Community Property State Law and Legal Definition
Community property state refers to a state in which spouses hold property that is acquired during marriage. However, any property acquired through inheritance or gift is not recognized as a community property. Community property states treat marital income differently than other states. For example, Texas is a community property state, which means that property is classified as separate or community. In Texas, marital property is presumed to be community property. However, any separate property owned by a spouse before marriage, acquired during marriage by gift, devise, or descent, or is the recovery for personal injuries is not a community property. [Smith v. Commissioner, T.C. Memo 1995-406 (T.C. 1995)].
In the U.S. there are ten community property states which includes:
1.Arizona,
2.California,
3.Idaho,
4.Louisiana,
5.Nevada,
6.New Mexico,
7.Texas,
8.Washington,
9.Wisconsin,
10.Alaska.
Legal Definition list
Related Legal Terms
- Abandoned Property
- Abandoned Security Property [Agriculture]
- Abandonment of Property
- Absolute Estate
- Acceleration of Estate
- Accompanying the Armed Forces outside the United States
- Accompanying the Federal Government Outside the United States
- Account Stated
- Accountable Personal Property
- Acid Contaminated Property