Form 426-T

Ham
As a corollary to the physical (ownership) transfer of a ham, the IRS now requires the transferee to file a new form- Form 426-T(Ham Transfer). The transferrer must also file a new form- Form 1090-HAM.

Both parties must state their full names and addresses, social security numbers, weight of the ham, and the date/purpose of the ham transfer amongst other information. In addition, the following two forms may also be required:

1: Form 426-T(HAPPYHOLIDAYS) must be filed if a Holiday Ham is being transferred. This applies to year round frozen ham transfers for the purpose of thawing at the holidays. The "holidays" are known as the period when the transferrer and the transferee take time off from work in order to consume ham at a celebration of the following:
+Kwanzaa
+Non Kosher Hanukkah
+Christmas
+All other holidays for which a politically correct designation is warranted

Form 426-T(HAPPYHOLIDAYS) is MANDATORY for all hams with a transfer date in December.

2: Form 426-T(INTERSTATE) must be filed if the transferrer and the transferee move a ham over state lines. This condition is met when the transferrer has a permanent address in one state and the transferee has a permanent address in another state.

Some examples-
EX1: Transferrer resides in Ohio and transferee resides in Kenyucky. The ham transfer occurs on December 16th.
FORMS: Transferrer files Form 1090-HAM/Transferee files Form 426-T(INTERSTATE) AND Form 426-T(HAPPYHOLIDAYS)

EX2: Transferrer resides in Ohio and transferee resides in Ohio. The ham transfer occurs on October 30th but the ham is frozen and for the purpose of a Non Kosher Hanukkah celebration.
FORMS: Transferrer files Form 1090-HAM/Transferee files FORM 426-T(HAPPYHOLIDAYS)

EX3. Transferrer resides in Kenyucky and transferee resides in Kenyucky. The transfer occurs on July 12th, the ham is NOT frozen, and is for the purpose of a well loved Canadian family member's birthday, celebrated on July 19th. In addition the transferee is vegetarian.
FORMS: Transferrer files Form 1090-HAM/Transferee files FORM 426-T(Ham Transfer). There is no exemption for vegetarians that prepare hams for the consumption of others.

EX4. Transferrer resides in Kenyucky and transferee resides in Kenyucky. The transfer occurs on December 2, the ham is frozen, and is for the purpose of a "White People Aren't Cool Day" celebration, the day after Martin Luther King Jr. day in January.
FORMS: Transferrer files Form 1090-HAM/Transferee files Form 426-T(HAPPYHOLIDAYS) because the transfer occurred in December, even though the ham is not for the purpose of a holiday (as defined above) celebration.

The IRS has received many complaints regarding ham transfers made in December for the purpose of "White People Aren't Cool Day" celebrations. Although the mandatory Form 426-T(HAPPYHOLIDAYS) applies, the IRS may relax this requirement in the future. Currently, however, this form is required for such transfers running through the year 3300.

The IRS will assign values to the hams transferred and will respond to each ham transfer form filed with this value. This value is then carried to other IRS forms.

The IRS sincerely hopes taxpayers and ham transferrers enjoy their hams. When done properly, and within the framework of this guidance, everyone can enjoy ham, regardless of the occasion or time of year.