[Code of Federal Regulations]
[Title 26, Volume 14]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR25.6019-3]

[Page 676-677]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 25_GIFT TAX; GIFTS MADE AFTER DECEMBER 31, 1954--Table of Contents
 
Sec.  25.6019-3  Contents of return.

    (a) In general. The return must set forth each gift made during the 
calendar year (or calendar quarter with respect to gifts made after 
December 31, 1970, and before January 1, 1982) that under sections 2511 
through 2515 is to be included in computing taxable gifts; the 
deductions claimed and allowable under sections 2521 through 2524; and 
the taxable gifts made for each of the preceding reporting periods. (See 
Sec.  25.2504-1.) In addition the return shall set forth the fair market 
value of all gifts not made in money, including gifts resulting from 
sales and exchanges of property made for less than full and adequate 
consideration in money or money's worth, giving, as of the date of the 
sale or exchange, both the fair market value of the property sold or 
exchanged and the fair market

[[Page 677]]

value of the consideration received by the donor. If a donor contends 
that his retained power over property renders the gift incomplete (see 
Sec.  25.2511-2) and hence not subject to tax as of the calendar quarter 
or calendar year of the initial transfer, the transaction should be 
disclosed in the return for the calendar quarter or calendar year of the 
initial transfer and evidence showing all relevant facts, including a 
copy of the instrument of transfer, shall be submitted with the return. 
The instructions printed on the return should be carefully followed. A 
certified or verified copy of each document required by the instructions 
printed on the return form shall be filed with the return. Any 
additional documents the donor may desire to submit may be submitted 
with the return.
    (b) Disclosure of transfers coming within provisions of section 
2516. Section 2516 provides that certain transfers of property pursuant 
to written property settlements between husband and wife are deemed to 
be transfers for full and adequate consideration in money or money's 
worth if divorce occurs within 2 years. In any case where a husband and 
wife enter into a written agreement of the type contemplated by section 
2516 and the final decree of divorce is not granted on or before the due 
date for the filing of a gift tax return for the calendar year (or 
calendar quarter with respect to periods beginning after December 31, 
1970, and ending before January 1, 1982) in which the agreement became 
effective (see Sec.  25.6075-1), then, except to the extent Sec.  
25.6019-1 provides otherwise, the transfer must be disclosed by the 
transferor upon a gift tax return filed for the calendar year (or 
calendar quarter) in which the agreement becomes effective, and a copy 
of the agreement must be attached to the return. In addition, a 
certified copy of the final divorce decree shall be furnished the 
internal revenue officer with whom the return was filed not later than 
60 days after the divorce is granted. Pending receipt of evidence that 
the final decree of divorce has been granted (but in no event for a 
period of more than 2 years from the effective date of the agreement), 
the transfer will tentatively be treated as made for a full and adequate 
consideration in money or money's worth.

[T.D. 7238, 37 FR 28736, Dec. 29, 1972, as amended by T.D. 8522, 59 FR 
9664, Mar. 1, 1994]