§2516 — Certain property settlements

19 cases·4 followed·3 distinguished·12 cited—21% support

Statute Text — 26 U.S.C. §2516

Where a husband and wife enter into a written agreement relative to their marital and property rights and divorce occurs within the 3-year period beginning on the date 1 year before such agreement is entered into (whether or not such agreement is approved by the divorce decree), any transfers of property or interests in property made pursuant to such agreement—

(1)

to either spouse in settlement of his or her marital or property rights, or

(2)

to provide a reasonable allowance for the support of issue of the marriage during minority,

shall be deemed to be transfers made for a full and adequate consideration in money or money’s worth.

Treasury Regulations

Treas. Reg. §Treas. Reg. §25.2516-1 Certain property settlements
Treas. Reg. §Treas. Reg. §25.2516-1(a) Section 2516 provides that transfers of property or interests in property made under the terms of a written agreement between spouses in settlement of their marital or property rights are deemed to be for an adequate and full consideration in money or money's worth and, therefore, exempt from the gift tax (whether or not such agreement is approved by a divorce decree), if the spouses obtain a final decree of divorce from each other within two years after entering into the agreement.
Treas. Reg. §Treas. Reg. §25.2516-1(b) See paragraph (b) of § 25.
Treas. Reg. §Treas. Reg. §25.2516-2 Transfers in settlement of support obligations

19 Citing Cases

FOLLOWED Estate of David A. Kahanic, Deceased, Edward M. Fiala, Executor, Petitioners T.C. Memo. 2012-81 · 2012

Section 2516 provides in part as follows: Where a husband and wife enter into a written agreementrelative to their marital and property rights and divorce occurs withinthe 3-yearperiod beginning on the date 1 year before such agreement is entered into (whether or not such agreement is approved by the divorce decree), an

Patricia London, Petitioner T.C. Memo. 1998-346 · 1998

section 2516, to mean crimes or criminal conduct. However, respondent is not using the contents of the intercepted communications in this proceeding as proof of tax evasion or some other tax offense. To the contrary, respondent is using the intercepted communications in these civil tax cases to satisfy the Commissioner's burden of proof with respec

Estate of Satz v. Commissioner 78 T.C. 1172 · 1982

Estate of Nelson v. Commissioner 47 T.C. 279 · 1966

Estate of Glen v. Commissioner 45 T.C. 323 · 1966

Estate of Fenton v. Commissioner 70 T.C. 263 · 1978

Spruance v. Commissioner 60 T.C. 141 · 1973

Estate of Keller v. Commissioner 44 T.C. 851 · 1965

Estate of Smith v. Commissioner 94 T.C. 872 · 1990

McDonald v. Commissioner 89 T.C. 293 · 1987

Kluger v. Commissioner 83 T.C. 309 · 1984

Perillo v. Commissioner 78 T.C. 534 · 1982

Estate of Iversen v. Commissioner 65 T.C. 391 · 1975

Estate of Hundley v. Commissioner 52 T.C. 495 · 1969

United States v. Gray 521 F.3d 514 · Cir.

United States v. Cisneros 206 F.3d 448 · Cir.

United States v. Jackson · Cir.

Alkon v. United States 239 F.3d 565 · Cir.

Alkon v. United States 43 V.I. 325 · Cir.

§2516 — Certain property settlements

19 Citing Cases

New cases, delivered.