Collapse to view only § 2612. Taxable termination; taxable distribution; direct skip
- § 2611. Generation-skipping transfer defined
- § 2612. Taxable termination; taxable distribution; direct skip
- § 2613. Skip person and non-skip person defined
- [§ 2614. Omitted]
§ 2611. Generation-skipping transfer defined
(a) In generalFor 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 excludedThe 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.
(Added Pub. L. 94–455, title XX, § 2006(a), Oct. 4, 1976, 90 Stat. 1882; amended Pub. L. 99–514, title XIV, § 1431(a), Oct. 22, 1986, 100 Stat. 2718; Pub. L. 100–647, title I, §§ 1014(g)(1), (2), 1018(u)(43), Nov. 10, 1988, 102 Stat. 3562, 3592.)
§ 2612. Taxable termination; taxable distribution; direct skip
(a) Taxable termination
(1) General rule
For purposes of this chapter, the term “taxable termination” means the termination (by death, lapse of time, release of power, or otherwise) of an interest in property held in a trust unless—
(A) immediately after such termination, a non-skip person has an interest in such property, or
(B) at no time after such termination may a distribution (including distributions on termination) be made from such trust to a skip person.
(2) Certain partial terminations treated as taxable
(b) Taxable distribution
(c) Direct skip
For purposes of this chapter—
(1) In general
(2) Look-thru rules not to apply
(Added Pub. L. 94–455, title XX, § 2006(a), Oct. 4, 1976, 90 Stat. 1883; amended Pub. L. 99–514, title XIV, § 1431(a), Oct. 22, 1986, 100 Stat. 2719; Pub. L. 100–647, title I, § 1014(g)(5)(B), (7), (15), Nov. 10, 1988, 102 Stat. 3564–3566; Pub. L. 105–34, title V, § 511(b), Aug. 5, 1997, 111 Stat. 861.)
§ 2613. Skip person and non-skip person defined
(a) Skip personFor purposes of this chapter, the term “skip person” means—
(1) a natural person assigned to a generation which is 2 or more generations below the generation assignment of the transferor, or
(2) a trust—
(A) if all interests in such trust are held by skip persons, or
(B) if—
(i) there is no person holding an interest in such trust, and
(ii) at no time after such transfer may a distribution (including distributions on termination) be made from such trust to a nonskip person.
(b) Non-skip person
(Added Pub. L. 94–455, title XX, § 2006(a), Oct. 4, 1976, 90 Stat. 1884; amended Pub. L. 95–600, title VII, § 702(n)(2), (3), Nov. 6, 1978, 92 Stat. 2935, 2936; Pub. L. 96–222, title I, § 107(a)(2)(B), Apr. 1, 1980, 94 Stat. 222; Pub. L. 99–514, title XIV, § 1431(a), Oct. 22, 1986, 100 Stat. 2720; Pub. L. 100–647, title I, § 1014(g)(5)(A), Nov. 10, 1988, 102 Stat. 3564.)
[§ 2614. Omitted]