To amend the Internal Revenue Code of 1986 to exempt from the tax on generation-skipping transfers certain transfers to grandchildren of siblings of the transferor.

Amends the Internal Revenue Code to exempt from the estate tax on generation-skipping transfers certain transfers to grandchildren of deceased siblings of the transferor.

 
HR 5765 IH
102d CONGRESS
2d Session
 H. R. 5765
To amend the Internal Revenue Code of 1986 to exempt from the tax on
generation-skipping transfers certain transfers to grandchildren of siblings
of the transferor.
IN THE HOUSE OF REPRESENTATIVES
August 4, 1992
Mr. IRELAND introduced the following bill; which was referred to the Committee
on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to exempt from the tax on
generation-skipping transfers certain transfers to grandchildren of siblings
of the transferor.
  Be it enacted by the Senate and House of Representatives of the United
  States of America in Congress assembled,
SECTION 1. EXEMPTION OF CERTAIN TRANSFERS FROM GENERATION-SKIPPING TAX.
  (a) IN GENERAL- subsection (c) of section 2612 of the Internal Revenue
  Code of 1986 (relating to a direct skip) is amended by adding at the end
  the following new paragraph:
  `(4) TREATMENT OF CERTAIN TRANSFERS TO GRANDCHILDREN OF SIBLINGS OF
  THE TRANSFEROR- If any sibling of the transferor died before 1963 and
  predeceased the transferor--
  `(A) an individual who is the grandchild of such sibling shall be treated
  as the grandchild of the transferor for purposes of paragraph (2); and
  `(B) paragraph (2)(B) shall not apply to transfers to such individual.'.
  (b) EFFECTIVE DATE- The amendments made by subsection (a) shall apply to
  transfers occurring after November 15, 1989.