Internal Revenue Code:Sec. 2611. Generation-skipping transfer defined

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Location in Internal Revenue Code

     TITLE 26 - INTERNAL REVENUE CODE
      Subtitle B - Estate and Gift Taxes
       CHAPTER 13 - TAX ON GENERATION-SKIPPING TRANSFERS
        Subchapter B - Generation-Skipping Transfers
      

Statute

    Sec. 2611. Generation-skipping transfer defined
 
    (a) In general
      For purposes of this chapter, the term ''generation-skipping
    transfer'' means -
        (1) a taxable distribution,
        (2) a taxable termination, and
        (3) a direct skip.
    (b) Certain transfers excluded
      The term ''generation-skipping transfer'' does not include -
        (1) any transfer which, if made inter vivos by an individual,
      would not be treated as a taxable gift by reason of section
      2503(e) (relating to exclusion of certain transfers for
      educational or medical expenses), and
        (2) any transfer to the extent -
          (A) the property transferred was subject to a prior tax
        imposed under this chapter,
          (B) the transferee in the prior transfer was assigned to the
        same generation as (or a lower generation than) the generation
        assignment of the transferee in this transfer, and
          (C) such transfers do not have the effect of avoiding tax
        under this chapter with respect to any transfer.
 

Sources

    (Added Pub. L. 94-455, title XX, Sec. 2006(a), Oct. 4, 1976, 90
    Stat. 1882; amended Pub. L. 99-514, title XIV, Sec. 1431(a), Oct.
    22, 1986, 100 Stat. 2718; Pub. L. 100-647, title I, Sec.
    1014(g)(1), (2), 1018(u)(43), Nov. 10, 1988, 102 Stat. 3562, 3592.)
 

Miscellaneous

                                 AMENDMENTS
      1988 - Subsec. (a). Pub. L. 100-647, Sec. 1014(g)(1),
    1018(u)(43), substituted ''generation-skipping transfer'' for
    ''generation-skipping transfers'' and ''means'' for ''mean''.
      Subsec. (b). Pub. L. 100-647, Sec. 1014(g)(2), redesignated pars.
    (2) and (3) as (1) and (2), respectively, and struck out former
    par. (1) which read as follows: ''any transfer (other than a direct
    skip) from a trust, to the extent such transfer is subject to a tax
    imposed by chapter 11 or 12 with respect to a person in the 1st
    generation below that of the grantor, and''.
      1986 - Pub. L. 99-514 amended section generally, substituting
    provisions defining ''generation-skipping transfers'' and what that
    term does not include, for former provisions which defined
    ''generation-skipping transfer'', ''transfer'', and
    ''generation-skipping trust'', contained provisions to be used in
    determining the ascertainment of generation, and provided for a
    generation-skipping trust equivalent.
                      EFFECTIVE DATE OF 1988 AMENDMENT
      Amendment by Pub. L. 100-647 effective, except as otherwise
    provided, as if included in the provision of the Tax Reform Act of
    1986, Pub. L. 99-514, to which such amendment relates, see section
    1019(a) of Pub. L. 100-647, set out as a note under section 1 of
    this title.
                      EFFECTIVE DATE OF 1986 AMENDMENT
      Section applicable to generation-skipping transfers (within the
    meaning of section 2611 of this title) made after Oct. 22, 1986,
    except as otherwise provided, see section 1433 of Pub. L. 99-514,
    set out as a note under section 2601 of this title.
 

References

                   SECTION REFERRED TO IN OTHER SECTIONS
      This section is referred to in section 303 of this title.