Estates of Decedents ting language in first stricken Sec 861 (a) (2), I. R. C., Estates of Decedents Sec. 861. (a) (3) Transfers for Sec. 861. (a) (3) Transfers for Sec. 861. (a) (3) Transfers for public, charitable, and religious public, charitable, and religious public, charitable, and religious uses. The amount of all bequests, uses.-The amount of all bequests, uses.-The amount of all bequests, legacies, devises, or transfers (in- legacies, devises, or transfers (in- legacies, devises, or transfers (including the interest which falls into cluding the interest which falls into cluding the interest which falls into any such bequest, legacy, devise, or any such bequest, legacy, devise, or any such bequest, legacy, devise, or transfer as a result of an irrevo- transfer as a result of an irrevo- transfer as a result of an irrevocable disclaimer of a bequest, leg- cable disclaimer of a bequest, leg- cable disclaimer of a bequest, legacy, devise, transfer, or power, if acy, devise, transfer, or power, if acy, devise, transfer, or power, if the disclaimer is made prior to the the disclaimer is made prior to the the disclaimer is made prior to the date prescribed for the filing of the date prescribed for the filing of the date prescribed for the filing of the estate tax return) to or for the estate tax return) to or for the estate tax return) to or for the use of the United States, any use of the United States, any use of the United States, any State, Territory, any political sub- State, Territory, any political sub- State, Territory, any political subdivision thereof, or the District division thereof, or the District division thereof, or the District of Columbia, for exclusively pub- of Columbia, for exclusively pub- of Columbia, for exclusively public purposes, or to or for the use lic purposes, or to or for the use lic purposes, or to or for the use of any domestic corporation or- of any domestic corporation or of any domestic corporation or ganized and operated exclusively ganized and operated exclusively ganized and operated exclusively for religious, charitable, scientific, for religious, charitable, scientific, for religious, charitable, scientific, literary, or educational purposes, literary, or educational purposes, literary, or educational purposes, including the encouragement of art including the encouragement of art including the encouragement of art and the prevention of cruelty to and the prevention of cruelty to and the prevention of cruelty to children or animals, no part of children or animals, no part of children or animals, no part of the net earnings of which inures the net earnings of which inures the net earnings of which inures to the benefit of any private stock- to the benefit of any private stock- to the benefit of any private stockholder or individual, and no sub- holder or individual, and no sub-holder or individual, and no substantial part of the activities of stantial part of the activities of stantial part of the activities of which is carrying on propaganda, which is carrying on propaganda, which is carrying on propaganda, or otherwise attempting, to in- or otherwise attempting, to influence legislation, or to a trustee fluence legislation, or to a trustee fluence legislation, or to a trustee otherwise attempting, to inor trustees, or a fraternal society, or trustees, or a fraternal society, order, or trustees, or a fraternal society, or association operating order, or association operating under the lodge system, but only under the lodge system, but only under the lodge system, but only order, or association operating if such contributions or gifts are if such contributions or gifts are to be used within the United to be used within the United if such contributions or gifts are or States by such trustee or trustees, States by such trustee or trustees, to be used within the United or by such fraternal society, order, or by such fraternal society, order, States by such trustee or trustees, or association, exclusively for re- or association, exclusively for re- or by such fraternal society, order, ligious, charitable, scientific, lit-ligious, charitable, scientific, lit- or association, exclusively for reerary, or educational purposes, or erary, or educational purposes, or ligious, charitable, scientific, litfor the prevention of cruelty to for the prevention of cruelty to erary, or educational purposes, or children or animals, and no sub- children or animals, and no sub- for the prevention of cruelty to stantial part of the activities of such children or animals. If the tax trustee or trustees, or of such fra- stantial part of the activities of such imposed by section 860, or any esternal society, order, or association, trustee or trustees, or of such fra- tate, succession, legacy, or in Estates of Decedents Estates of Decedents Estates of Decedents Dying on or before Feb. 10, 1939 Sec. 861. (a) (3) Transfers for Sec. 303. (b) (3). Sec. 861. (a) (3) Transfers for public, charitable, and religious public, charitable, and religious uses. The amount of all bequests, uses.