26 USC 2516 - Sec. 2516. Certain property settlements

Text

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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.

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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''.

EFFECTIVE DATE OF 1984 AMENDMENT

Section 425(c)(2) of Pub. L. 98-369 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).''

Section Referred To In Other Sections

This section is referred to in sections 2043, 7701 of this title.

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