Where a husband and wife enter into a written agreement relative to their marital and property rights and divorce occurs within the 3-year period beginning on the date 1 year before such agreement is entered into (whether or not such agreement is approved by the divorce decree), any transfers of property or interests in property made pursuant to such agreement—
to either spouse in settlement of his or her marital or property rights, or
to provide a reasonable allowance for the support of issue of the marriage during minority,
shall be deemed to be transfers made for a full and adequate consideration in money or money’s worth.
Aug. 16, 1954, ch. 73668A Stat. 409Pub. L. 98–369, div. A, title IV, § 425(b)98 Stat. 804(, ; , , .)
Editorial Notes
Amendments
Pub. L. 98–3691984— substituted in introductory text “within the 3-year period beginning on the date 1 year before such agreement is entered into” for “within 2 years thereafter”.
Statutory Notes and Related Subsidiaries
Effective Date of 1984 Amendment
Pub. L. 98–369, div. A, title IV, § 425(c)(2)98 Stat. 804
“The amendment made by subsection (b) [amending this section] shall apply to transfers after the date of the enactment of this Act [].”
, , , provided that: