
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document affected by Public Law 107-16 Section 511(d)]
[Document affected by Public Law 107-16 Section 511(f)(3)]
[CITE: 26USC2502]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                    Subtitle B--Estate and Gift Taxes
 
                          CHAPTER 12--GIFT TAX
 
              Subchapter A--Determination of Tax Liability
 
Sec. 2502. Rate of tax


(a) Computation of tax

    The tax imposed by section 2501 for each calendar year shall be an 
amount equal to the excess of--
        (1) a tentative tax, computed under section 2001(c), on the 
    aggregate sum of the taxable gifts for such calendar year and for 
    each of the preceding calendar periods, over
        (2) a tentative tax, computed under such section, on the 
    aggregate sum of the taxable gifts for each of the preceding 
    calendar periods.

(b) Preceding calendar period

    Whenever used in this title in connection with the gift tax imposed 
by this chapter, the term ``preceding calendar period'' means--
        (1) calendar years 1932 and 1970 and all calendar years 
    intervening between calendar year 1932 and calendar year 1970,
        (2) the first calendar quarter of calendar year 1971 and all 
    calendar quarters intervening between such calendar quarter and the 
    first calendar quarter of calendar year 1982, and
        (3) all calendar years after 1981 and before the calendar year 
    for which the tax is being computed.

For purposes of paragraph (1), the term ``calendar year 1932'' includes 
only that portion of such year after June 6, 1932.

(c) Tax to be paid by donor

    The tax imposed by section 2501 shall be paid by the donor.

(Aug. 16, 1954, ch. 736, 68A Stat. 403; Pub. L. 91-614, title I, 
Sec. 102(a)(2), Dec. 31, 1970, 84 Stat. 1839; Pub. L. 94-455, title XX, 
Sec. 2001(b)(1), Oct. 4, 1976, 90 Stat. 1849; Pub. L. 97-34, title IV, 
Sec. 442(a)(2), Aug. 13, 1981, 95 Stat. 320; Pub. L. 100-203, title X, 
Sec. 10401(b)(2)(B), Dec. 22, 1987, 101 Stat. 1330-431.)


                               Amendments

    1987--Subsec. (a)(1). Pub. L. 100-203, Sec. 10401(b)(2)(B)(i), 
substituted ``under section 2001(c)'' for ``in accordance with the rate 
schedule set forth in section 2001(c)''.
    Subsec. (a)(2). Pub. L. 100-203, Sec. 10401(b)(2)(B)(ii), 
substituted ``under such section'' for ``in accordance with such rate 
schedule''.
    1981--Subsec. (a). Pub. L. 97-34 substituted in introductory text 
and par. (1) ``calendar year'' for ``calendar quarter'' and in pars. (1) 
and (2) ``calendar periods'' for ``calendar years and calendar 
quarters''.
    Subsec. (b). Pub. L. 97-34 substituted definition of ``preceding 
calendar period'' for ``calendar quarter'', the latter including only 
the first calendar quarter of the calendar year 1971 and succeeding 
calendar quarters (covered in par. (2)), the former incorporating former 
subsec. (c)(1) definition of ``preceding calendar years'' as meaning 
calendar years 1932 and 1970 and all calendar years intervening between 
calendar year 1932 and calendar year 1970 and ``calendar year 1932'' as 
including only the portion of such year after June 6, 1932, and former 
subsec. (c)(2) definition of ``preceding calendar quarters'' as meaning 
the first calendar quarter of calendar year 1971 and all calendar 
quarters intervening between such calendar quarter and the calendar 
quarter for which the tax is being computed.
    Subsecs. (c), (d). Pub. L. 97-34 redesignated subsec. (d) as (c). 
Former subsec. (c), defining ``preceding calendar years'' and 
``preceding calendar quarters'', was incorporated in subsec. (b).
    1976--Subsec. (a). Pub. L. 94-455 inserted ``tentative'' after ``(1) 
a'' and ``(2) a'' and substituted in par. (1) ``section 2001(c)'' for 
``this subsection'' after ``set forth in''.
    1970--Subsec. (a). Pub. L. 91-614, Sec. 102(a)(2)(A), substituted a 
computation of tax formula based on the current calendar quarter, 
preceding calendar quarters, and preceding calendar years for a formula 
based entirely on the current and preceding calendar years.
    Subsec. (b). Pub. L. 91-614, Sec. 102(a)(2)(B), substituted 
definition of ``calendar quarter'' for definition of ``calendar year''.
    Subsec. (c). Pub. L. 91-614, Sec. 102(a)(2)(B), substituted 
definition of ``preceding calendar years and quarters'' for definition 
of ``preceding calendar years''.


                    Effective Date of 1987 Amendment

    Amendment by Pub. L. 100-203 applicable in the case of decedents 
dying, and gifts made, after Dec. 31, 1987, see section 10401(c) of Pub. 
L. 100-203, set out as a note under section 2001 of this title.


                    Effective Date of 1981 Amendment

    Amendment by Pub. L. 97-34 applicable with respect to gifts made 
after Dec. 31, 1981, see section 442(e) of Pub. L. 97-34, set out as a 
note under section 2501 of this title.


                    Effective Date of 1976 Amendment

    Section 2001(d)(2) of Pub. L. 94-455 provided that: ``The amendments 
made by subsections (b) and (c)(2) [enacting section 2505 of this title, 
amending this section and section 2504 of this title, and repealing 
section 2521 of this title] shall apply to gifts made after December 31, 
1976.''


                    Effective Date of 1970 Amendment

    Amendment by Pub. L. 91-614 applicable with respect to gifts made 
after Dec. 31, 1970, see section 102(e) of Pub. L. 91-614, set out as a 
note under section 2501 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 2001, 2501, 2504 of this 
title.
