40-2906a. Certificate of contribution as asset of insurer; offset against premium tax liability.
40-2906a
40-2906a. Certificate of contribution as asset ofinsurer; offset against premium tax liability.(a) Unless a longer period has been allowed by the commissioner, amember insurer shall at its option have the right to show a certificateof contribution as an asset in the form approved by the commissionerpursuant to subsection (c) of K.S.A. 40-2906, and amendments thereto, atpercentagesof the original face amount approved by the commissioner, for calendaryears as follows:
(1) One hundred percent for the calendar year of issuance;
(2) eighty percent for the first calendar year after the yearof issuance;
(3) sixty percent for the second calendar year after the yearof issuance;
(4) forty percent for the third calendar year after the yearof issuance; and
(5) twenty percent for the fourth calendar year after the yearof issuance.
(b) The insurer may offset the amount written off by it in acalendar year under subsection (a) against its premium tax liability tothis state accrued with respect to business transacted in such year.
(c) Any sums acquired by refund pursuant to subsection (b) of K.S.A.40-2906, and amendments thereto, from the association which havetheretofore beenwritten off by contributing insurers and offset against premium taxes asprovided in subsection (b) of this section, and is not then needed forpurposes of this act, shall be paid by the association to thecommissioner to be remitted by the commissionertothe statetreasurer in accordance with the provisions of K.S.A. 75-4215, andamendments thereto. Upon receipt of each such remittance, the state treasurershall deposit the entire amount in the state treasury tothecredit of the state general fund.
(d) The provisions of K.S.A. 40-2914, and amendments thereto, shallnot apply to amountswritten off under subsection (a) of this section.
History: L. 1976, ch. 220, § 3;L. 2001, ch. 5, § 121; July 1.