§ 7520. Valuation tables

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1988

   Technical and Miscellaneous Revenue Act of 1988

   Pub. L. 100–647 title V § 5031(a) · 102 Stat. 3342

   Enacted · 26 U.S.C. § 7520

   Added Pub. L. 100–647, title V, § 5031(a), Nov. 10, 1988, 102 Stat. 3668

   Source evidence

   Code source credit
   Added Pub. L. 100–647, title V, § 5031(a), Nov. 10, 1988, 102 Stat. 3668

   Enacted provision · exact public law section
   (a) General Rule.— Chapter 77 of the 1986 Code (relating to miscellaneous provisions) is amended by adding at the end thereof the following new section: “SEC. 7520. VALUATION TABLES. “(a) General Rule.— For purposes of this title, the value of any annuity, any interest for life or a term of years, or any remainder or reversionary interest shall be determined— “(1) under tables prescribed by the Secretary, and “(2) by using an interest rate (rounded to the nearest ²/₁₀ths of 1 percent) equal to 120 percent of the Federal midterm rate in effect under section 1274(d)(1) for the month in which the valuation date falls. If an income, estate, or gift tax charitable contribution is allowable for any part of the property transferred, the taxpayer may elect to use such Federal midterm rate for either of the 2 months preceding the month in which the valuation date falls for purposes of paragraph (2). In the case of transfers of more than 1 interest in the same property with respect to which the taxpayer may use the same rate under paragraph (2), the taxpayer shall use the same rate with respect to each such interest. “(b) Section Not To Apply for Certain Purposes.— This section shall not apply for purposes of part I of subchapter D of chapter 1 or any other provision specified in regulations. “(c) Tables.— “(1) In general.— The tables prescribed by the Secretary for purposes of subsection (a) shall contain valuation factors for a series of interest rate categories. “(2) Initial table.— Not later than the day 3 months after the date of the enactment of this section, the Secretary shall prescribe initial tables for purposes of subsection (a). Such tables may be based on the same mortality experience as used for purposes of section 2031 on the date of the enactment of this section. “(3) Revision for recent mortality charges.— Not later than December 31, 1989, the Secretary shall revise the initial tables prescribed for purposes of subsection (a) to take into account the most recent mortality experience available as of the time of such revision. Such tables shall be revised not less frequently than once each 10 years thereafter to take into account the most recent mortality experience available as of the time of the revision. “(d) Valuation Date.— For purposes of this section, the term ‘valuation date’ means the date as of which the valuation is made. “(e) Tables To Include Formulas.— For purposes of this section, the term ‘tables’ includes formulas.”

2. 2014

   Tax Technical Corrections Act of 2014

   Pub. L. 113–295 div. A title II § 221(a)(118) · 128 Stat. 4010

   1. Redesignated · 26 U.S.C. § 7520(c)(2); 26 U.S.C. § 7520(c)(3)

      Pub. L. 113–295 redesignated par. (3) as (2)

   2. Substituted · 26 U.S.C. § 7520(c)(2); 26 U.S.C. § 7520(c)(3)

      Pub. L. 113–295 substituted “The Secretary” for “Not later than December 31, 1989, the Secretary”

   3. Struck · 26 U.S.C. § 7520(c)(2); 26 U.S.C. § 7520(c)(3)

      Pub. L. 113–295 struck out “thereafter” after “once each 10 years”

   4. Struck · 26 U.S.C. § 7520(c)(2); 26 U.S.C. § 7520(c)(3)

      Pub. L. 113–295 struck out former par. (2). Prior to amendment, text of par. (2) read as follows: “Not later than the day 3 months after the date of the enactment of this section, the Secretary shall prescribe initial tables for purposes of subsection (a). Such tables may be based on the same mortality experience as used for purposes of section 2031 on the date of the enactment of this section.”

   Source evidence

   Code amendment note
   Subsec. (c)(2), (3). Pub. L. 113–295 redesignated par. (3) as (2), substituted “The Secretary” for “Not later than December 31, 1989, the Secretary” and struck out “thereafter” after “once each 10 years”, and struck out former par. (2). Prior to amendment, text of par. (2) read as follows: “Not later than the day 3 months after the date of the enactment of this section, the Secretary shall prescribe initial tables for purposes of subsection (a). Such tables may be based on the same mortality experience as used for purposes of section 2031 on the date of the enactment of this section.”

   Enacted provision · exact public law section
   (118) Valuation tables.— (A) Subsection (c) of section 7520 is amended by striking paragraph (2) and redesignating paragraph (3) as paragraph (2). (B) Paragraph (2) of section 7520(c) (as redesignated by subparagraph (A)) is amended— (i) by striking “Not later than December 31, 1989, the” and inserting “The”, and (ii) by striking “thereafter” in the last sentence thereof.

   Effective date note
   Amendment by Pub. L. 113–295 effective Dec. 19, 2014, subject to a savings provision, see section 221(b) of Pub. L. 113–295, set out as a note under section 1 of this title.

5 of 5 references resolved to an enrolled provision