Page:United States Statutes at Large Volume 103 Part 3.djvu/347

 PUBLIC LAW 101-239—DEC. 19, 1989 103 STAT. 2415 date of the enactment of this Act)" and inserting "no provision in any law enacted after the date of the enactment of this Act". (c) AMENDMENT RELATED TO SECTION 5032 OF THE 1988 ACT.—- Subsection (b) of section 2101 is amended by adding at the end the following new sentence: "For purposes of the preceding sentence, there shall be appropriate adjustments in the application of section 2001(c)(3) to reflect the difference between the amount of the credit provided under section 2102(c) and the amount of the credit provided under section 2010." (d) AMENDMENTS RELATED TO SECTION 5033 OF THE 1988 ACT. — (I)(A) Paragraph (2) of section 2523(i) is amended by striking "made by the donor to such spouse" and inserting "which are made by the donor to such spouse and with respect to which a deduction would be allowable under this section but for para- graph (1)". (B) The amendment made by subparagraph (A) shall apply with respect to gifts made after June 29, 1989. (2) Subsection (a) of section 2523 is amended by striking "who is a citizen or resident". (3) Paragraph (3) of section 2106(a) is amended by striking "A LLOWED WHERE SPOUSE IS CITIZEN". (4)(A) Subparagraph (B) of section 2056(d)(2) is amended to read as follows: "(B) SPECIAL RULE. —If any property passes from the de- cedent to the surviving spouse of the decedent, for purposes of subparagraph (A), such property shall be treated as passing to such spouse in a qualified domestic trust if— the date on which the return of the tax imposed by this chapter is made, or "(ii) such property is irrevocably assigned to such a trust under an irrevocable assignment made on or before such date which is enforceable under local law." (B) In the case of the estate of a decedent dying before the date of the enactment of this Act, the period during which the transfer (or irrevocable assignment) referred to in section 2056(d)(2)(B) of the Internal Revenue Code of 1986 (as amended by subparagraph (A)) may be made shall not expire before the date 1 year after such date of enactment. (5) Subsection (d) of section 2056 is amended by adding at the end the following new paragraph: " (4) SPECIAL RULE WHERE RESIDENT SPOUSE BECOMES CITIZEN.— Paragraph (1) shall not apply if— "(A) the surviving spouse of the decedent becomes a citizen of the United States before the day on which the return of the tax imposed by this chapter is made, and "(B) such spouse was a resident of the United States at all times after the date of the death of the decedent and before becoming a citizen of the United States." (6) Paragraph (3) of section 2056(d) is amended— ^ (A) by striking "section 2001" and inserting "this chap- ter", and (B) by inserting before the period at the end the following: "and without regard to sul^ection (d)(3) of such section'. (7)(A) Subsection (a) of section 2056A is amended— (i) by amending paragraph (1) to read as follows: Gifts and property. 26 USC 2523 note. Gifts and property. 26 USC 2056 note.
 * (i) such property is transferred to such a trust before

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