapter 12. Apportionment of Federal Estate Taxes
IC 29-2-12-1
Purpose
Sec. 1. The purpose of this chapter is to provide for an equitable
apportionment of federal estate tax imposed upon decedents' estates
under the provisions of the United States revenue code.
(Formerly: Acts 1969, c.175, s.1.) As amended by Acts 1982,
P.L.171, SEC.72.
IC 29-2-12-1.5
"Will" defined
Sec. 1.5. As used in this chapter, "will" includes a trust or other
instrument governing the distribution of assets following an
individual's death.
As added by P.L.266-1989, SEC.1.
IC 29-2-12-2
Heirs and beneficiaries; charitable or marital deduction or
exemption
Sec. 2. Unless a decedent shall otherwise direct by will, the
federal estate tax imposed upon decedent's estate, shall be
apportioned among all of the persons, heirs and beneficiaries of
decedent's estate who receive any property which is includable in the
total gross estate of said decedent for the purpose of determining the
amount of federal estate tax to be paid by said estate, Provided, That
no part of the federal estate tax shall be apportioned against property
which, in the absence of any apportionment whatsoever, whould
qualify for any charitable, marital or other deduction or exemption,
nor against recipients of such property on account thereof.
(Formerly: Acts 1969, c.175, s.2.)
IC 29-2-12-3
Payment; recovery
Sec. 3. The personal representative of decedent's estate or the
person paying the federal estate tax imposed upon said estate by said
United States revenue code shall be entitled to recover such tax so
paid proportionately from each such person, heir, or beneficiary as
is hereinafter provided.
(Formerly: Acts 1969, c.175, s.3.)
IC 29-2-12-4
Method of apportionment
Sec. 4. The portion of such federal estate tax 2001 et seq.) to be
paid by each person, heir, or beneficiary of said estate shall be
determined by dividing the value of the property received by such
person, heir or beneficiary, which is included in the net taxable
estate, by the amount of the net taxable estate, and multiplying the
result by the amount of the total federal estate tax paid.
(Formerly: Acts 1969, c.175, s.4.)
IC 29-2-12-5
Liens
Sec. 5. That portion of said federal estate tax apportioned to each
person, heir, or beneficiary receiving property as aforesaid, shall
constitute a lien upon the property received by said person, heir or
beneficiary until the amount thereof has been paid or reimbursed to
the personal representative of decedent's estate or the person other
than the personal representative who has paid such tax.
(Formerly: Acts 1969, c.175, s.5.)
IC 29-2-12-6
Deduction of amounts; action for recovery
Sec. 6. The personal representative of decedent's estate shall, prior
to final distribution of the estate, deduct the amount of federal estate
tax apportioned to each heir or beneficiary, if such personal
representative is in possession of sufficient property distributable to
such heir or beneficiary to pay such apportioned share of said federal
estate tax. In the event that such personal representative does not
have property of at least the value of such apportioned share of said
federal estate tax, said personal representative may recover such
apportioned share by an action in court.
(Formerly: Acts 1969, c.175, s.6.)
IC 29-2-12-7
Will providing for payment
Sec. 7. (a) This chapter shall not be applicable to estates where
the decedent has, by will, provided for the payment of federal estate
tax either by the estate or by the residue of the estate.
(b) A specific direction in a will to pay federal estate tax from the
testator's estate or the residue of the estate shall be considered a
provision for payment under subsection (a).
(Formerly: Acts 1969, c.175, s.7.) As amended by Acts 1982,
P.L.171, SEC.73; P.L.266-1989, SEC.2.