§ 1041. Transfers of property between spouses or incident to divorce
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/usc/title-26/section-1041A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)General rule No gain or loss shall be recognized on a transfer of property from an individual to (or in trust for the benefit of)—
(1)a spouse, or
(2)a former spouse, but only if the transfer is incident to the divorce.
(b)Transfer treated as gift; transferee has transferor’s basis In the case of any transfer of property described in subsection (a)—
(1)for purposes of this subtitle, the property shall be treated as acquired by the transferee by gift, and
(2)the basis of the transferee in the property shall be the adjusted basis of the transferor.
(c)Incident to divorce For purposes of subsection (a)(2), a transfer of property is incident to the divorce if such transfer—
(1)occurs within 1 year after the date on which the marriage ceases, or
(2)is related to the cessation of the marriage.
(d)Special rule where spouse is nonresident alien Subsection
(a)shall not apply if the spouse (or former spouse) of the individual making the transfer is a nonresident alien.
(e)Transfers in trust where liability exceeds basis Subsection
(a)shall not apply to the transfer of property in trust to the extent that—
(1)the sum of the amount of the liabilities assumed, plus the amount of the liabilities to which the property is subject, exceeds
(2)the total of the adjusted basis of the property transferred.
Proper adjustment shall be made under subsection
(b)in the basis of the transferee in such property to take into account gain recognized by reason of the preceding sentence.
(Added Pub. L. 98–369, div. A, title IV, § 421(a), July 18, 1984, 98 Stat. 793; amended Pub. L. 99–514, title XVIII, § 1842(b), Oct. 22, 1986, 100 Stat. 2853; Pub. L. 100–647, title I, § 1018(l)(3), Nov. 10, 1988, 102 Stat. 3584.)
Connections13 cite this · traces to 2
Cited by 13 sections · top 12
U.S. Code
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- § 1001Determination of amount of and recognition of gain or loss
- § 1239Gain from sale of depreciable property between certain related taxpayers
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Traces to 2 documents
13 references not yet in our index
- Pub. L. 98–369, div. A, title IV, § 421(a)
- 98 Stat. 793
- Pub. L. 99–514, title XVIII, § 1842(b)
- 100 Stat. 2853
- Pub. L. 100–647, title I, § 1018
- 102 Stat. 3584
- Pub. L. 100–647
- Pub. L. 99–514
- Pub. L. 98–369, div. A
- section 1881 of Pub. L. 99–514
- Pub. L. 98–369, div. A, title IV, § 421(d)
- 98 Stat. 795
- section 1140 of Pub. L. 99–514
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§ 1041
Transfers of property between spouses or incident to divorce
U.S.C.×8
C.F.R.×3
Stat.×2
Pub. L.Pub. L. 98–369, div. A, title IV, § 421(a)
Stat.98 Stat. 793
Pub. L.Pub. L. 99–514, title XVIII, § 1842(b)
Stat.100 Stat. 2853
Pub. L.Pub. L. 100–647, title I, § 1018
Cites 15 · showing 7Cited by 13 across 3 sources