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Code · U.S. Code · Title 26 - INTERNAL REVENUE CODE · CHAPTER 1— NORMAL TAXES AND SURTAXES · Subchapter O— Gain or Loss on Disposition of Property · § 1040

§ 1040. Transfer of certain farm, etc., real property

1,301 words·~6 min read·/usc/title-26/section-1040

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(a)General rule If the executor of the estate of any decedent transfers to a qualified heir (within the meaning of section 2032A(e)(1)) any property with respect to which an election was made under section 2032A, then gain on such transfer shall be recognized to the estate only to the extent that, on the date of such transfer, the fair market value of such property exceeds the value of such property for purposes of chapter 11 (determined without regard to section 2032A).
(b)Similar rule for certain trusts To the extent provided in regulations prescribed by the Secretary, a rule similar to the rule provided in subsection
(a)shall apply where the trustee of a trust (any portion of which is included in the gross estate of the decedent) transfers property with respect to which an election was made under section 2032A.
(c)Basis of property acquired in transfer described in subsection
(a)or
(b)The basis of property acquired in a transfer with respect to which gain realized is not recognized by reason of subsection
(a)or
(b)shall be the basis of such property immediately before the transfer increased by the amount of the gain recognized to the estate or trust on the transfer.
(Added Pub. L. 94–455, title XX, § 2005(b), Oct. 4, 1976, 90 Stat. 1877; amended Pub. L. 95–600, title VII, § 702(d)(3), Nov. 6, 1978, 92 Stat. 2929; Pub. L. 96–222, title I, § 105(a)(5)(A), Apr. 1, 1980, 94 Stat. 219; Pub. L. 96–223, title IV, § 401(c)(2)(A), Apr. 2, 1980, 94 Stat. 300; Pub. L. 97–34, title IV, § 421(j)(2)(B), Aug. 13, 1981, 95 Stat. 312; Pub. L. 97–448, title I, § 104(b)(3)(A), (B), Jan. 12, 1983, 96 Stat. 2381; Pub. L. 107–16, title V, § 542(d)(1), June 7, 2001, 115 Stat. 84; Pub. L. 111–312, title III, § 301(a), Dec. 17, 2010, 124 Stat. 3300.)
Connections24 cite this · traces to 5
37 references not yet in our index
  • Pub. L. 94–455, title XX, § 2005(b)
  • 90 Stat. 1877
  • Pub. L. 95–600, title VII, § 702(d)(3)
  • 92 Stat. 2929
  • Pub. L. 96–222, title I, § 105(a)(5)(A)
  • 94 Stat. 219
  • Pub. L. 96–223, title IV, § 401(c)(2)(A)
  • 94 Stat. 300
  • Pub. L. 97–34, title IV, § 421(j)(2)(B)
  • 95 Stat. 312
  • Pub. L. 97–448, title I, § 104(b)(3)(A)
  • 96 Stat. 2381
  • Pub. L. 107–16, title V, § 542(d)(1)
  • 115 Stat. 84
  • Pub. L. 111–312, title III, § 301(a)
  • 124 Stat. 3300
  • Pub. L. 111–312
  • Pub. L. 107–16, § 542(d)(1)
  • Pub. L. 97–448, § 104(b)(3)(A)
  • Pub. L. 97–448, § 104(b)(3)(B)
  • Pub. L. 97–34
  • Pub. L. 96–223
  • Pub. L. 96–222
  • Pub. L. 95–600
  • section 301(e) of Pub. L. 111–312
  • Pub. L. 107–16
  • section 542(f)(1) of Pub. L. 107–16
  • Pub. L. 97–448
  • section 109 of Pub. L. 97–448
  • section 421(k)(5) of Pub. L. 97–34
  • section 401(e) of Pub. L. 96–223
  • Pub. L. 96–222, title I, § 105(a)(5)(B)
  • Pub. L. 99–514, § 2
  • 100 Stat. 2095
  • section 515 of Pub. L. 95–600
  • section 702(d)(6) of Pub. L. 95–600
  • section 2005(f)(1) of Pub. L. 94–455
Citation graph
cites case law
§ 1040
Transfer of certain farm, etc., real property
Stat.×22
U.S.C.×2
Pub. L.Pub. L. 94–455, title XX, § 2005(b)
Stat.90 Stat. 1877
Pub. L.Pub. L. 95–600, title VII, § 702(d)(3)
Stat.92 Stat. 2929
Pub. L.Pub. L. 96–222, title I, § 105(a)(5)(A)
Cites 42 · showing 10Cited by 24 across 2 sources
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