instruction:
In this task, you are given text for US Congressional and California state bills, your task is to generate a summary for this bill.
question:
SECTION 1. ELIGIBILITY FOR PAYMENT OF BOTH RETIRED PAY AND VETERANS' 
              DISABILITY COMPENSATION FOR CERTAIN ADDITIONAL MILITARY 
              RETIREES WITH COMPENSABLE SERVICE-CONNECTED DISABILITIES.

    (a) Extension of Concurrent Receipt Authority to Retirees With 
Service-Connected Disabilities Rated Less Than 50 Percent.--Subsection 
(a) of section 1414 of title 10, United States Code, is amended--
            (1) by striking ``Compensation'' in the subsection heading 
        and all that follows through ``Subject'' and inserting 
        ``Compensation.--Subject''; and
            (2) by striking paragraph (2).
    (b) Repeal of Phase-In of Concurrent Receipt of Retired Pay and 
Veterans' Disability Compensation.--Such section is further amended--
            (1) in subsection (a), as amended by subsection (a) of this 
        section, by striking the final sentence;
            (2) by striking subsection (c) and redesignating 
        subsections (d) and (e) as subsections (c) and (d), 
        respectively; and
            (3) in subsection (d), as so redesignated, by striking 
        paragraphs (3) and (4).
    (c) Clerical Amendments.--
            (1) Section heading.--The heading for section 1414 of such 
        title is amended to read as follows:
``Sec. 1414. Members eligible for retired pay who are also eligible for 
              veterans' disability compensation: concurrent payment of 
              retired pay and disability compensation''.
            (2) Table of sections.--The item relating to such section 
        in the table of sections at the beginning of chapter 71 of such 
        title is amended to read as follows:

``1414. Members eligible for retired pay who are also eligible for 
                            veterans' disability compensation: 
                            concurrent payment of retired pay and 
                            disability compensation.''.
    (d) Effective Date.--The amendments made by this section shall take 
effect as of January 1, 2012, and shall apply to payments for months 
beginning on or after that date.

SEC. 2. COORDINATION OF SERVICE ELIGIBILITY FOR COMBAT-RELATED SPECIAL 
              COMPENSATION AND CONCURRENT RECEIPT.

    (a) Eligibility for TERA Retirees.--Subsection (c) of section 1413a 
of title 10, United States Code, is amended by striking ``entitled to 
retired pay who--'' and all that follows through the end of paragraph 
(1) and inserting ``who--
            ``(1) is entitled to retired pay, other than a member 
        retired under chapter 61 of this title with less than 20 years 
        of service creditable under section 1405 of this title and less 
        than 20 years of service computed under section 12732 of this 
        title; and''.
    (b) Amendments To Standardize Similar Provisions.--
            (1) Clerical and conforming amendments.--Section 1413a of 
        such title is further amended--
                    (A) in the heading for paragraph (3) of subsection 
                (b), by striking ``rules'' and inserting ``rule''; and
                    (B) in subsection (f), by striking ``Subsection 
                (d)'' and inserting ``Subsection (c)''.
            (2) Specification of qualified retirees for concurrent 
        receipt purposes.--Section 1414 of such title, as amended by 
        section 3, is amended--
                    (A) in subsection (a)--
                            (i) by striking ``a member or'' and all 
                        that follows through ``is entitled'' and 
                        inserting ``an individual who is a qualified 
                        retiree for any month is entitled''; and
                            (ii) by inserting ``retired pay and 
                        veterans' disability compensation'' after 
                        ``both''; and
                    (B) in subsection (d), by adding at the end the 
                following new paragraph:
            ``(3) Qualified retiree.--The term `qualified retiree' 
        means a member or former member of the uniformed services who, 
        with respect to any month--
                    ``(A) is entitled to retired pay, other than in the 
                case of a member retired under chapter 61 of this title 
                with less than 20 years of service creditable under 
                section 1405 of this title and less than 20 years of 
                service computed under section 12732 of this title; and
                    ``(B) is entitled to veterans' disability 
                compensation.''.
            (3) Standardization with crsc rule for chapter 61 
        retirees.--Subsection (b) of section 1414 of such title is 
        amended--
                    (A) by striking ``Special Rules'' in the subsection 
                heading and all that follows through ``is subject to'' 
                and inserting ``Special Rule for Chapter 61 Disability 
                Retirees.--In the case of a qualified retiree who is 
                retired under chapter 61 of this title, the retired pay 
                of the member is subject to''; and
                    (B) by striking paragraph (2).
    (c) Effective Date.--The amendments made by this section shall take 
effect as of January 1, 2012, and shall apply to payments for months 
beginning on or after that date.

