
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document affected by Public Law 107-16 Section 521(a)]
[Document affected by Public Law 107-16 Section 521(e)]
[Document affected by Public Law 107-16 Section 532(c)(13)]
[CITE: 26USC2010]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                    Subtitle B--Estate and Gift Taxes
 
                         CHAPTER 11--ESTATE TAX
 
             Subchapter A--Estates of Citizens or Residents
 
                      PART II--CREDITS AGAINST TAX
 
Sec. 2010. Unified credit against estate tax


(a) General rule

    A credit of the applicable credit amount shall be allowed to the 
estate of every decedent against the tax imposed by section 2001.

(b) Adjustment to credit for certain gifts made before 1977

    The amount of the credit allowable under subsection (a) shall be 
reduced by an amount equal to 20 percent of the aggregate amount allowed 
as a specific exemption under section 2521 (as in effect before its 
repeal by the Tax Reform Act of 1976) with respect to gifts made by the 
decedent after September 8, 1976.

(c) Applicable credit amount

    For purposes of this section, the applicable credit amount is the 
amount of the tentative tax which would be determined under the rate 
schedule set forth in section 2001(c) if the amount with respect to 
which such tentative tax is to be computed were the applicable exclusion 
amount determined in accordance with the following table:

  In the case of estates of
    decedents dying, and                                  The applicable
    gifts made, during:                             exclusion amount is:
            1998................................               $625,000 
            1999................................               $650,000 
            2000 and 2001.......................               $675,000 
            2002 and 2003.......................               $700,000 
            2004................................               $850,000 
            2005................................               $950,000 
            2006 or thereafter..................             $1,000,000.

(d) Limitation based on amount of tax

    The amount of the credit allowed by subsection (a) shall not exceed 
the amount of the tax imposed by section 2001.

(Added Pub. L. 94-455, title XX, Sec. 2001(a)(2), Oct. 4, 1976, 90 Stat. 
1848; amended Pub. L. 97-34, title IV, Sec. 401(a)(1), (2)(A), Aug. 13, 
1981, 95 Stat. 299; Pub. L. 101-508, title XI, Sec. 11801(a)(39), 
(c)(19)(A), Nov. 5, 1990, 104 Stat. 1388-521, 1388-528; Pub. L. 105-34, 
title V, Sec. 501(a)(1)(A), (B), Aug. 5, 1997, 111 Stat. 845.)

                       References in Text

    The Tax Reform Act of 1976, referred to in subsec. (b), is Pub. L. 
94-455, Oct. 4, 1976, 90 Stat. 1520, as amended. For complete 
classification of this Act to the Code, see Tables.
    Section 2521 of this title, referred to in subsec. (b), was repealed 
by section 2001(b)(3) of Pub. L. 94-455, applicable to gifts made after 
Dec. 31, 1976.


                               Amendments

    1997--Subsec. (a). Pub. L. 105-34, Sec. 501(a)(1)(A), substituted 
``the applicable credit amount'' for ``$192,800''.
    Subsecs. (c), (d). Pub. L. 105-34, Sec. 501(a)(1)(B), added subsec. 
(c) and redesignated former subsec. (c) as (d).
    1990--Subsecs. (b) to (d). Pub. L. 101-508 redesignated subsecs. (c) 
and (d) as (b) and (c), respectively, and struck out former subsec. (b) 
which provided for a phase-in of the unified credit against estate tax.
    1981--Subsec. (a). Pub. L. 97-34, Sec. 401(a)(1), substituted 
``$192,800'' for ``$47,000''.
    Subsec. (b). Pub. L. 97-34, Sec. 401(a)(2)(A), struck out 
``$47,000'' before ``credit'' from heading and in text substituted in 
subsec. (a) substitutions for ``$192,800'' amounts of ``$62,800'', 
``$79,300'', ``$96,300'', ``$121,800'', and ``$155,800'' in the case of 
decedents dying in 1982, 1983, 1984, 1985, and 1986, respectively, for 
subsec. (a) substitutions for ``$47,000'' amounts of ``$30,000'', 
``$34,000'', ``$38,000'', and ``$42,500'' in the case of decedents dying 
in 1977, 1978, 1979, and 1980, respectively.


                    Effective Date of 1997 Amendment

    Amendment by Pub. L. 105-34 applicable to estates of decedents 
dying, and gifts made, after Dec. 31, 1997, see section 501(f) of Pub. 
L. 105-34, set out as a note under section 2001 of this title.


                    Effective Date of 1981 Amendment

    Section 401(c)(1) of Pub. L. 97-34 provided that: ``The amendments 
made by subsection (a) [amending this section and section 6018 of this 
title] shall apply to the estates of decedents dying after December 31, 
1981''.


                            Savings Provision

    For provisions that nothing in amendment by Pub. L. 101-508 be 
construed to affect treatment of certain transactions occurring, 
property acquired, or items of income, loss, deduction, or credit taken 
into account prior to Nov. 5, 1990, for purposes of determining 
liability for tax for periods ending after Nov. 5, 1990, see section 
11821(b) of Pub. L. 101-508, set out as a note under section 29 of this 
title.

                  Section Referred to in Other Sections

    This section is referred to in sections 2011, 2012, 2013, 2014, 
2056A, 2057, 2101, 2102, 2107, 2505, 6018, 6601 of this title.
