An Act to amend section 208 (b) of the Technical Changes Act of 1953 and for other purposes
PL 84-414 (H.R.2667), enacted 02/20/1956

70 S T A T . ] 
PUBLIC LAW 414-FEB. 20, 1956 
23 
"(a) If the annual rent paid by the United States is computed in 
accordance with subparagraph (1) hereinabove, then and in that 
event the United States shall pay no part of such costs; 
"(b) If the annual rent paid by the United States is computed in 
accordance with subparagraph (2) hereinabove, then and in that 
event the United States shall pay to the city of Newark or if the 
property is then under lease, then to the city's then lessee three-fifths 
of such costs; and 
"(c) If the annual rent paid by the United States is computed in 
accordance with subparagraph (3) hereinabove, the United States 
shall pay to the city of Newark or, if the property is then under lease, 
then to the city's then lessee so much of the said costs as is the same 
proportionate part of the total of such costs as the annual rental paid 
by the United States (less $60,000) is of the annual fair rental value. 
"In the computation of restoration costs damage caused by reason-
able wear and tear, by action of the elements, or by circumstances 
beyond the control of the United States other than acts of war or of 
enemies of the United States, shall be excluded. 
"If the United States and the city of Newark or its then lessee are 
unable to agree on the fair and reasonable restoration costs, then said 
costs shall be determined by the I'^nited States District Court in and 
for the District of New Jersey in accordance with the provisions of 
this Act and jurisdiction is conferred on that court for such purpose." 
SEC. 2. Nothing contained in this Act shall impair, or be construed 
to impair, in any manner whatsoever, any other right or rights the 
United States may now or liereafter possess to condemn, seize, lease, 
or otherAvise take over the property in accordance with the applicable 
l^rovisions of the laws of the United States. 
SEC. 3. The Secretary of the Army is authorized to execute a sui)ple-
ment to the contract of sale entered into Avith the city of Newark, New 
Jersey, pursuant to the Act of June 20,1936, in order to make effective 
the amendments made to said Act by this Act, but, in any event, the 
deed to be delivered to said city by the United States upon receipt of 
the final payment of the purchase price shall conform to these 
amendments. 
Approved February 18, 1956. 
Rights of U. S. 
Contract supple-
ment. 
Public Law 414 
CHAPTER 63 
A N A C T 
February 20, 1956 
To amend section 208 (b) of the Technical Changes Act of 1953, and for other 
[H. R. 2667] 
purposes. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled^ That (a) section 208 
(b) of the Technical Changes Act of 1953 is amended by striking out 
"1950" and inserting in lieu thereof "194:7''. 
(b) The amendment made by subsection (a) shall be effective as if 
enacted as a part of section 208 (b) of the Technical Changes Act of 
1953. 
SEC. 2. Section 2053 of the Internal Revenue Code of 1954 (relating 
to deductions from the gross estate for expenses, indebtedness, and 
taxes) is hereby amended by redesignating subsection (d) to be sub-
section (e) and by adding after subsection (c) a new subsection as 
follows: 
"(d) 
CERTAIN STATE DEATEI TAXES.— 
"(1) GENERAL RULE.—Notwithstanding the provisions of sub-
section (c) (1) (B) of this section, for purposes of the tax imposed 
T 
e c h n i c a l 
C h a n g e s Act of 
1953» amendment. 
67 Stat. 624. 
Effect! vity. 
68A Stat. 390. 
26 u s e 2053. 
24 
PUBLIC LAW 4U-FEB. 20, 1956 
[70 ST 
A T . 
by section 2001 the value of the taxable estate may be determined, 
if the executor so elects before the expiration of the period of limi-
tation for assessment provided in section 6501, by deducting from 
the value of the gross estate the amount (as determined in accord-
ance with regulations prescribed by the Secretary or his delegate) 
of any estate, succession, legacy or inheritance tax imposed by a 
State or Territory or the District of Columbia, or any possession 
of the United States, upon a transfer by the decedent for public, 
charitable, or religious uses described in section 2055 or 2106 
(a) (2). 
The election shall be exercised in accordance with 
regulations prescribed by the Secretary or his delegate. 
"(2) 
CONDITION FOR ALLOWANCE OF DEDUCTION.—No deduction 
shall be allowed under paragraph (1) for a State death tax speci-
fied therein unless the decrease in the tax imposed by section 2001 
which results from the deduction provided for in paragraph (1) 
will inure solely for the benefit of the public, charitable, or re-
ligious transferees described in section 2055 or section 2106 (a) 
(2). 
In any case where the tax imposed by section 2001 is equi-
tably apportioned among all the transferees of property included 
in the gross estate, including those described in sections 2055 and 
2106 (a) (2) (taking into account any exemptions, credits, or 
deductions allowed by this chapter), in determining such de-
crease, there shall be disregarded any decrease in the Federal 
estate tax which any transferees other than those described in 
sections 2055 and 2106 (a) (2) are required to pay. 
