OFFICEOF THE ATTORNEY GENERALOFTEXAG AUSTIN

Qouroc.ahaa hnmRv- .-’

gondrabls

CIeor&e R. Sheppard conptroller

**or** Fublio**Aooountr** Austin, Texas

lze: Applloatlon 0r Art1010 91e5, **Vernon ’**  **s** Annotated Cl?11 **Lmtutia;** to an lnhorltanoe

tar on an e,stato of a demdentrho had modred e, tsrablaestatefrom a priordeoodent wlthln five yeam. Thin fs in enaworto your opinion request vhloh read6, lu pert; ee foll.iiwor

**Woke** acd aoke, the kttorneps la Dallm~,

~ropn!Ientiag thisocbtete,

her* ~1aLmed

doduotiorm

for property

previously taxed **in the**  **mm og**  **@4,a94.64, but**  **,they are**  onablo**et** thlr t0 idontiry in db+a tii or this property. : tlao

**this** as a eTer **able** We km ‘iek

your e&loo In the $rope’r handllng

at oleim. Are we **%o** eU.ow Ml oreditci‘ !$34,894.64, deduction

for **property** prevlowly~tarod,~or on w&et- .-. property

makingu9 the eboTe eaountthat ~th?? are to identify,

et the death Of **thO.mOnla** .-The olorlng of the above estate $or lnheritanao~ ~ttugurIii

sea 1~ now beioro this dep--Pt. our blreatigation e reaohedthe pointwhere other la a 8lfSsreaoe ,or oplniog art0 allow- aroait r0r roparty prmiou8ly taxed**ea provldod**  **by** Chapter**9leB oi**  P he Rsrised.ClTlt Statuter:
"The deoeaoed

Lnherlt@d troa the lstati of Hannie P. Eouaer,

**his** nother,**the aup**  **of $49,814;64.**  The **statutory** exemption

of $25,000.

sea ell.owed

in We oeeo,which. alert e net taxable8uu oi $24,894.64.Edward**A.** Eouaer, tho eon, is novi

deoeesed

**end** all of hi8 pxyperty we8 leftto Me *ire.“.,

.

Bnorablo

Qborge11.

Ghopperd,

pago t

The lnhorltanoo

tax law8 or Texee era oodlSle4 in lernon*e Annotated Oi~ll Statutse a6 Artiolea

9117 to 91&e, inClUSiTO. e~r0mm6: Art1010Ill7proOorlboo the tax end roodo,In part,

-AlI property wlthln the jurl8dlotlon or thin atat8,

. . . nhlch shallpee6 

### l baolutoly

or in trust **by** will or by the law6 or **desosnt** end dlatrlbutloa or thia or say otherotate,or by deed, grant, oalo,or gift atado or lntendod

to fake eiieotin poeaeaoion or onjopent eftor the &oathof the grantor or donor,Ohall,

upon pe8Oingto or for the we of any poraon,oorporatlonI or eamolatlon, be aubjeot

to a tax.

. . .* Originally

thoro we8 a0 proTi6lon

in the InherItan tax law or TexaspToTidir@ for the type of d6duotion mentioned ln yourlottor. HowovOr, ln **1929** the Forty-rlrmt Zeglalaturo, Regular Seaolon,

OnaotOd

Homo Bill Me. li%,

uhloh ?0e64,'111 ihole, as r0im~:
"An Act to aaondArt1010712S, oi the Revised01~11

. Statutes of 1925 60 a6 to efsm t t&no8 Taxo,s

~karo bean **levied** wP 86tate6 upon whloh Inherb

thln **ilto** yeara from date or 6Ooondpasaa&s

of~saldeOtato8,

end doolerlng

en emrgonoy*

Ve it eniotod .bythe Logirlature ot tho Steto of Bxa6r
wwlzON 1: Phat hm0ie 912a or ,a0 Resriood civil Statutea

of 1925 of the Gtato of TO-6 be end the 8ame 

### la hOm&iy

**amended**

60,es to h6rMitor r66d'u tollow6: ~%X%ielO~7liSt 'Theonly doduetloicr xmmI68Ibl6 **under** thiolee are the **debta- ’**  the ostato, tunoral

expOnoo6, ildent **to** last lllnoea or doo6a8od. all **?edoral,** state and county and hl%iCiD~ :Taxes duo et tb the of

iaposeu~undor

thi6-or 6ny px@P eot of tha L6glrlatur6 was .pald

by the ortatoof the prior dooedent en6 ~~NirJr~:

% ?*~;I.