SEC. 3. REPEAL OF REQUIREMENT OF REDUCTION OF SBP SURVIVOR ANNUITIES BY 
              DEPENDENCY AND INDEMNITY COMPENSATION.

    (a) Repeal.--
            (1) Repeal.--Subchapter II of chapter 73 of title 10, 
        United States Code, is amended as follows:
                    (A) In section 1450, by striking subsection (c).
                    (B) In section 1451(c)--
                            (i) by striking paragraph (2); and
                            (ii) by redesignating paragraphs (3) and 
                        (4) as paragraphs (2) and (3), respectively.
            (2) Conforming amendments.--Such subchapter is further 
        amended as follows:
                    (A) In section 1450--
                            (i) by striking subsection (e); and
                            (ii) by striking subsection (k).
                    (B) In section 1451(g)(1), by striking subparagraph 
                (C).
                    (C) In section 1452--
                            (i) in subsection (f)(2), by striking 
                        ``does not apply--'' and all that follows and 
                        inserting ``does not apply in the case of a 
                        deduction made through administrative error.''; 
                        and
                            (ii) by striking subsection (g).
                    (D) In section 1455(c), by striking ``, 
                1450(k)(2),''.
    (b) Prohibition on Retroactive Benefits.--No benefits may be paid 
to any person for any period before the effective date provided under 
subsection (f) by reason of the amendments made by subsection (a).
    (c) Prohibition on Recoupment of Certain Amounts Previously 
Refunded to SBP Recipients.--A surviving spouse who is or has been in 
receipt of an annuity under the Survivor Benefit Plan under subchapter 
II of chapter 73 of title 10, United States Code, that is in effect 
before the effective date provided under subsection (f) and that is 
adjusted by reason of the amendments made by subsection (a) and who has 
received a refund of retired pay under section 1450(e) of title 10, 
United States Code, shall not be required to repay such refund to the 
United States.
    (d) Repeal of Authority for Optional Annuity for Dependent 
Children.--Section 1448(d)(2) of such title is amended--
            (1) by striking ``Dependent children.--'' and all that 
        follows through ``In the case of a member described in 
        paragraph (1),'' and inserting ``Dependent children.--In the 
        case of a member described in paragraph (1),''; and
            (2) by striking subparagraph (B).
    (e) Restoration of Eligibility for Previously Eligible Spouses.--
The Secretary of the military department concerned shall restore 
annuity eligibility to any eligible surviving spouse who, in 
consultation with the Secretary, previously elected to transfer payment 
of such annuity to a surviving child or children under the provisions 
of section 1448(d)(2)(B) of title 10, United States Code, as in effect 
on the day before the effective date provided under subsection (f). 
Such eligibility shall be restored whether or not payment to such child 
or children subsequently was terminated due to loss of dependent status 
or death. For the purposes of this subsection, an eligible spouse 
includes a spouse who was previously eligible for payment of such 
annuity and is not remarried, or remarried after having attained age 
55, or whose second or subsequent marriage has been terminated by 
death, divorce or annulment.
    (f) Effective Date.--This section and the amendments made by this 
section shall take effect on the later of--
            (1) October 1, 2011; or
            (2) the first day of the first month that begins after the 
        date of the enactment of this Act.

SEC. 4. ELIMINATION OF FISCAL YEAR LIMITATION IN CONSIDERING ACTIVE 
              DUTY AND ACTIVE SERVICE FOR EARLY ELIGIBILITY FOR RECEIPT 
              OF NON-REGULAR SERVICE RETIRED PAY.

