---
kind: "section"
citation: "26 U.S.C. § 7520"
title: "26"
title_heading: "Internal Revenue Code"
number: "7520"
heading: "Valuation tables"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/26/7520"
units:
  - "Subtitle F — Procedure and Administration"
  - "Chapter 77 — Miscellaneous Provisions"
---

# §7520. Valuation tables

- (a) **General rule—** For purposes of this title, the value of any annuity, any interest for life or a term of years, or any remainder or reversionary interest shall be determined—
  - (1) under tables prescribed by the [Secretary](/usc/26/7701.md?p=a-11-B), and
  - (2) by using an interest rate (rounded to the nearest 2/10ths of 1 percent) equal to 120 percent of the Federal midterm rate in effect under [section 1274(d)(1)](/usc/26/1274.md?p=d-1) for the month in which the valuation date falls.

  If an income, estate, or gift tax charitable contribution is allowable for any part of the property transferred, the [taxpayer](/usc/26/7701.md?p=a-14) may elect to use such Federal midterm rate for either of the 2 months preceding the month in which the valuation date falls for purposes of [paragraph (2)](#a-2). In the case of transfers of more than 1 interest in the same property with respect to which the [taxpayer](/usc/26/7701.md?p=a-14) may use the same rate under [paragraph (2)](#a-2), the [taxpayer](/usc/26/7701.md?p=a-14) shall use the same rate with respect to each such interest.

- (b) **Section not to apply for certain purposes—** This section shall not apply for purposes of part I of subchapter D of [chapter 1](/usc/26/chstA/ch1.md) or any other provision specified in regulations.
- (c) **Tables—**
  - (1) **In general—** The tables prescribed by the [Secretary](/usc/26/7701.md?p=a-11-B) for purposes of [subsection (a)](#a) shall contain valuation factors for a series of interest rate categories.
  - (2) **Revision for recent mortality charges—** The [Secretary](/usc/26/7701.md?p=a-11-B) shall revise the initial tables prescribed for purposes of [subsection (a)](#a) to take into account the most recent mortality experience available as of the time of such revision. Such tables shall be revised not less frequently than once each 10 years to take into account the most recent mortality experience available as of the time of the revision.
- (d) **Valuation date—** For purposes of this section, the term “valuation date” means the date as of which the valuation is made.
- (e) **Tables to include formulas—** For purposes of this section, the term “tables” [includes](/usc/26/7701.md?p=c) formulas.

## Source credit

(Added Pub. L. 100–647, title V, § 5031(a), Nov. 10, 1988, 102 Stat. 3668; amended Pub. L. 113–295, div. A, title II, § 221(a)(118), Dec. 19, 2014, 128 Stat. 4054.)

## Notes

### Editorial Notes

### Codification

Another section 7520 was renumbered section 7521 of this title.

### Amendments

2014—Subsec. (c)(2), (3). Pub. L. 113–295 redesignated par. (3) as (2), substituted “The Secretary” for “Not later than December 31, 1989, the Secretary” and struck out “thereafter” after “once each 10 years”, and struck out former par. (2). Prior to amendment, text of par. (2) read as follows: “Not later than the day 3 months after the date of the enactment of this section, the Secretary shall prescribe initial tables for purposes of subsection (a). Such tables may be based on the same mortality experience as used for purposes of section 2031 on the date of the enactment of this section.”

### Statutory Notes and Related Subsidiaries

### Effective Date of 2014 Amendment

Amendment by Pub. L. 113–295 effective Dec. 19, 2014, subject to a savings provision, see section 221(b) of Pub. L. 113–295, set out as a note under section 1 of this title.

### Effective Date

Pub. L. 100–647, title V, § 5031(c), Nov. 10, 1988, 102 Stat. 3669, provided that: “The amendments made by this section [enacting this section] shall apply in cases where the date as of which the valuation is to be made occurs on or after the 1st day of the 6th calendar month beginning after the date of the enactment of this Act [Nov. 10, 1988].”