
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC2108]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                    Subtitle B--Estate and Gift Taxes
 
                         CHAPTER 11--ESTATE TAX
 
           Subchapter B--Estates of Nonresidents Not Citizens
 
Sec. 2108. Application of pre-1967 estate tax provisions


(a) Imposition of more burdensome tax by foreign country

    Whenever the President finds that--
        (1) under the laws of any foreign country, considering the tax 
    system of such foreign country, a more burdensome tax is imposed by 
    such foreign country on the transfer of estates of decedents who 
    were citizens of the United States and not residents of such foreign 
    country than the tax imposed by this subchapter on the transfer of 
    estates of decedents who were residents of such foreign country,
        (2) such foreign country, when requested by the United States to 
    do so, has not acted to revise or reduce such tax so that it is no 
    more burdensome than the tax imposed by this subchapter on the 
    transfer of estates of decedents who were residents of such foreign 
    country, and
        (3) it is in the public interest to apply pre-1967 tax 
    provisions in accordance with this section to the transfer of 
    estates of decedents who were residents of such foreign country,

the President shall proclaim that the tax on the transfer of the estate 
of every decedent who was a resident of such foreign country at the time 
of his death shall, in the case of decedents dying after the date of 
such proclamation, be determined under this subchapter without regard to 
amendments made to sections 2101 (relating to tax imposed), 2102 
(relating to credits against tax), 2106 (relating to taxable estate), 
and 6018 (relating to estate tax returns) on or after November 13, 1966.

(b) Alleviation of more burdensome tax

    Whenever the President finds that the laws of any foreign country 
with respect to which the President has made a proclamation under 
subsection (a) have been modified so that the tax on the transfer of 
estates of decedents who were citizens of the United States and not 
residents of such foreign country is no longer more burdensome than the 
tax imposed by this subchapter on the transfer of estates of decedents 
who were residents of such foreign country, he shall proclaim that the 
tax on the transfer of the estate of every decedent who was a resident 
of such foreign country at the time of his death shall, in the case of 
decedents dying after the date of such proclamation, be determined under 
this subchapter without regard to subsection (a).

(c) Notification of Congress required

    No proclamation shall be issued by the President pursuant to this 
section unless, at least 30 days prior to such proclamation, he has 
notified the Senate and the House of Representatives of his intention to 
issue such proclamation.

(d) Implementation by regulations

    The Secretary shall prescribe such regulations as may be necessary 
or appropriate to implement this section.

(Added Pub. L. 89-809, title I, Sec. 108(f), Nov. 13, 1966, 80 Stat. 
1573; amended Pub. L. 94-455, title XIX, Secs. 1902(a)(6), 
1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1805, 1834.)


                               Amendments

    1976--Subsec. (a). Pub. L. 94-455, Sec. 1902(a)(6), substituted 
``November 13, 1976'' for ``the date of enactment of this section'' 
after ``on or after''.
    Subsec. (d). Pub. L. 94-455, Sec. 1906(b)(13)(A), struck out ``or 
his delegate'' after ``Secretary''.


                    Effective Date of 1976 Amendment

    Amendment by section 1902(a)(6) of Pub. L. 94-455 applicable in the 
case of estates of decedents dying after Oct. 4, 1976, see section 
1902(c)(1) of Pub. L. 94-455, set out as a note under section 2011 of 
this title.


                             Effective Date

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