-The amount of all bequests, legacies, devises, or transfers (in- legacies, devises, or transfers (including the interest which falls into cluding the interest which falls into any such bequest, legacy, devise, or any such bequest, legacy, devise, or transfer as a result of an irrevo- transfer as a result of an irrevocable disclaimer of a bequest, leg- cable disclaimer of a bequest, legacy, devise, transfer, or power, if acy, devise, transfer, or power, if the disclaimer is made prior to the the disclaimer is made prior to the date prescribed for the filing of the date prescribed for the filing of the estate tax return) to or for the estate tax return) to or for the use of the United States, any use of the United States, any State, Territory, any political sub- State, Territory, any political subdivision thereof, or the District division thereof, or the District of Columbia, for exclusively pub- of Columbia, for exclusively publie purposes, or to or for the use lic purposes, or to or for the use of any domestic corporation or- of any domestic corporation organized and operated exclusively ganized and operated exclusively for religious, charitable, scientific, for religious, charitable, scientific, literary, or educational purposes, literary, or educational purposes, including the encouragement of art including the encouragement of art and the prevention of cruelty to and the prevention of cruelty to children or animals, no part of children or animals, no part of the net earnings of which inures the net earnings of which inures to the benefit of any private stock- to the benefit of any private stockholder or individual, and no sub-holder or individual, and no substantial part of the activities of stantial part of the activities of which is carrying on propaganda, which is carrying on propaganda, or otherwise attempting, to in- or otherwise attempting, to influence legislation, or to a trustee fluence legislation, or to a trustee or trustees, or a fraternal society, or trustees, or a fraternal society, order, or association operating order, or association operating under the lodge system, but only under the lodge system, but only if such contributions or gifts are if such contributions or gifts are to be used within the United to be used within the United States by such trustee or trustees, States by such trustee or trustees, or by such fraternal society, order, or by such fraternal society, order, or association, exclusively for re- or association, exclusively for religious, charitable, scientific, lit-ligious, charitable, scientific, literary, or educational purposes, or erary, or educational purposes, or for the prevention of cruelty to for the prevention of cruelty to children or animals. If the tax children or animals. If the tax imposed by section 860, or any es- imposed by section 860, or any estate, succession, legacy, or in- tate, succession, legacy, or inheritance taxes, are, either by the heritance taxes, are, either by the See p. 504, Eighth Edition. Estates of Decedents Estates of Decedents Estates of Decedents is carrying on propaganda, or other-ternal society, order, or association, heritance taxes, are, either by the wise attempting, to influence legis-is carrying on propaganda, or other- terms of the will, by the law of lation. Property includible in the wise attempting, to influence legisthe jurisdiction under which the decedent's gross estate under secestate is administered, or by the tion 811 (f) received by a donee lation. Property includible in the law of the jurisdiction imposing described in this paragraph shall, decedent's gross estate under sec- the particular tax, payable in for the purposes of this paragraph, tion 811 (f) received by a donee whole or in part out of the bebe considered a bequest of such de- described in this paragraph shall, quests, legacies, or devises othercedent. If the tax imposed by sec- for the purposes of this paragraph, wise deductible under this paration 860, or any estate, succession, be considered a bequest of such de- graph, then the amount deductible legacy, or inheritance taxes, are, cedent. If the tax imposed by sec- under this paragraph shall be the either by the