    (a) Consideration of 90-Day Periods of Service.--Section 
12731(f)(2)(A) of title 10, United States Code, is amended by striking 
``below 60 years of age by three months for each aggregate of 90 days 
on which such person so performs in any fiscal year after such date, 
subject to subparagraph (C)'' and inserting ``, subject to subparagraph 
(C), below 60 years of age by three months for each aggregate of 90 
days on which such person serves on such active duty or performs such 
active service after such date''.
    (b) Retroactive Effective Date.--The amendment made by subsection 
(a) shall take effect as of January 28, 2008, and as if included in the 
National Defense Authorization Act for Fiscal Year 2008 (Public Law 
110-181) as enacted.
answer:
Allows the receipt of both military retired pay and veterans' disability compensation with respect to any service-connected disability (under current law, only a disability rated at 50% or more). Repeals provisions phasing in the full concurrent receipt of such pay through December 31, 2013.

Makes eligible for the full concurrent receipt of both veterans' disability compensation and either military retired pay or combat-related special pay those individuals who were retired or separated from military service due to a service-connected disability.

Repeals certain provisions which require the offset of amounts paid in dependency and indemnity compensation from Survivor Benefit Plan (SBP) annuities for the surviving spouses of former military personnel who are entitled to military retired pay or who would be entitled to retired pay except for being under 60 years of age.

Prohibits requiring repayment of certain amounts previously paid to SBP recipients in the form of a retired pay refund.

Repeals the optional authority of (and instead requires) the Secretary of the military department concerned to pay an annuity to a member's dependent children when there is no eligible surviving spouse.

Directs the Secretary concerned to restore annuity eligibility to a surviving spouse who earlier agreed to transfer such eligibility to a surviving child or children of a member.

Removes the requirement that days of active duty or active service used to reduce the minimum age at which a member of the reserves may retire for non-regular (reserve) service must occur in the same fiscal year.


question:
SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Women and Children's HIV Protection 
Act of 2003''.

SEC. 2. FINDINGS.

    The Congress finds as follows:
            (1) Perinatal transmission is the leading cause of 
        pediatric HIV infections, including AIDS cases.
            (2) The Centers for Disease Control and Prevention 
        (``CDC'') estimates that nearly 7,000 HIV-infected women give 
        birth in the United States each year and as many as 400 babies 
        continue to be born with HIV infection each year.
            (3) Medical advances have made it possible to nearly 
        eliminate perinatal HIV transmission.
            (4) Research studies have demonstrated that the 
        administration of antiviral medication during pregnancy, during 
        labor, and immediately following birth can significantly reduce 
        the transmission of HIV from an infected mother to her baby. 
        Caesarean section further reduces the risk of transmission.
            (5) Even if treatment begins shortly after birth, 
        antiretroviral therapy can substantially reduce the chance that 
        an HIV-exposed infant will become infected.
            (6) Breastfeeding by HIV-infected mothers poses additional 
        significant risk of infection to babies.
            (7) The Institute of Medicine (``IOM'') has recommended the 
        adoption of a national policy of universal HIV testing, with 
        patient notification, as a routine component of prenatal care. 
        However, 15 percent of HIV-infected pregnant women receive no 
        prenatal care according to the IOM.
            (8) The CDC has recommended since 1995 that all pregnant 
        women be counseled and offered voluntary HIV testing. Yet 
        nearly half of pregnant women are still not tested according to 
        the CDC. The CDC has found that mandatory testing of newborns 
        and universal HIV testing of pregnant woman are the best 
        approaches for identifying, treating, and preventing HIV among 
        pregnant women and children.
            (9) The American Medical Association recommends mandatory 
        HIV testing of all newborns with appropriate treatment for 
        affected mothers and children.
            (10) Testing newborns whose mothers' status is unknown 
        ensures that every child at risk for HIV is identified.
            (11) More than a third of the HIV infections that occur 
        annually among newborns in the United States could be prevented 
        with routine HIV testing of pregnant woman or newborns 
        according to a 2002 report by the Inspector General of the 
        Department of Health and Human Services. This represents over 
        100 babies born every year that are needlessly infected.
            (12) The provision of testing of pregnant women and 
        newborns with appropriate counseling and treatment can 
        significantly reduce the number of pediatric HIV infections, 
        including AIDS cases, can improve access to and medical care 
        for the woman and children, and can provide opportunities to 
        further reduce transmission among adults.
            (13) The provision of such testing, counseling, and 
        treatment can reduce the overall cost of pediatric HIV 
        infections, including AIDS cases.
            (14) New York State has required mandatory HIV counseling 
        and voluntary testing for pregnant women and mandatory HIV 
        testing of all newborns since February 1997. As a result, the 
        perinatal HIV transmission rate in the State has dropped from 
        25 percent to an all time low of 3.5 percent and over 99 
percent of HIV-infected women and their children have been linked to 
care.
    (15) For the foregoing reasons--
                    (A) universal routine HIV testing of pregnant women 
                and newborns should be the standard of care; and
                    (B) the relevant medical organizations, as well as 
                public health officials, should issue guidelines making 
                such testing, counseling, and treatment the standard of 
                care.

