Page:United States Statutes at Large Volume 98 Part 1.djvu/841

 PUBLIC LAW 98-369—JULY 18, 1984

98 STAT. 793

(2) The table of sections for part V of subchapter A of chapter 61 is amended by striking out the item relating to section 6073. (3) The table of sections for subchapter A of chapter 62 is amended by striking out the item relating to section 6153. SEC. 413. CREDITING OF INCOME TAX OVERPAYMENT AGAINST ESTIMATED TAX LIABILITY. V

The application of the Internal Revenue Code of 1954 with respect to the crediting of a prior year overpayment of income tax against the estimated tax shall be determined— (1) without regard to Revenue Ruling 83-111 (and without regard to any other regulation, ruling, or decision reaching the same result as, or a result similar to, the result set forth in such Revenue Ruling); and r (2) with full regard to the rules (including Revenue Ruling 77475) before Revenue Ruling 83-111. SEC. 414. EFFECTIVE DATES. (a) SECTIONS 411 AND 412.— (1) IN GENERAL.—The amendments made by sections 411 and 412 shall apply with respect to taxable years beginning after December 31, 1984. (2) WAIVER AUTHORITY.—The provisions of paragraph (3) of section 6654(e) of the Internal Revenue Code of 1954 (as amended by section 411) shall also apply with respect to underpayments for taxable years beginning in 1984. (b) SECTION 413.—The provisions of section 413 shall take effect on January 1, 1984.

Subtitle B—Domestic Relations

26 USC i et seq. ' ^

8«v. > sn is 26 USC 6654 "ote. ^«/«' PP- '''88, ^^2. Ante, p. 788. Supra.

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SEC. 421. TREATMENT OF TRANSFERS OF PROPERTY BETWEEN SPOUSES OR INCIDENT TO DIVORCE.

(a) GENERAL RULE.—Part III of subchapter 0 of chapter 1 (relating to common nontaxable exchanges) is amended by adding at the end thereof the following new section: "SEC. 1041. TRANSFERS OF PROPERTY BETWEEN SPOUSES OR INCIDENT TO DIVORCE.

26 USC 1041.

"(a) GENERAL RULE.—No gain or loss shall be recognized on a transfer of property from an individual to (or in trust for the benefit ofl"(1) a spouse, or "(2) a former spouse, but only if the transfer is incident to the divorce. "(b) TRANSFER TREATED AS GIFT; TRANSFEREE HAS TRANSFEROR'S

BASIS.—In the case of any transfer of property described in subsection (a)— "(1) for purposes of this subtitle, the property shall be treated as acquired by the transferee by gift, and "(2) the basis of the transferee in the property shall be the adjusted basis of the transferor. "(c) INCIDENT TO DIVORCE.—For purposes of subsection (a)(2), a transfer of property is incident to the divorce if such transfer— "(1) occurs within 1 year after the date on which the marriage ceases, or

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