terms of the will, by tion 860, or any estate, succession, amount of such bequests, legacies, the law of the jurisdiction under legacy, or inheritance taxes, are, or devises reduced by the amount which the estate is administered, or either by the terms of the will, by of such taxes. The amount of the by the law of the jurisdiction impos- the law of the jurisdiction under deduction under this paragraph ing the particular tax, payable in which the estate is administered, or for any transfer shall not exceed whole or in part out of the bequests, by the law of the jurisdiction impos- the value of the transferred proplegacies, or devises otherwise de- ing the particular tax, payable in erty required to be included in ductible under this paragraph, then whole or in part out of the bequests, the gross estate. the amount deductible under this legacies, or devises otherwise deparagraph shall be the amount of ductible under this paragraph, then such bequests, legacies, or devises the amount deductible under this reduced by the amount of such paragraph shall be the amount of taxes. The amount of the deduction such bequests, legacies, or devises under this paragraph for any trans-reduced by the amount of such fer shall not exceed the value of taxes. The amount of the deduction the transferred property required under this paragraph for any transto be included in the gross estate. Sec. 861 (a) (3), I. R. C., supra, amended by Sec. 403 (b) (2), Sec. 408 (b) and Sec. 409 (b), R. A. of 1942, to read as above. For Sec 861 (a) (3), I. R. C., before amendments and effective dates thereof, see 1942 column. See Sec. 403 (d), R. A. of 1942. shown in fn. 29. p. 966, relative to powers with respect to which amendment not applicable. Sec. 861. (a) (4) Exemption.— An exemption of $2,000. Sec. 861 (a) (4), I. R. C., supra, added to I. R. C. by Sec. 412 (a), R. A. of 1942. Sec. 401 of said Act makes amendment applicable to estates of decedents dying after Oct. 21, 1942. fer shall not exceed the value of Sec. 861 (a) (3), I. R. C., Sec. 861, I. R. C., supra, amended by Sec. 409 (b), R. A. of 1942, by adding language in underlined italics at end of first sentence. Sec. 401 of said Act makes amendment applicable to estates of decedents dying after Oct. 21. 1942. Sec. 861, I. R. C., supra, amended by Sec. 403 (b) (2), R. A. of 1942, by adding sentence shown in italics immediately following language in underlined italics. See Sec. 403 (d), R. A. of 1942, shown in fn. 29. p. 966, relative to powers with respect to which amendment not applicable. Sec. 861. (a) (4) Exemption.— Sec. 861 (a) (4), I. R. C., Sec. 861 (a) (3), I. R. C., supra. amended by Sec. 408 (b), R. A. of 1942, by adding language in italics. Sec. 408 (c) of said Act makes amendment applicable to estates of decedents dying after Feb. 10, 1939. Sec. 861. (b) Condition of allowance of deductions.-No deduction shall be allowed in the case of a nonresident not a citizen of the United States unless the executor includes in the return required to Sec. 861. (b) Condition of allow- Sec. 861. (b) Condition of allowance of deductions.-No deduction ance of deductions.-No deduction shall be allowed in the case of a shall be allowed in the case of a nonresident not a citizen of the nonresident not a citizen of the United States unless the executor United States unless the executor includes in the return required to includes in the return required to be filed under section 864 the be filed under section 864 the be filed under section 864 the terms of the will, by the law of terms of the will, by the law of Sec. 861 (a) (3), I. R. C., supra, amended by Sec. 408 (b), R. A. of 1942, by adding language in italics. Sec. 408 (c) of said Act makes amendment applicable to estates of decedents dying after Feb. 10, 1939. quests, legacies, or devises other- for any transfer shall not exceed Sec. 861 (a) (3), I. R. C., Estates of Decedents Dying on or before Feb. 10, 1939 Sec. 861. (b) Condition of allow Sec. 861. (b) Condition of allowance of deductions.-No deduction ance of deductions.-No deduction shall be allowed in the case of a shall be allowed in the case of a nonresident not a citizen of the nonresident not a citizen of the United States unless the executor United States unless the executor includes in the return required to includes in the return required to be filed under section 864 the be filed under section 864 the| Sec. 303. (c). See p. 506, Eighth Edition. Estates of Decedents Estates of Decedents Estates of Decedents value at the time of his death of value at the time of his death of value at the time of his death of that part of the gross estate of that part of the gross estate of that part of the gross estate of such nonresident not situated in such nonresident not situated in such nonresident not situated in the United States. the United States. the United States. Sec. 862. Property within the United States. For the purpose of this subchapter Sec. 862. Property within the For the purpose of this sub- Sec. 862. Property within the United States. For the purpose of this subchapter Sec. 862. (a) Stock in domestic Sec. 862. (a) Stock in domestic Sec. 862. (a) Stock in domestic corporation.