Page:United States Statutes at Large Volume 45 Part 1.djvu/913

 862 SEVENTIETH CONGRESS. SEss. I. ' Cix. 852 . 1928 . INC OME TAX Amount of credit or refund limited. Restriction on credit or refund if deficiency notice mailed taxpayer and petition filed with Board . Exc eptio ns. Ove rpaym ents de- cided by Board. Excess collected. Collection after stat- utor y li mitat ion. Decision by Board of overpayment. Limi tatio n. Refund or credit of tax withheld at source. Ante, p. 533. Miscellaneo us taxes. TITLE II-MISCELLANEOUS TAXES Estate tax. Nonresident dece- den ts. Limit on deductions fr om gross estate of, repealed. Vol. 44, p. 73, amend- ed. Application to deaths hereafter . Statute of limita- tioas. Vol.44,p. 77, amend- ed. Suspension of, during period of prohibition of assessment, etc . Vol. 44, p.75. (2) LIMI T ON AMOU NT OF CREDIT OR REFUND .-The amount of the cr edit or re fund s hall not e xceed the portion of the tax paid during the two years immediately preceding the filing of the claim, orifno claim was filed, then during the two years immediately preceding the allowance of the credit or refund. (c) Effect of petition to Board .-If the Commissioner has mailed to the taxpayer a notice of deficiency under section 272(a) and if the taxpayer files a petition with the Board of Tax Appeals within the time prescribed in such subsection, no credit or refund in respect of the tax for the taxable year in respect of which the Commissioner has determined the deficiency shall be allowed or made and no suit by the taxpa yer f or th e reco very of any part of such tax shall be instituted in any court except- (1) As to overpayments determined by a decision of the B oard w hich has b ecome final ; and (2) As to any amount collected in exces s of an amount com- puted in accordance with the decision of the Board wh ich has become final ; and (3 ) As to any amou nt colle cted aft er the p eriod of limitat ion upon the beginning of distraint ora proceeding in co urt for collection has expired ; but in any s uch claim for credit or refund or in any such suit for refund the decision of the Board which has become final, as to whether such period has expired be fore the notice of defic iency wa s mailed, shall be concl usive. (d) Overpayment found by Board .-If the Board fin ds th at there is no d efic ienc y and fu rth er f inds tha t the ta xpay er has m ade an overpayment of tax in respect of the taxable year in respect of which the Commissioner determined the deficiency, the Board shall ha ve jurisdiction to determine the amount of such overpayment, and such amount shall, when the decision of the Board has become final, be credited or refunded to the taxpayer. No suc h credit or refund sha ll be made of any portion of the tax paid more than two years before the filing of the claim or the filing of the petition, whichever is earlier. (e) Tax withheld at source .-For refund or credit in case of exces- sive withholding at the source, see section 144(f). Pa rt I-Estate Tax SEC. 401. DEDU CTIO NS IN CAS E OF NONR ESID ENT D ECED ENTS. (a) Section 303(b) (1) of the Re venue Act of 1926 (relating to deductions from the gross estate of a nonresi dent decedent) is ame nded by stri king out : ", but in no case shall the amount so deduct ed excee d 10 per centum of the v alue of that par t of his gross estate which a t the time of hi s death is situa ted in the Unite d States ." (b) Subsection (a) of this section shall apply in the case of non- resident decedents dying after the enactment of this Act. SEC. 402. SU SPENSI ON OF RUNNIN G OF S TATUTE OF LI MITATIO NS. (a) Section 310(b) of the Revenue Act of 1926 is amended to read as foll ows "(b) The running of the statute of limitations provided in this section or in section 311 on the making of assessments and the begin- ning of distraint or a proceeding in court for collection, in respect of any deficiency, shall (after the mailing of a notice under sub- division (a) of section 308) be suspended for the period during which the Commissioner is prohibited from making the assessment or

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