Trusts which are private foundations, charitable trusts or split-interest trusts; acts prohibited

79-4605. Trusts which are private foundations, charitable trusts or split-interest trusts; acts prohibited. (1) In the administration of any trust which is a "private foundation," as defined in § 509 of the internal revenue code of 1954, a "charitable trust," as defined in § 4947 (a) (1) of the internal revenue code of 1954, or a "split-interest trust" as defined in § 4947 (a) (2) of the internal revenue code of 1954, the following acts shall be prohibited: (a) Engaging in any act of "self-dealing" (as defined in § 4941 (d) of the internal revenue code of 1954), which would give rise to any liability for the tax imposed by § 4941 (a) of the internal revenue code of 1954; (b) retaining any "excess business holdings" (as defined in § 4943 (c) of the internal revenue code of 1954) which would give rise to any liability for the tax imposed by § 4943 (a) of the internal revenue code of 1954; (c) making any investments which would jeopardize the carrying out of any of the exempt purposes of the trust, within the meaning of § 4944 of the internal revenue code of 1954, so as to give rise to any liability for the tax imposed by § 4944 (a) of the internal revenue code of 1954; and (d) making any "taxable expenditures" (as defined in § 4945 (d) of the internal revenue code of 1954) which would give rise to any liability for the tax imposed by § 4945 (a) of the internal revenue code of 1954. This section shall not apply either to those split-interest trusts or to amounts thereof which are not subject to the prohibitions applicable to private foundations by reason of the provisions of § 4947 of the internal revenue code of 1954. History: L. 1971, ch. 314, § 1; July 1. Cross References to Related Sections: Cy-pres rule; amendment or construction of will or trust to preserve federal estate tax deduction, see 59-22a01. Law Review and Bar Journal References: "Qualifying Testamentary Gifts of Charitable Remainders for the Estate Tax Deduction," John F. Kuether, 50 J.B.A.K. 252, 262 (1981). CASE ANNOTATIONS 1. Transaction violated statute prohibiting self-dealing. Mark Twain Kansas City Bank v. Kroh Bros. Dev. Co., 250 Kan. 754, 765, 829 P.2d 907 (1992). Previous | Next LEGISLATIVE COORDINATING COUNCIL General Policies 2026 Archived LCC Documents Archived LCC Meetings REVISOR OF STATUTES Archived Session Documents Archived School Finance Documents USEFUL LINKS Session Laws Kansas Administrative Regulations OTHER LEGISLATIVE SITES Kansas Legislature Administrative Services Division of Post Audit Research Department Contact Us PDF Help www.ksrevisor.gov 2026