Section 10-40-12 - Exercise of power of appointment as taxable transfer--Failure to exercise power. - South Dakota Statutes

10-40-12. Exercise of power of appointment as taxable transfer--Failure to exercise power. Whenever any person or corporation shall exercise a power of appointment derived from any disposition of property made either before or after the taking effect of this code, such appointment when made shall be deemed a transfer taxable under the provisions of this code relating to inheritance taxation, in the same manner as though the property to which such appointment relates belonged absolutely to the donee of such power and had been bequeathed or devised to such donee by will; and whenever any person or corporation possessing such power of appointment so derived shall omit or fail to exercise the same within the time provided therefor, in whole or in part, a transfer taxable under the provisions of this code shall be deemed to take place to the extent of such omission or failure, in the same manner as though the person or corporation thereby becoming entitled to the possession or enjoyment of the property to which such power related had succeeded thereto by a will of the donee of the power failing to exercise such power, taking effect at the time of such omission or failure.

Source: SL 1905, ch 54; SL 1913, ch 243; SL 1915, ch 217, § 1; RC 1919, § 6827; SDC 1939, § 57.2104.