Title 26 — Internal Revenue CodeRelease 119-73
§2516 Certain property settlements
Title 26 › Subtitle Subtitle B— - Estate and Gift Taxes › Chapter CHAPTER 12— - GIFT TAX › Subchapter Subchapter B— - Transfers › § 2516
Summary
Covers transfers made under a written marital and property agreement when the couple divorces within the 3-year period starting one year before the agreement (approved or not), including transfers to a spouse as settlement or to support minor children.
Full Legal Text
Title 26, §2516
Internal Revenue Code — Source: USLM XML via OLRC
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,
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Amendments
1984—Pub. L. 98–369 substituted in introductory text “within the 3-year period beginning on the date 1 year before such agreement is entered into” for “within 2 years thereafter”.
Statutory Notes and Related Subsidiaries
Effective Date
of 1984 Amendment Pub. L. 98–369, div. A, title IV, § 425(c)(2),
July 18, 1984, 98 Stat. 804, provided that: “The amendment made by subsection (b) [amending this section] shall apply to transfers after the date of the enactment of this Act [
July 18, 1984].”
Reference
Citations & Metadata
Citation
26 U.S.C. § 2516
Title 26 — Internal Revenue Code
Last Updated
Apr 6, 2026
Release point: 119-73