An Act to amend section 120 of the Internal Revenue Code of 1939 (relating to unlimited deduction for charitable contributions)
PL 84-408 (H.R.7094), enacted 02/15/1956

70 
S T A T . ] 
PUBLIC LAW 408-FEB. 15, 1956 
15 
to be due by the General Accounting Office, and judgments rendered 
against the United States by United States district courts and the 
United States Court of Claims, as set forth in House Document Num-
bered 327, Eighty-fourth Congress, $4,109,201, together with such 
amounts as may be necessary to pay interest (as and when specified in 
such judgments or in certain of the settlements of the General Account-
ing Office or provided by law) and such additional sums due to in-
creases in rates of exchange as may be necessary to pay claims in for-
eign currency: Provided^ That no judgment herein appropriated for 
shall be paid until it shall have become final and conclusive against 
the United States by failure of the parties to appeal or otherwise: 
Provided further^ That, unless otherwise specifically required by law 
or by the judgment, payment of interest wherever appropriated for 
herein shall not continue for more than thirty days after the date of 
approval of this Act. 
Approved February 14, 1956. 
Public Law 407 
CHAPTER 35 
AN ACT 
To amend section 601 (g) of the Act entitled "An Act to expedite the provision 
of housing in connection with national defense, and for other purposes", 
approved October 14, 1940, as amended, to permit transfer of war housing 
projects to the city of Moses Lake, Washington, and to other communities 
similarly situated. 
February 15, 19J>6 
[H. R. 6298] 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That subsection 601 
(g) of the Act entitled "An Act to expedite the provision of housing 
in connection with national defense, and for other purposes", approved 
October 14,1940, as amended, is hereby amended by striking the period 
at the end thereof and adding the following: "if at the time of the 
relinquishment or transfer there is in existence in such a municipality a 
local public agency organized specifically and solely for the purpose of 
slum clearance and community redevelopment.". 
Approved February 15, 1956. 
Mo s e s 
Wash. 
L a k e , 
64 Stat. 63. 
42 u s e 1581. 
Public Law 408 
CHAPTER 36 
AN ACT 
To amend section 120 of the Internal Revenue Code of 1939 (relating to 
unlimited deduction for charitable contributions). 
February 15, 1956 
[H. R. 7094] 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That section 120 of 
chartabie c 
the Internal Revenue Code of 1939 (relating to unlimited deduction tributions. 
for charitable and other contributions) is hereby amended by striking 
^^ ^*^'" ^*" 
out "in each of the ten preceding taxable years" and inserting in lieu 
thereof "in eight of the ten preceding taxable years". 
SEC. 2. (a) Except as provided in subsections (b), (c), and (d), 
tlie amendment made by the first section of this Act shall apply to all 
taxable years to which the Internal Revenue Code of 1939 applies. 
(b) Xotwithstanding any other provision of law, credit for any 
overpayment resulting from the amendment made by the first section 
of this Act shall not be allowed, and the refund of any such overpay-
ment shall be made only if it is established to the satisfaction of the 
Secretary of the Treasury or his delegate— 
Effective date., 
Refunds. 
16 
PUBLIC LAW 409-FEB. 15, 1956 
[70 ST A T . 
68A Stat. 59. 
26 u s e 170. 
68A Stat. 390. 
26 u s e 2055. 
Period of limita-
tion. 
53 Stat. 91. 
(1) in the case of a taxpayer who has not died at the time the 
refund is made, that the amount of such refund is to be paid forth-
with as a charitable contribution (as defined in section 170 (c) 
of the Internal Revenue Code of 1954), or 
(2) in the case of a taxpayer who has died at the time the 
refund is made, that (A) an amount equal to the amount of the 
refund, under the terms of the decedent's will, will be transferred 
to any person or organization described in section 2055 of the 
Internal Revenue Code of 1954, and (B) an amount equal to 
the amount of such transfer is deductible from the value of the 
gross estate under such section or the corresponding provisions 
of the Internal Revenue Code of 1939. 
No interest shall be paid upon any overpayment resulting from the 
amendment made by the first section of this Act. 
(c) The amount of any refund made under this Act, and the pay-
ment or transfer of such amount as described in paragraph (1) or (2) 
of subsection (b), shall not be taken into account in determining any 
liability of the taxpayer or his estate for income tax or estate tax under 
the Federal income tax and estate tax laws. 
(d) If a claim for refund relates to an overpayment on account of 
the amendment made by the first section of this Act, in lieu of the 
three-year period of limitation prescribed in section 322 (b) (1) of 
the Internal Revenue Code of 1939, the period shall be seven years 
from the date prescribed by law for filing the return for the year 
with respect to which the claim is made. In the case of a claim 
described in this subsection, the amount of the refund may exceed 
the portion of the tax paid within the period prescribed in paragraph 
(2) or (3), whichever is applicable of section 322 (b) of such code, 
to the extent of the amount of the overpayment attributable to the 
amendment made by the first section of this Act. 
Approved February 15, 1956. 
February 15, 1956 
[S. 1683] 
Public Law 409 
CHAPTER 37 
AN ACT 
To amend the Act of June 13, 1949 (03 Stat. 172), and for other purposes. 
Y u m a auxiliary 
project, Ariz. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembledj That the boundaries 
of the Yuma auxiliary project, Arizona, as limited by the Act of June 
13, 1949 (63 Stat. 172), are modified so as to exclude therefrom the 
following lands, containing two hundred eighty-five and thirteen 
one-hundredths irrigable acres more or less, and located in Yuma 
(\)unty, Arizona: 
TOWNSHIP 1 (t SOUTH, RANGE 12.S WEST, GILA AND SALT KIVER BASE AND 
MERmiAN 
Section 6: Southwest quarter northeast quarter northwest quarter, 
west half northwest quarter southeast quarter northwest quarter, west 
half east half northwest quarter southeast quarter northwest quarter, 
southwest quarter southeast quarter northwest quarter, southwest quar-
ter northwest quarter, northwest quarter southwest quarter. 
Section 7: Southwest quarter northeast quarter northwest quarter, 
northwest quarter northwest quarter, northwest quarter southeast 
quarter northwest quarter, north half southwest quarter northwest 
quarter, southwest quarter southwest quarter northwest quarter,