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, 

tsrabla estate from a prior deoodent 

wlthln five yeam. 

Thin fs in enawor to your opinion request vhloh 

read6, lu pert; ee foll.iiwor 

Woke acd aoke, the kttorneps la Dallm~, ~ropn!Ientiag 

this ocbtete, her* ~1aLmed doduotiorm for property previously 

taxed in the mm og @4,a94.64, but ,they are onablo et thlr 

tlao t0 idontiry in db+a tii or this property. : 

this 

as a 

eTer 

able 

We km ‘iek your e&loo In the $rope’r handllng at 

oleim. Are we %o eU.ow Ml oredit ci‘ !$34,894.64, 

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

property making u9 the eboTe eaount that ~th?? are 

to identify, et the death Of thO.mOnla 

.-The olorlng of the above estate $or lnheritanao~ 

~ttu gur 

Iii 

sea 1~ now beioro this dep 

--Pt. 

our blreatigation e reaohed the point where 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 l stati 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 taxable 8uu oi $24,894.64. Edward A. Eouaer, 

tho eon, is novi deoeesed end all of hi8 pxyperty we8 

left to Me *ire. 
“., . 

Bnorablo Qborge 11. 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: 

Art1010 Ill7 proOorlboo the tax end roodo, In part, 

-AlI property wlthln the jurl8dlotlon or thin atat8, 

. . . nhlch shall pee6 l baolutoly or in trust by will or 

by the law6 or desosnt end dlatrlbutloa or thia or say 

other otate, or by deed, grant, oalo, or gift atado or 

lntendod to fake eiieot in poeaeaoion or onjopent eftor 

the &oath of the grantor or donor, Ohall, upon pe8Oing to 

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 Texas pToTidir@ for the type of d6duotion mentioned 

ln your lottor. HowovOr, ln 1929 the Forty-rlrmt Zeglalaturo, 

Regular Seaolon, OnaotOd Homo Bill Me. li%, uhloh ?0e64,'111 

ihole, as r0im~: 

"An Act to aaond Art1010 712S, oi the Revised 01~11 . 

Statutes of 1925 60 a6 to efsm t 

t&no8 Taxo,s ~karo bean levied w P 

86tate6 upon whloh Inherb 

thln ilto yeara from date 

or 6Ooond pasaa&s of~sald eOtato8, end doolerlng en emrgonoy* 

Ve it eniotod .by the 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 'The only doduetloicr xmmI68Ibl6 under 

thio lee 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 ortato of the prior dooedent en6 ~~NirJr~: 

% 

?*~;I. -;A 

the amount or the ralue plabmd by 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 ,6r truatae,.eud one Oopy ~tllod 4th 

the County Clerk ind tbn other 81th the Camptzollsr,@oiom - 

.ny deduotiona ~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 ellowod I6 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 .throo aovoral 6ay8, and 6ald Rule Is hereby 8urpOndmd 

and thi6 Act Ehdd teko l iioot and be l6 toroo from end 

titer It6 paaoego, *lad It 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 er t 0r the ~ro66 aatato 6itu6tod 

in the United State6 r6oolrOd from 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 0~3.1 atateaont 0r rmd3 euthorlulng d6dUOtiOUB mot bo made In duplloate uqdor oath by thQ 

oxocutar, idminbtrator, or trwtab, end on0 copy filed 

with the County Clerk end the other with 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 SStStS of %3nnfe E. Houser, his 

mthar, ths Sum of $49,874.64. Tha statutory sxmmptlon or 

$25,000. 'ma8 sllmisd in 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*8 astate is 

entitled to a deduction 0r &?4,0%64, being the amount hs 

raaelvsd tros his mothsr~s estate, when it sannot be shown 

that et tha tlms of his death hs 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 the value of shy prs$erty foaning 

a part oftha grssa estate sltuatad in tha United Btates 

reoelred from anp person who Qled within fire (5) pears prior 

to the death of the daosddeat, . . .I ft eeezm clear to US 

that this provision at the statute msans that the son's gross 

tetate is entitled to s deduotlon of an amunt aontalnad thersln 

which xaa raoelrsd Srcua his msthsr*s sstate. Fe do not thing 

that the son*8 estate is sntltltd to this deduction uslses it 

br shown that said son*16 sstats oontains 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~Shds the l ntir s 

ertots Inherits3 from his msthsr. Uwaedlately thersaftor T 

l o o ua uha tes 

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 Artiole 9186, supra. 

Its gorm estate sontalss 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 caption 0r EOWS Bill~Zo. 12, SU?III, 18 cxaiuiaed. 

fiaia ooptio?l reads aAn Aat to szenu Articls Pi85 of the 

fiWi6ed Civil i;tatutss. af 1923 SO ~a8 to SXSSpt SStatsS UpOn 

shioh lnheritanos taxes have baen lotied within tl~m rears 

tram tha date 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 130t and 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:.: