§2516 — Title 26 Internal Revenue Code | U.S. Code

Summary

If a husband and wife sign a written agreement about their marital and property rights, and they get divorced during the 3-year period that begins 1 year before the agreement, then any property transfers under that agreement made to settle a spouse’s marital or property rights or to provide a reasonable allowance to support their children while minors are covered by this rule.

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,

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].”

§2516 Certain Property Settlements