SEC. 3. GRANTS REGARDING COUNSELING AND TESTING OF PREGNANT WOMEN AND 
              NEWBORN INFANTS.

    Subpart II of part B of title XXVI of the Public Health Service Act 
(42 U.S.C. 300ff-33 et seq.) is amended by inserting after section 2625 
the following section:

``SEC. 2625A. GRANTS REGARDING COUNSELING AND TESTING OF PREGNANT WOMEN 
              AND NEWBORN INFANTS.

    ``(a) In General.--Of the amounts appropriated under section 2677 
for a fiscal year for carrying out this part, exclusive of amounts 
available for grants under section 2618(a)(2)(I), the Secretary, 
subject to subsection (b)(2), shall reserve $82,875,000 for making 
grants to each State that demonstrates that the law or regulations of 
the State are in accordance with the following:
            ``(1) That all pregnant women receiving prenatal care in 
        the State be offered counseling and testing regarding HIV 
        disease.
            ``(2) In the case of prenatal testing for such disease that 
        is conducted in the State, that the results of such testing be 
        promptly disclosed to the pregnant woman involved.
            ``(3) In the case of newborn infants who are born in the 
        State and whose biological mothers have not undergone prenatal 
        testing for HIV disease, that each such infant undergo testing 
        for such disease.
            ``(4) That the results of such testing of a newborn infant 
        be promptly disclosed in accordance with the following, as 
        applicable to the infant involved:
                    ``(A) To the biological mother of the infant 
                (without regard to whether she is the legal guardian of 
                the infant).
                    ``(B) If the State is the legal guardian of the 
                infant:
                            ``(i) To the appropriate official of the 
                        State agency with responsibility for the care 
                        of the infant.
                            ``(ii) To the appropriate official of each 
                        authorized agency providing assistance in the 
                        placement of the infant.
                            ``(iii) If the authorized agency is giving 
                        significant consideration to approving an 
                        individual as a foster parent of the infant, to 
                        the prospective foster parent.
                            ``(iv) If the authorized agency is giving 
                        significant consideration to approving an 
                        individual as an adoptive parent of the infant, 
                        to the prospective adoptive parent.
                    ``(C) If neither the biological mother nor the 
                State is the legal guardian of the infant, to another 
                legal guardian of the infant.
                    ``(D) To the child's health care provider.
            ``(5) That, in disclosing the test results to an individual 
        under paragraph (2) or (4), appropriate counseling on HIV 
        disease and appropriate referrals for health care be offered to 
        the individual (except in the case of a disclosure to an 
        official of a State or an authorized agency, or to a health 
        care provider).''.
    ``(b) Date Certain for Making Grants; Limitation on Reservation of 
Funds.--
            ``(1) Date certain for making grants.--Not later than the 
        end of the three-month period beginning on the date on which 
        appropriations first become available for a fiscal year for 
        grants under section 2611, the Secretary shall make grants 
        under subsection (a) for such fiscal year to all States that 
        seek such grants and meet the condition described in such 
        subsection for the grants.
            ``(2) Limitation on reservation of funds.--Effective upon 
        the expiration of the period described in paragraph (1) with 
        respect to a fiscal year, the unobligated portion of the amount 
        reserved under subsection (a) for the fiscal year is available 
        for grants under section 2611 for the fiscal year.
    ``(c) Amount of Grants.--Each grant under subsection (a) for a 
fiscal year shall be made in the amount of $1,500,000, except that the 
amount of such a grant for a territory of the United States shall be 
$375,000.
    ``(d) Authorized Expenditures.--A grant under subsection (a) may be 
expended for any purpose for which a grant under 2611 is authorized to 
be expended.
    ``(e) Definitions.--For purposes of this section, the terms `State' 
and `territory of the United States' have the meanings that apply to 
such terms for purposes of grants under section 2611 (including the 
meanings that apply for purposes of section 2618).''.
answer:
Women and Children's HIV Protection Act of 2003 - Amends the Public Health Service Act to provide for grants regarding the counseling and testing of pregnant women and newborn infants out of moneys appropriated under the care grant program. Prohibits making a grant to a State unless the State demonstrates that the law or regulations of the State require specified testing and services for pregnant women and newborn infants regarding HIV disease.


