26-U.S.C.-2641

§2641 – Applicable Rate

Pathway

Title 26 > Subtitle B > Chapter 13 > Subchapter E > Section 2641

Details

• Reference: Section 2641
• Legend: §2641 – Applicable Rate
• USCode Year: 2013

Provision Content

(a) General rule

For purposes of this chapter, the term applicable rate means, with respect to any generation-skipping transfer, the product of—

(1) the maximum Federal estate tax rate, and

(2) the inclusion ratio with respect to the transfer.

(b) Maximum Federal estate tax rate

For purposes of subsection (a), the term maximum Federal estate tax rate means the maximum rate imposed by section 2001 on the estates of decedents dying at the time of the taxable distribution, taxable termination, or direct skip, as the case may be.

(Added Pub. L. 99–514, title XIV, §1431(a), Oct. 22, 1986, 100 Stat. 2722.)

Effective Date

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.

Modification of Generation-Skipping Transfer Tax

Pub. L. 111–312, title III, §302(c), Dec. 17, 2010, 124 Stat. 3302, provided that: In the case of any generation-skipping transfer made after December 31, 2009, and before January 1, 2011, the applicable rate determined under section 2641(a) of the Internal Revenue Code of 1986 shall be zero.

U.S. Encyclopedia of Law Coverage

Title 26 – Internal Revenue Code in the Legal Encyclopedia: Tax on Transfers

In this entry about Title 26 – Internal Revenue Code, find legal reference material, bibliographies and premiere content related to tax on transfers in the American Encyclopedia of Law, presenting a comprehensive view of the United States tax on transfers-specific issues, written by authorities in the field.

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