-Stock in a domestic corporation.-Stock in a domestic corporation.-Stock in a domestic corporation owned and held by a corporation owned and held by a corporation owned and held by a nonresident not a citizen of the nonresident not a citizen of the nonresident not a citizen of the United States shall be deemed United States shall be deemed United States shall be deemed property within the United States; property within the United States; property within the United States; and and and Sec. 862. (b) Revocable trans- Sec. 862. (b) Revocable trans- Sec. 862. (b) Revocable transfers and transfers in contempla- fers and transfers in contempla- fers and transfers in contemplation of death. Any property of tion of death. Any property of tion of death. Any property of which the decedent has made a which the decedent has made a which the decedent has made a transfer, by trust or otherwise, transfer, by trust or otherwise, transfer, by trust or otherwise, within the meaning of section 811 within the meaning of section 811 within the meaning of section 811 (c) or (d), shall be deemed to be (c) or (d), shall be deemed to be situated in the United States, if situated in the United States, if so situated either at the time of so situated either at the time of the transfer, or at the time of the the transfer, or at the time of the decedent's death. decedent's death. Sec. 863. Property without the United States. The following items shall not, for the purpose of this subchapter, be deemed property within the United States: Sec. 863. (a) Proceeds of life insurance. The amount receivable as insurance upon the life of a nonresident not a citizen of the United States; and Sec. 863. Property without the The following items shall not, Sec. 863. (a) Proceeds of life insurance. The amount receivable as insurance upon the life of a nonresident not a citizen of the United States; and Sec. 863. (b) Bank deposits. (c) or (d), shall be deemed to be situated in the United States, if so situated either at the time of the transfer, or at the time of the decedent's death. Sec. 863. Property without the United States. The following items shall not, for the purpose of this subchapter, be deemed property within the United States: Sec. 863. (a) Proceeds of life insurance. The amount receivable as insurance upon the life of a nonresident not a citizen of the United States; and Sec. 863. (b) Bank deposits.— Sec. 863. (b) Bank deposits.— Any moneys deposited with any Any moneys deposited with any Any moneys deposited with any person carrying on the banking person carrying on the banking person carrying on the banking business, by or for a nonresident business, by or for a nonresident business, by or for a nonresident not a citizen of the United States not a citizen of the United States not a citizen of the United States who was not engaged in business who was not engaged in business who was not engaged in business in the United States at the time in the United States at the time in the United States at the time of his death. of his death. of his death. Sec. 864. Returns. Sec. 864. (a) Requirement.— Sec. 864. (a) (1) Returns by executor.-In the case of the estate of every nonresident not a citizen of the United States any part of whose gross estate is situated in Sec. 864. (a) Requirement.— Sec. 864. (a) Requirement.— Sec. 864. (a) (1) Returns by ex- Sec. 864. (a) (1) Returns by executor. In the case of the estate ecutor.-In the case of the estate of every nonresident not a citizen of every nonresident not a citizen of the United States any part of of the United States any part of whose gross estate is situated in whose gross estate is situated in the the United States, exceeds the United States, exceeds the amount the United States, the executor of the specific exemption provided shall make a return under oath in in section 861 (a) (4), the executor duplicate, setting forth (1) the shall make a return under oath in value of that part of the gross amount of the specific exemption provided in section 861 (a) (4), the executor shall make a return under |