"(3) 
EFFECT OF DEDUCTION ON CREDIT FOR STATE DEATH TAXES.— 
See section 2011 (e) for the effect of a deduction taken under this 
subsection on the credit for State death taxes." 
26^icf 
2
0
V
1
I
* 
^^^- ^- Section 2011 of the Internal Eevenue Code of 1954 is amended 
by adding after subsection (d) a new subsection as follows: 
"(e) 
LIMITATION IN CASES INVOLVINCX DEDUCTION UNDER SECTION 
2053 (D).—In any case Avhere a deduction is allowed under section 
2053 (d) for an estate, succession, legacy, or inheritance tax imposed 
upon a transfer for public, charitable, or religious uses described in 
section 2055 or 2106 (a) (2), the allowance of the credit under this 
section shall be subject to the following conditions and limitations: 
"(1) The taxes described in subsection (a) shall not include any 
estate, succession, legacy, or inheritance tax for which a deduction 
is allowed under section 2053 (d). 
" (2) The credit shall not exceed the lesser of— 
"(A) the amount stated in subsection (b) on a taxable 
estate determined by allowing the deduction authorized by 
section 2053 (d), or 
"(B) that proportion of the amount stated in subsection 
(b) on a taxable estate determined without regard to the 
deduction authorized by section 2053 (d) as (i) the amount 
of the taxes described in subsection (a), as limited by the 
provisions of paragraph (1) of this subsection, bears to (ii) 
the amount of the taxes described in subsection (a) before 
applying the limitation contained in paragraph (1) of this 
subsection. 
"(3) If the amount determined under subparagraph (B) of 
paragraph (2) is less than the amount determined under sub-
paragraph (A) of that paragraph, then for purposes of subsec-
tion (d) such lesser amount shall be the maximum credit provided 
by subsection (b)." 
70 
S T A T . ] 
PUBLIC LAW 415~FEB. 20, 1956 
25 
SEC. 4. The amendments to the Internal Revenue Code of 1954 made 
by sections 2 and 3 of this Act, and provisions having the same effect as 
this amendment, which shall be considered to be included in chapter 
3 of the Internal Revenue Code of 1939, shall apply to the estates of 
all decedents dying after December 31, 1953. 
Approved February 20, 1956. 
Effeetivity. 
26 u s e apP- 811 
et seq; post p. 26. 
Public Law 415 
CHAPTER 64 
AN ACT 
To amend section 216 (b) of the Merchant Marine Act, 1936, as amended, to 
provide for the maintenance of the Merchant Marine Academy. 
February 20. 1956 
[H. R. 6043] 
Be it enacted hy the Senate and House of Representatwes 
of the 
United States of America in Congress assenvbled^ That section 216 
(b) of the Merchant Marine Act, 1936, as amended (U. S, C , title 
46, sec. 1126), is amended to read as follows: 
"(b) (1) The Secretary of Commerce shall maintain a Merchant 
Marine Academy at Kings Point, New York, for the instruction and 
preparation for service in the merchant marine of selected persons 
as officers thereof. 
Competitive examinations shall be held annually 
among those persons nominated as candidates to the Academy by 
Senators and Representatives. 
The number of vacancies allocated 
to each State shall be proportioned to the representation in Congress 
from that State. Appointments from each State shall be made by 
the Secretary of Commerce from among qualified candidates nomi-
nated from that State in the order of merit established by the exam-
inations. In case vacancies remain after the appointments under the 
preceding sentence have been made, the Secretary of Commerce shall 
fill them by appointments from qualified candidates from other States. 
"(2) In connection with such instruction and as a part thereof, 
the Secretary of Commerce is authorized to provide for training of 
merchant marine cadets on Government-owned and subsidized vessels 
and, in cooperation with other governmental and private agencies, 
on other vessels, and, for instructional purposes only, in shipyards, 
plants, and industrial and educational organizations under rules and 
regulations prescribed by the Secretary of Commerce and upon such 
terms as the Secretary of Commerce may arrange, and expenditures 
incident to such training are hereby authorized. 
"(3) Cadets appointed to the United States Merchant Marine 
Academy may be appointed by the Secretary of the Navy as Reserve 
midshipmen in the United States Navy and may be commissioned as 
Reserve ensigns in the United States Navy upon graduation from 
the Academy. 
" (4) Cadets at the United States Merchant Marine Academy shall 
receive allowances for all required uniforms and textbooks as pre-
scribed by rules and regulations under this Act, and to transportation, 
including reimbursement of traveling expenses, Avhile traveling under 
orders as a cadet. 
"(5) (a) 'Representative' as used in this Act shall include Dele-
gates to the House of Representatives from Alaska and Hawaii and 
the Resident Commissioner from the Commomvealth of Puerto Rico. 
"(b) 'State' as used in this Act shall include Territories of Alaska, 
Hawaii, and the Commonwealth of Puerto Rico." 
Approved February 20, 1956. 
Merchant Marine 
Academy. 
53 Stat. 1183. 
Maintenance. 
Training. 
App o intments, 
Allowances. 
" R e p r e s e n t a-
tive". 
"State",