Page:United States Statutes at Large Volume 47 Part 1.djvu/305

 72d CONGRESS. SESS. I. CH. 209 . JUNE 6, 1932. 281 the extent that they were contracted bona fide and for an adequate ESTATE TAX AMEND N MEN and full consideraion in money or money's worth. There shall Addicnal TS dedue . also be deducted losses incurred during the settlement of estates dons. arising from fires, storms, shipwrecks, or other casualties, or from theft, when such losses are not compensated for by insurance or otherwise, and if at the time of the filing of the return such losses have not been claimed as a deduction for income tax purposes in an income tax return." SEC. 806. PRIOR TAXED PROPERTY . Prior taxed property Vol . 44, p. 72, amend (a) Section 303 (a) (2) of the Revenue Act of 1926 is amended ed. to read as follows "(2) An amount equal to the value of any property (A) form- Propert y receivec ing a part of the gross estate situated in the United States of from prior decedent. any person who died within five years prior to the death of the decedent, or (B) transferred to the decedent by gift within five Gifts, etc. years prior to his death, where such property can be identified as hav ing be en rec eived by the 'deced ent fr om the donor by gif t, or fro m such pr ior deced ent by gi ft, beque st, devis e, or inh eritance, or which can be identified as having been acquired in exchange for property so received. This deduction shall be allowed only where Deduction if tax was a gift tax imposed under the Revenue Act of 1932, or an estate paid b y donor, etc. tax imposed under this or any prior Act of Congress, was finally determined and paid by or on behalf of such donor, or the estate of such prior decedent, as the case may be, and only in the amount Limitation. fin ally d etermi ned as the v alue o f such proper ty in determ ining the value of the gift, or the gross estate of such prior decedent, and only to the extent that the value of such property is included Where deduction was d allowed flrat estate but in the decedent's gross estate. Where a de uctio •n was allowed paid prior i o second de. of any mortgage or other lien in determining the gift tax, or the cedent'sdeaths estate tax of the prior decedent, which was paid in whole or in part prior to the decedent's death, then the deduction allowable under this paragraph shall be reduced by the amount so paid. The deduc- tion allowable under this paragraph shall be reduced by an amount which bears the same ratio to the amounts allowed as deductions computation of. under paragraphs (1), (3), and (4) of this subdivision as the amount otherwise deductible under this paragraph bears to the valu' of the decedent's gross estate. Where the property referred Property consisting to in this paragraph consists of two or more items the aggregate of two or more items. value of such items shall be used for the purpose of computing the deduction ." (b) Section 303 (b) (2) of the Revenue Act of 1926 is amended p,862, a p.73; to read as follows "(2) An amount equal to the value of any property A) form- Deduction from gross estate of nonresidents . i ng a part of the gross estate situated in the United S tates of any person who died within five years prior to the death of the stsreo spe tvein Uite decedent, or (B) transferred to the decedent by gift within five prior decedents . years p rior t o his death, where such propert y can be ide ntifie d as having been received by the decedent from the donor by gift, or from such prior decedent by gift, bequest, devise, or inheritance, or which can be identified as having been acquired in exchange for property so received . This deduction shall be allowed only wll e or taoe taa where a gift tax imposed under the Revenue Act of 1932, or an paid. estate tax im posed under this o r any prior A ct of Congre ss, wa s finally determined and paid by or on behalf of such donor, or the estate of such prior decedent, as the case may be, and only in the amount finally determined as the value of such property in determining the value of the gift, or the gross estate of such