Page:United States Statutes at Large Volume 49 Part 1.djvu/1068

 7 4TH CONGRESS. SESS. I. CH. 829. AUGUS T 30, 1935 . 1 023 decedent's death as of the date one year after the decedent's death, except that (1) property included in the gross estate on the date of death and, within one year after the decedent's death, distributed by the executor (or, in the case of property incl uded in the gross estate under subdivision (c), (d), or (f) of this section, distributed by the trustee under the instrument of transfer), or sold, exchanged, or otherwise di sposed of, shall be included at it s value as of the time of such distribution, sale, exchange, or other disposition, which- ever first occurs, instead of its value as of the date one year after the decedent's death, and (2) any interest or estate which is affected by mere lapse of time shall be included at its value as of the time of death (instead of the later date) with adjustment for any differ- ence in its value as of the later date not clue to mere lapse of time. No deduction under this title of any item shall be allowed if allow- ance for such item is in effect given by the valuation under this sub- division. Wherever in any other subdivision or section of this title LTts? . c.;p.1081. 243 ; or in Title II of the Revenue Act of 1932, reference is made to the value of property at the time of the decedent's death, such reference shall be deemed to refer to the value of such property used in determining the value of the gross estate. In case of an election made b y the executor un der this subdivis ion, then for the purposes of the ded uction un der sectio n 303(a) (3) or sec tion 303(b) (3), any bequest, legacy, devise, or transfer enumerated therein shall be valued as of the date of decedent's death with adjustment for any difference in value (not due to mere lapse of time or the occurrence or nonoccurrence of a contingency) of the property as of the date one year after the decedent's death (sub- stituting the date of sale or exchange in the case of property sold or exchanged du ring such one-yea r period). " (b) The amendment made by this section shall be effective only m Ap plica tion respect to transfers of estates of decedents dying after the date of the enactment of this Act. SEC . 203. ESTATE TA X-D UE DA TE Estate tax-due date. (a) Section 305 (a) of the Revenue Act of 1926 is amended to read Vol . 44,p.74;U.S.C., as follows : p .1074 . "(a) The tax imposed by this title shall be due and payable fifteen Time of payment. months after the decedent's death, and shall be paid by the executor to the collector ." (b) Section 305(c) of the Revenue Act of 1926 is amended to read Vo1 .44,p .74 ;U .s.C ., as follows : p . 1078. " (c) If the time for the payment is thus extended there shall be Interest --extended collected, as a part of such amount, interest thereon at the rate of payme nt. 6 per centum per annum from the expiration of three months after the due date of the tax to the expiration of the period of the exten- sion." (c) The amendments made by this section shall be effective only me 2plicationofamend- with respect to transfers of estates of decedents dying after the date of the enactment of this Act . TITL E III- AMENDME NTS TO GIFT TAX SEC. 301 . GIFT TAX RATES (a) The gift-tax schedule set forth in section 502 of the Revenue Act of 1932, as amended, is amended to read as follows : " Upon net gifts not in excess of $10,000, 1 1/2 per centum. "$150 upon net gifts of $10,000 ; and upon net gifts in excess of $10,000 and not in excess of $20,000, 3 per centum in addition of such excess . T i t l e III-Amend- ments to gift tax. Gift -tax sched ule. Vol . 47, p. 246 ; U.S.C.,p.1082.