-;A the amountor the ralueplabmdby the Comptroller ~.,&iiC 1.' property

In dstermlnlng

tho~ralue

or the gross oatato'or ruoh **‘ prior**  deoodent. A full 6tetOmnt or the faote euthoriqk 1% deduotlons

must **be** made 1x1

duplloate

under oath by th6 oxebutor,

edaitil6trator

,6rtruatae,.eudone Oopy ~tllod 4th theCounty

Clerk ind tbn other81th the Camptzollsr,@oiom - .nydeduotiona

~111 **be** ellowad.'

## !?- 668

Honorable Goargo B. Sheppard, pego 8

'mc. 8. Orring

to the reot that the preront sothod or eooertelnlng fho emount or deductions ellowodI6 unfair ami inoquitablo end pkaoor undue tax **burden6 upon**  wtatoa **p666ing** in rapit?

6uooOs8lon

erOetes

an omorgonoy

end em **islpOmtiT0** pub110 nOOO6oIty rOquIring the Noponolon 6i the Conatltutionel Rulo that bill6 bo road in oech Qouso on .throoaovoral 6ay8, and 6ald Rule Is **hereby** 8urpOndmd and thi6Act **Ehdd** teko l iioot and be l6 **toroo** from end titer It6 paaoego, *ladIt la 60 onaotodiv
Xoaoe Ml.1 180.1%. eupzn, VW **eaondod by**  Hou6o Bill lo. **990, Aots**  46th Leglaleturo, Qagular

aoaalon,

pega 646, end **make0 Arti**  **9l25 now**  **reed es**  **rOlhV6;**

*Art1010 JlzS. PhO Otiy **4OduOtioB8** p6miI68Iblo under thla Law ero the **debt8** due **by the**  eatato, **fuaorul oXpOMO6,**  erpeq&es

lnoldent

to **the** lest **iibO66 of**  **the** doooasod,

ahloh till bo duo en6 unpaid et the the ei death,all Bodoral, **3tet8,** Countr,and ~unIoIpal texea due at tho time or the death or the **deoodent,** ettornoy*s r000 aa Gourt **oosto** eoorulng ln oonnootIon with tho aasosalng

end eolleatlng:

of the tax88 proridod for uedor this Chapter,

cad an Oaount l

puel to the **tdlu0 of**  **any** property ronsing l p e r t 0r the **~ro66** aatato6itu6tod in the United State6r6oolrOdfrom eny perilon who Biti vlthin live (5)pars @rIor ta the death or the Qeorbont, thi6 roduotlon, **hOVO+Or,** to bo only in tho uaount or.tho raluo of tho proporty upon ahich en Irihorltanclo tax was aotusllr

paid and shall not laolud6 any legal exOmptIon8 olelmed

by end ,allovod

the hoIr6 .P.tOgatOO#~o~ tho ostato or the prior~ecodont. A 0~3.1atateaont 0r rmd3 euthorlulng **d6dUOtiOUB mot**  **bo** made In duplloate **uqdor** oath by **thQ** oxocutar,

idminbtrator,or trwtab, end on0 **copy** filed with the CountyClerk end the otherwith f* Comptrellar, before eny dbduotlons will b0 el16vad,g

