If a lien (mortgage, trust deed, pledge, etc.) or other encumbrance exists on any property an interest in which is transferred, only the proper proportion of the encumbrance may be deducted from the value of the interest in determining the net market value of the property transferred. A description of a lien or other encumbrance on property transferred should include the following:

There may also be deducted from the market value of the property any consideration in money's worth, but evidence of such consideration must be submitted.

Note: Reference: Section 15656, Revenue and Taxation Code.