Valuation of gifts
(1) In general
(1)In general#
If the time has expired under section 6501 within which a tax may be assessed under chapter 12 (or under corresponding provisions of prior laws) on—
(A) the transfer of property by gift made during a preceding calendar period (as defined in section 2502(b)); or
(B) an increase in taxable gifts required under section 2701(d),
the value thereof shall, for purposes of computing the tax under this chapter, be the value as finally determined for purposes of chapter 12.
(1)(A)#
the transfer of property by gift made during a preceding calendar period (as defined in section 2502(b)); or
(1)(B)#
an increase in taxable gifts required under section 2701(d),
(2)Final determination#
For purposes of paragraph (1), a value shall be treated as finally determined for purposes of chapter 12 if—
(A) the value is shown on a return under such chapter and such value is not contested by the Secretary before the expiration of the time referred to in paragraph (1) with respect to such return;
(B) in a case not described in subparagraph (A), the value is specified by the Secretary and such value is not timely contested by the taxpayer; or
(C) the value is determined by a court or pursuant to a settlement agreement with the Secretary.
For purposes of subparagraph (A), the value of an item shall be treated as shown on a return if the item is disclosed in the return, or in a statement attached to the return, in a manner adequate to apprise the Secretary of the nature of such item.
(2)(A)#
the value is shown on a return under such chapter and such value is not contested by the Secretary before the expiration of the time referred to in paragraph (1) with respect to such return;
(2)(B)#
in a case not described in subparagraph (A), the value is specified by the Secretary and such value is not timely contested by the taxpayer; or