An Act to amend title I of the Agriculture and Trade Development and Assistance Act of 1954.
PL 87-28 (S.1027), enacted 05/04/1961

64 
PUBLIC LAW 87-28-MAY 4, 1961 
[75 S T A T . 
May 4, 1961 
[S. 1027] 
Public Law 87-28 
AN ACT 
To amend title I of the Agricultural Trade Development and Assistance Act 
of 1954. 
A g r i c u l t u r a l 
Trade Development 
and A s s i s t a nee 
A c t 
o f 
1 9 5 4, 
amendment. 
73 Stat. 606. 
7 u s e 1703. 
68 Stat. 456. 
Be it enacted hy the Senate and House of Represent-atives of the 
United States of Afiierica in Congress assembled, That section 103(b) 
of the Agricultural Trade Development and Assistance Act of 1954, 
as amended, is amended by deleting "any calendar year during the 
period beginning January 1, 1960, and ending December 31, 1961," 
and substituting "the calendar year 1960," and by adding at the end 
thereof the following: "Agreements shall not be entered into under 
this title in the calendar year 1961 which will call for appropriations 
to reimburse the Commodity Credit Corporation, pursuant to sub-
section (a) of this section, in amounts in excess of $3,500,000,000, plus 
any amount by which agreements entered into in the preceding calen-
dar year have called or will call for appropriations to reimburse the 
Commodity Credit Corporation in amounts less than authorized for 
such preceding year by this Act as in effect during such preceding 
years. 
Approved May 4, 1961. 
May 4, 1961 
[H. R. 5 189] 
Public Law 87-29 
AN ACT 
To amend the Internal Revenue Code of 1954 to exempt from tax income derived 
by a foreign central bank of issue from obligations of the United States, and 
for other purposes. 
Tax exemption. 
F o r e i g n 
c en-
tral bank issues, 
26 u s e 891-894. 
Effective date. 
Small busi n e s s 
c o r p o r a t i o n s , 
election. 
26 u s e 1372. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assemoled, That (a) subpart C 
of part II of subchapter N" of chapter 1 of the Internal Revenue Code 
of 1954 (relating to nonresident aliens and foreign corporations) is 
amended by adding at the end thereof the following new section: 
"SEC. 895. INCOME DERIVED BY A FOREIGN CENTRAL BANK OF ISSUE 
FROM OBLIGATIONS OF THE UNITED STATES. 
"Income derived by a foreign central bank of issue from obligations 
of the United States owned by such foreign central bank of issue shall 
not be included in gross income and shall be exempt from taxation 
under this subtitle unless such obligations are held for, or used in con-
nection with, the conduct of commercial banking functions or other 
commercial activities." 
(b) The table of sections for such subpart C is amended by adding 
at the end thereof the following: 
"Sec. 895. Income derived by a foreign central bank of issue from 
obligations of the United States." 
(c) The amendments made by subsections (a) and (b) shall be 
effective with respect to income received in taxable years beginning 
after December 31, 1960. 
SEC. 2. Section 1372 of the Internal Revenue Code of 1954 (relat-
ing to elections by small business corporations) is amended by adding 
at the end thereof the following new subsection: 
"(g) 
CONSENT TO ELECTION BY CERTAIN SHAREHOLDERS or STOCK 
HELD AS COMMUNITY PROPERTY.—If a husband and wife owned stock 
which was community property (or the income from which was com-
munity income) under the applicable community property law of a