26 USC 2035 - Adjustments for certain gifts made within 3 years of decedent’s death

U.S Code last checked for updates: Nov 23, 2024

§ 2035.

Adjustments for certain gifts made within 3 years of decedent’s death

(a)

Inclusion of certain property in gross estate

If—

(1)

the decedent made a transfer (by trust or otherwise) of an interest in any property, or relinquished a power with respect to any property, during the 3-year period ending on the date of the decedent’s death, and

(2)

the value of such property (or an interest therein) would have been included in the decedent’s gross estate under section 2036, 2037, 2038, or 2042 if such transferred interest or relinquished power had been retained by the decedent on the date of his death,

the value of the gross estate shall include the value of any property (or interest therein) which would have been so included.

(b)

Inclusion of gift tax on gifts made during 3 years before decedent’s death

(c)

Other rules relating to transfers within 3 years of death

(1)

In general

For purposes of—

(A)

section 303(b) (relating to distributions in redemption of stock to pay death taxes),

(B)

section 2032A (relating to special valuation of certain farms, etc., real property), and

(C)

subchapter C of chapter 64 (relating to lien for taxes),

the value of the gross estate shall include the value of all property to the extent of any interest therein of which the decedent has at any time made a transfer, by trust or otherwise, during the 3-year period ending on the date of the decedent’s death.

(2)

Coordination with section 6166

(3)

Marital and small transfers

(d)

Exception

(e)

Treatment of certain transfers from revocable trusts

(Aug. 16, 1954, ch. 736, 68A Stat. 381; Pub. L. 87–834, § 18(a)(2)(C), Oct. 16, 1962, 76 Stat. 1052; Pub. L. 94–455, title XX, § 2001(a)(5), Oct. 4, 1976, 90 Stat. 1848; Pub. L. 95–600, title VII, § 702(f)(1), Nov. 6, 1978, 92 Stat. 2930;

cite as: 26 USC 2035