question:
SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Estate Tax Relief Act of 2001''.

SEC. 2. MAXIMUM ESTATE AND GIFT TAX RATE REDUCED TO 45 PERCENT.

    (a) In General.--The table contained in section 2001(c)(1) of the 
Internal Revenue Code of 1986 is amended by striking the four highest 
brackets and inserting the following:

    ``Over $1,500,000..............
                                        $555,800, plus 45% of the 
                                                excess over 
                                                $1,500,000.''.
    (b) Repeal of Phaseout of Graduated Rates.--
            (1) In general.--Subsection (c) of section 2001 of such 
        Code is amended by striking paragraph (2).
            (2) Conforming amendment.--Section 2001(c) is amended by 
        striking ``(1) In
        general.--'' and moving the text 2 ems to the left.
    (c) Effective Date.--The amendments made by this section shall 
apply to estates of decedents dying, and gifts made, after December 31, 
2000.

SEC. 3. UNIFIED CREDIT AGAINST ESTATE AND GIFT TAXES REPLACED WITH 
              UNIFIED EXEMPTION AMOUNT.

    (a) In General.--
            (1) Estate tax.--Subsection (b) of section 2001 of the 
        Internal Revenue Code of 1986 (relating to computation of tax) 
        is amended to read as follows:
    ``(b) Computation of Tax.--
            ``(1) In general.--The tax imposed by this section shall be 
        the amount equal to the excess (if any) of--
                    ``(A) the tentative tax determined under paragraph 
                (2), over
                    ``(B) the aggregate amount of tax which would have 
                been payable under chapter 12 with respect to gifts 
                made by the decedent after December 31, 1976, if the 
                provisions of subsection (c) (as in effect at the 
                decedent's death) had been applicable at the time of 
                such gifts.
            ``(2) Tentative tax.--For purposes of paragraph (1), the 
        tentative tax determined under this paragraph is a tax computed 
        under subsection (c) on the excess of--
                    ``(A) the sum of--
                            ``(i) the amount of the taxable estate, and
                            ``(ii) the amount of the adjusted taxable 
                        gifts, over
                    ``(B) the exemption amount.
            ``(3) Exemption amount.--For purposes of paragraph (2), the 
        term `exemption amount' means $10,000,000.
            ``(4) Adjusted taxable gifts.--For purposes of paragraph 
        (2), the term `adjusted taxable gifts' means the total amount 
        of the taxable gifts (within the meaning of section 2503) made 
        by the decedent after December 31, 1976, other than gifts which 
        are includible in the gross estate of the decedent.''.
            (2) Gift tax.--Subsection (a) of section 2502 of such Code 
        (relating to computation of tax) is amended to read as follows:
    ``(a) Computation of Tax.--
            ``(1) In general.--The tax imposed by section 2501 for each 
        calendar year shall be the amount equal to the excess (if any) 
        of--
                    ``(A) the tentative tax determined under paragraph 
                (2) for such calendar year, over
                    ``(B) the aggregate amount of tax that would have 
                been payable under this chapter with respect to gifts 
                made by the donor in preceding calendar periods if the 
                tax had been computed under the provisions of section 
                2001(c) as in effect for such calendar year.
            ``(2) Tentative tax.--For purposes of paragraph (1), the 
        tentative tax determined under this paragraph for a calendar 
        year is a tax computed under section 2001(c) on the excess of--
                    ``(A) the aggregate sum of the taxable gifts for 
                such calendar year and for each of the preceding 
                calendar periods, over
                    ``(B) the exemption amount under section 2001(b)(3) 
                for such calendar year.''.
    (b) Repeal of Unified Credits.--
            (1) Section 2010 of such Code (relating to unified credit 