we think It ir oloar that the amendment **by Hous.**  Bill 80.**990, #Up=,**  **V66 iOr**  **thO ptirpO60**  **Or tilOVi+**  the **~dOdUOtiOn t0**  inelude only th0 ectuel **awant** above the exaqtlon on whleh th0 lnherltanoo

tu~hed pra*lously

b6On pald, In&bad ol alloving the deduction to Inoludo both the legel oXo!WtIOnE Ma tho &mount **paid** on when the property pa6608 to the d00oe6od. SO find n~thlns in the oepaoa or body or Hou60 Bill Zfo.~99@,uhI#h Indloetor that it we6 euaondod

ior aajr

**.othOr pUTp066m**  **<I f** hanorabls George H. Sheppard,

page 4

The ieots St hsnd Sro that the **dsosasod, Edrard**  **A,** limmw, iA.heritsd

from the SStStSof %3nnfeE. Houser, his mthar, ths Sum of $49,874.64.Tha statutory sxmmptlonor $25,000.

'ma8 sllmisdin this oass, which lsrt a nat tsxabls 8l.m oi p24,a7c.a4.Edmud A. Hooer, ths man, is nom dsoseiamd and all of his propsrty

was left to Us wlis. The pusstlon

srisss whether the son*8astate is entitled

to a deduction

0r &?4,0%64, being the amount hs raaelvsd

troshis mothsr~s

estate, when it sannot **be** shown that et tha tlms of his deathhs still~posseased a;li or any pet of the estate that hs inherited troln h5s itother. The statute

prcwldss,

mm 8st out tn Houss Bill Uo.990, supra,

that the son(a estate la sntltled to a 6sdue tlon of "S.S amunt l

~ual to thevalue of shy prs$erty foaning a partoftha grssa estate sltuatadin tha UnitedBtates reoelred

from anp person who Qled withinfire (5) pearsprior to thedeathof the daosddeat,

. . .I ft eeezm clear to US that thisprovision

at the statute

msans that the son'sgross tetate is entitled to s deduotlon of an amunt aontalnad thersln which xaa raoelrsd

Srcua his msthsr*ssstate. Fe do not thing that the son*8estate is sntltltd to this deduction

uslses it br shown

that said son*16

sstatsoontains

the property rsseirod fron his fwthbr*m estate.
To ~lllu6trate,~suppose X lies, learing to I, hsr son, a taxable estate of $.50,000. I immdlatsly S~Shdst he l nti r s ertots Inherits3

from his msthsr. Uwaedlately thersaftor T l o o u a uht e s

a ë5î

68 sat&s valued **at** $lOO,OOO.l and dims mithln rive {a gsars irsmths **date** of I, his mothsrfs dssth. UnGsr our oonmtnwtf0n of Artiole9186, supra. Its gorm estatesontalss ao part of the $SO,OOO, tuablm rotate reoeivsd from XI his mother, tad thrr8fomJ 3~8 is not entitled

to a **dstiuotion thereon.**  KS &Q not bhl,nk

sny:oth~r

oonstmotion is poeslbls sba tha caption0r EOWS Bill~Zo. 12, SU?III,

18 cxaiuiaed. fiaia ooptio?l reads aAn Aat to szenuArticlsPi85 of the fiWi6ed Civil i;tatutss.

af 1923 SO ~a8 to SXSSptSStatsS UpOn shioh lnheritanos

taxes have baen lotied within tl~m rears tram thadate or sword tmssags of said estates,

. . .”worable **Ooorge** ii. ahsppad, pa& 8

Wnder our illustrstloo quoted **above,** the #SO,W. task NoelreC by T from x doea 130tand 00ula not p888 sor thr**rsoond** time when T **die&, beoaums**  Y did not have any of thet sstato inherited froa~ X, his mothor.
Xt is our opinion the the setats 0r xdwa2-6 A. **Eourrr** is entitled to the deduction In question only to the rxtrnt that it oan be,shom that his sstats oontalos the property

hs rsosltbd iron hls m&mr **or** in traobable th8nto.

ATTORIWY GENERAL BY

L:.: