Page:United States Statutes at Large Volume 115 Part 1.djvu/96

 115 STAT. 74 26 USC 2012. Regulations. PUBLIC LAW 107-16^JUNE 7, 2001 (1) Subsection (a) of section 2012 is amended by striking "the credit for State death taxes provided by section 2011 and". (2) Subparagraph (A) of section 2013(c)(1) is amended by striking "2011,". (3) Paragraph (2) of section 2014(b) is amended by striking ", 2011,". (4) Sections 2015 and 2016 are each amended by striking "2011 or". (5) Subsection (d) of section 2053 is amended to read as follows: " (d) CERTAIN FOREIGN DEATH TAXES.— "(1) IN GENERAL.— Notwithstanding the provisions of subsection (c)(1)(B), for purposes of the tax imposed by section 2001, the value of the taxable estate may be determined, if the executor so elects before the expiration of the period of limitation for assessment provided in section 6501, by deducting from the value of the gross estate the amount (as determined in accordance with regulations prescribed by the Secretary) of any estate, succession, legacy, or inheritance tax imposed by and actually paid to any foreign country, in respect of any property situated within such foreign country and included in the gross estate of a citizen or resident of the United States, upon a transfer by the decedent for public, charitable, or religious uses described in section 2055. The determination under this paragraph of the country within which property is situated shall be made in accordance with the rules applicable under subchapter B (sec. 2101 and following) in determining whether property is situated within or without the United States. Any election under this paragraph shall be exercised in accordance with regulations prescribed by the Secretary. "(2) CONDITION FOR ALLOWANCE OF DEDUCTION.—No deduction shall be allowed under paragraph (1) for a foreign death tax specified therein unless the decrease in the tax imposed by section 2001 which results from the deduction provided in paragraph (1) will inure solely for the benefit of the public, charitable, or religious transferees described in section 2055 or section 2106(a)(2). In any case where the tax imposed by section 2001 is equitably apportioned among all the transferees of property included in the gross estate, including those described in sections 2055 and 2106(a)(2) (taking into account any exemptions, credits, or deductions allowed by this chapter), in determining such decrease, there shall be disregarded any decrease in the Federal estate tax which any transferees other than those described in sections 2055 and 2106(a)(2) are required to pay. "(3) EFFECT ON CREDIT FOR FOREIGN DEATH TAXES OF DEDUCTION UNDER THIS SUBSECTION. — "(A) ELECTION.— An election under this subsection shall be deemed a waiver of the right to claim a credit, against the Federal estate tax, under a death tax convention with any foreign country for any tax or portion thereof in respect of which a deduction is taken under this subsection. " (B) CROSS REFERENCE.— "See section 2014(f) for the effect of a deduction taken under this paragraph on the credit for foreign death taxes.". (6) Subparagraph (A) of section 2056A(b)(10) is amended—

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