        against estate tax) is hereby repealed.
            (2) Section 2505 of such Code (relating to unified credit 
        against gift tax) is hereby repealed.
    (c) Conforming Amendments.--
            (1)(A) Subsection (b) of section 2011 of such Code is 
        amended--
                    (i) by striking ``adjusted'' in the table; and
                    (ii) by striking the last sentence.
            (B) Subsection (f) of section 2011 of such Code is amended 
        by striking ``, reduced by the amount of the unified credit 
        provided by section 2010''.
            (2) Subsection (a) of section 2012 of such Code is amended 
        by striking ``and the unified credit provided by section 
        2010''.
            (3) Subparagraph (A) of section 2013(c)(1) of such Code is 
        amended by striking ``2010,''.
            (4) Paragraph (2) of section 2014(b) of such Code is 
        amended by striking ``2010, 2011,'' and inserting ``2011''.
            (5) Clause (ii) of section 2056A(b)(12)(C) of such Code is 
        amended to read as follows:
                            ``(ii) to treat any reduction in the tax 
                        imposed by paragraph (1)(A) by reason of the 
                        credit allowable under section 2010 (as in 
                        effect on the day before the date of the 
                        enactment of the Estate Tax Relief Act of 2001) 
                        or the exemption amount allowable under section 
                        2001(b) with respect to the decedent as a 
                        credit under section 2505 (as so in effect) or 
                        exemption under section 2501 (as the case may 
                        be) allowable to such surviving spouse for 
                        purposes of determining the amount of the 
                        exemption allowable under section 2501 with 
                        respect to taxable gifts made by the surviving 
                        spouse during the year in which the spouse 
                        becomes a citizen or any subsequent year,''.
            (6)(A) Section 2057 of such Code is repealed and the table 
        of sections for part IV of subchapter A of chapter 11 of such 
        Code is amended by striking the item relating to section 2057.
            (B) Paragraph (10) of section 2031(c) of such Code is 
        amended by inserting ``(as in effect on the day before the date 
        of the enactment of this parenthetical)'' before the period.
            (7) Subsection (b) of section 2101 of such Code is amended 
        to read as follows:
    ``(b) Computation of Tax.--
            ``(1) In general.--The tax imposed by this section shall be 
        the amount equal to the excess (if any) of--
                    ``(A) the tentative tax determined under paragraph 
                (2), over
                    ``(B) a tentative tax computed under section 
                2001(c) on the amount of the adjusted taxable gifts.
            ``(2) Tentative tax.--For purposes of paragraph (1), the 
        tentative tax determined under this paragraph is a tax computed 
        under section 2001(c) on the excess of--
                    ``(A) the sum of--
                            ``(i) the amount of the taxable estate, and
                            ``(ii) the amount of the adjusted taxable 
                        gifts, over
                    ``(B) the exemption amount for the calendar year in 
                which the decedent died.
            ``(3) Exemption amount.--
                    ``(A) In general.--The term `exemption amount' 
                means $60,000.
                    ``(B) 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 exemption amount under this 
                paragraph shall be the greater of--
                            ``(i) $60,000, or
                            ``(ii) that proportion of $175,000 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.
                    ``(C) Special rules.--
                            ``(i) Coordination with treaties.--To the 
                        extent required under any treaty obligation of 
                        the United States, the exemption amount allowed 
