P.R. Laws tit. 13, § 891
(a) Transfers to be recorded. — Every person who transfers any share, right, interest or other valuable intangible, transmissible by endorsement or by delivery, to any child, descendant, relative or other natural object of his bounty, shall within ten (10) days thereof or within ninety (90) days after the approval of this section record such transfer before a notary public, stating in full the consideration, if any, given in exchange and the date of transfer; Provided, That no penalty shall attach to failure to comply with this requirement other than as specified in subsection (b) hereof.
(b) Inclusion in estate where no transfer recorded. — If after the death of the decedent there is found in the possession of any heir or other natural object of the bounty of the decedent any share, right, interest, or other valuable intangible, transmissible by endorsement or by delivery, previously belonging to the decedent, with respect to which no record of transfer to the present holder was filed before a notary public as required in subsection (a) hereof, and with respect to which no gift tax return was filed under § 889(b) of this title, such property shall be considered a part of the estate of the decedent and a tax shall be assessed upon such holder as though such property had been bequeathed to the holder by the decedent; Provided, That this subsection shall not apply in the case of persons dying within ninety (90) days of the approval of this act.
(c) Every transfer by a person over fifty (50) years of age, or within the two (2) years preceding the death of the transferor, to his children, descendants, relatives, or other natural objects of his bounty, shall be presumed to be a gift, unless it is shown by the taxpayer that:
(1) The transfer was made for full and adequate consideration in money or money’s worth, and
(2) said consideration was derived, directly or indirectly from income of the recipient or from property acquired prior to the approval of this act, or from a gift on which a tax was paid in accordance with §§ 881—905 of this title, or from other lawful sources.
History —Apr. 12, 1946, No. 303, p. 782, § 10, retroactive to Mar. 22, 1946.