
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 532(c)(7)]
[CITE: 26USC2102]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                    Subtitle B--Estate and Gift Taxes
 
                         CHAPTER 11--ESTATE TAX
 
           Subchapter B--Estates of Nonresidents Not Citizens
 
Sec. 2102. Credits against tax


(a) In general

    The tax imposed by section 2101 shall be credited with the amounts 
determined in accordance with sections 2011 to 2013, inclusive (relating 
to State death taxes, gift tax, and tax on prior transfers), subject to 
the special limitation provided in subsection (b).

(b) Special limitation

    The maximum credit allowed under section 2011 against the tax 
imposed by section 2101 for State death taxes paid shall be an amount 
which bears the same ratio to the credit computed as provided in section 
2011(b) as the value of the property, as determined for purposes of this 
chapter, upon which State death taxes were paid and which is included in 
the gross estate under section 2103 bears to the value of the total 
gross estate under section 2103. For purposes of this subsection, the 
term ``State death taxes'' means the taxes described in section 2011(a).

(c) Unified credit

                           (1) In general

        A credit of $13,000 shall be allowed against the tax imposed by 
    section 2101.

          (2) Residents of possessions of the United States

        In the case of a decedent who is considered to be a 
    ``nonresident not a citizen of the United States'' under section 
    2209, the credit under this subsection shall be the greater of--
            (A) $13,000, or
            (B) that proportion of $46,800 which the value of that part 
        of the decedent's gross estate which at the time of his death is 
        situated in the United States bears to the value of his entire 
        gross estate wherever situated.

                          (3) Special rules

        (A) Coordination with treaties

            To the extent required under any treaty obligation of the 
        United States, the credit allowed under this subsection shall be 
        equal to the amount which bears the same ratio to the applicable 
        credit amount in effect under section 2010(c) for the calendar 
        year which includes the date of death as the value of the part 
        of the decedent's gross estate which at the time of his death is 
        situated in the United States bears to the value of his entire 
        gross estate wherever situated. For purposes of the preceding 
        sentence, property shall not be treated as situated in the 
        United States if such property is exempt from the tax imposed by 
        this subchapter under any treaty obligation of the United 
        States.

        (B) Coordination with gift tax unified credit

            If a credit has been allowed under section 2505 with respect 
        to any gift made by the decedent, each dollar amount contained 
        in paragraph (1) or (2) or subparagraph (A) of this paragraph 
        (whichever applies) shall be reduced by the amount so allowed.

                (4) Limitation based on amount of tax

        The credit allowed under this subsection shall not exceed the 
    amount of the tax imposed by section 2101.

                  (5) Application of other credits

        For purposes of subsection (a), sections 2011 to 2013, 
    inclusive, shall be applied as if the credit allowed under this 
    subsection were allowed under section 2010.

(Aug. 16, 1954, ch. 736, 68A Stat. 397; Pub. L. 89-809, title I, 
Sec. 108(b), Nov. 13, 1966, 80 Stat. 1572; Pub. L. 94-455, title XX, 
Sec. 2001(c)(1)(E)(i), Oct. 4, 1976, 90 Stat. 1851; Pub. L. 100-647, 
title V, Sec. 5032(b), Nov. 10, 1988, 102 Stat. 3669; Pub. L. 104-188, 
title I, Sec. 1704(f)(1), Aug. 20, 1996, 110 Stat. 1879; Pub. L. 105-34, 
title V, Sec. 501(a)(1)(E), Aug. 5, 1997, 111 Stat. 845.)


                               Amendments

    1997--Subsec. (c)(3)(A). Pub. L. 105-34 substituted ``the applicable 
credit amount in effect under section 2010(c) for the calendar year 
which includes the date of death'' for ``$192,800''.
    1996--Subsec. (c)(3)(A). Pub. L. 104-188 inserted at end ``For 
purposes of the preceding sentence, property shall not be treated as 
situated in the United States if such property is exempt from the tax 
imposed by this subchapter under any treaty obligation of the United 
States.''
    1988--Subsec. (c)(1). Pub. L. 100-647, Sec. 5032(b)(1)(A), 
substituted ``$13,000'' for ``$3,600''.
    Subsec. (c)(2). Pub. L. 100-647, Sec. 5032(b)(1), substituted 
``$13,000'' for ``$3,600'' in subpar. (A) and ``$46,800'' for 
``$15,075'' in subpar. (B).
    Subsec. (c)(3). Pub. L. 100-647, Sec. 5032(b)(2), amended par. (3) 
generally, substituting provision relating to special rules for 
coordination with treaties and with gift tax unified tax credit for 
provision relating to a phase-in of the par. (2)(B) amount for decedents 
dying during 1977, 1978, 1979, and 1980.
    1976--Subsec. (c). Pub. L. 94-455 added subsec. (c).
    1966--Pub. L. 89-809 redesignated existing provisions as subsec. 
(a), inserted reference to special limitation provided in subsec. (b), 
and added subsec. (b).


                    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 1988 Amendment

    Amendment by Pub. L. 100-647 applicable to estates of decedents 
dying after Nov. 10, 1988, see section 5032(d) of Pub. L. 100-647, set 
out as a note under section 2101 of this title.


                    Effective Date of 1976 Amendment

    Amendment by Pub. L. 94-455 applicable to estates of decedents dying 
after Dec. 31, 1976, see section 2001(d)(1) of Pub. L. 94-455, set out 
as a note under section 2001 of this title.


                    Effective Date of 1966 Amendment

    Amendment by Pub. L. 89-809 applicable with respect to estates of 
decedents dying after Nov. 13, 1966, see section 108(i) of Pub. L. 89-
809, set out as a note under section 2101 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 2101, 2107, 2108 of this 
title.