                        under this paragraph shall be equal to the 
                        amount which bears the same ratio to the 
                        exemption amount under section 2001(b)(3) (for 
                        the calendar year in which the decedent died) 
                        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.
                            ``(ii) Coordination with gift tax exemption 
                        and unified credit.--If an exemption has been 
                        allowed under section 2501 (or a credit has 
                        been allowed under section 2505 as in effect on 
                        the day before the date of the enactment of the 
                        Estate Tax Relief Act of 2001) with respect to 
                        any gift made by the decedent, each dollar 
                        amount contained in subparagraph (A) or (B) or 
                        the exemption amount applicable under clause 
                        (i) of this subparagraph (whichever applies) 
                        shall be reduced by the exemption so allowed 
                        under section 2501 (or, in the case of such a 
                        credit, by the amount of the gift for which the 
                        credit was so allowed).''.
            (8) Section 2102 of such Code is amended by striking 
        subsection (c).
            (9)(A) Paragraph (1) of section 2107(a) of such Code is 
        amended by striking ``the table contained in''.
            (B) Paragraph (1) of section 2107(c) of such Code is 
        amended to read as follows:
            ``(1) Exemption amount.--For purposes of subsection (a), 
        the exemption amount under section 2001 shall be $60,000.''
            (C) Paragraph (3) of section 2107(c) of such Code is 
        amended by striking the second sentence.
            (D) The heading of subsection (c) of section 2107 of such 
        Code is amended to read as follows:
    ``(c) Exemption Amount and Credits.--''.
            (10) Paragraph (1) of section 6018(a) of such Code is 
        amended by striking ``the applicable exclusion amount in effect 
        under section 2010(c)'' and inserting ``the exemption amount 
        under section 2001(b)(3)''.
            (11) Subparagraph (A) of section 6601(j)(2) of such Code is 
        amended to read as follows:
                    ``(A) the amount of the tentative tax which would 
                be determined under the rate schedule set forth in 
                section 2001(c) if the amount with respect to which 
                such tentative tax is to be computed were $1,000,000, 
                or''.
            (12) The table of sections for part II of subchapter A of 
        chapter 11 of such Code is amended by striking the item 
        relating to section 2010.
            (13) The table of sections for subchapter A of chapter 12 
        of such Code is amended by striking the item relating to 
        section 2505.
    (d) Effective Date.--The amendments made by this section shall 
apply to estates of decedents dying and gifts made after December 31, 
2000.

SEC. 4. INCREASE IN ANNUAL GIFT EXCLUSION AMOUNT.

    (a) In General.--Paragraph (1) of section 2503(b) of the Internal 
Revenue Code of 1986 (relating to general exclusion from gifts) is 
amended by striking ``$10,000'' and inserting ``$50,000''.
    (b) Inflation Adjustment.--Paragraph (2) of section 2503(b) of such 
Code is amended--
            (1) by striking ``$10,000'' both places it appears and 
        inserting ``$50,000'',
            (2) by striking ``1998'' and inserting ``2001'', and
            (3) by striking ``1997'' and inserting ``2000''.
    (c) Conforming Amendment.--Section 2523(i)(2) of such Code is 
amended by striking ``$10,000'' and inserting ``$50,000''.
    (d) Effective Date.--The amendments made by this section shall 
apply to estates of decedents dying and gifts made after December 31, 
2000.
answer:

Estate Tax Relief Act of 2001 - Amends the Internal Revenue Code to: (1) reduce the maximum estate and gift tax rate to 45 percent; (2) replace the unified credit against the estate and gift taxes with a unified exemption amount of $10 million; and (3) increase from $10,000 to $50,000 the annual gift exclusion amount.