[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 217 Introduced in Senate (IS)]







106th CONGRESS
  1st Session
                                 S. 217

To amend the Internal Revenue Code of 1986 to provide for the treatment 
   of charitable transfers of collections of personal papers with a 
                   separate right to control access.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            January 19, 1999

 Mr. Moynihan (for himself, Mr. Inouye, and Mr. Wellstone) introduced 
the following bill; which was read twice and referred to the Committee 
                               on Finance

_______________________________________________________________________

                                 A BILL


 
To amend the Internal Revenue Code of 1986 to provide for the treatment 
   of charitable transfers of collections of personal papers with a 
                   separate right to control access.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. TAX TREATMENT OF CHARITABLE TRANSFERS OF COLLECTIONS OF 
              PERSONAL PAPERS WITH SEPARATE RIGHT TO CONTROL ACCESS.

    (a) In General.--Chapter 14 of the Internal Revenue Code of 1986 is 
amended by adding at the end the following:

``SEC. 2705. TREATMENT OF CHARITABLE TRANSFERS OF COLLECTIONS OF 
              PERSONAL PAPERS WITH SEPARATE RIGHT TO CONTROL ACCESS.

    ``(a) General Rule.--For purposes of this subtitle, if--
            ``(1) an individual transfers an interest in qualified 
        property to a person, or for a use described in section 2055(a) 
        or section 2522 (a) or (b), and
            ``(2) the individual retains or transfers to another person 
        the right to control access to such property for a period not 
        to exceed 25 years after the death of the individual,
sections 2036, 2038, 2055(e)(2), and 2522(c)(2) shall not apply solely 
by reason of the individual retaining or transferring such right.
    ``(b) Special Rules Relating To Transfer of Right To Control 
Access.--If any individual transfers the right to control access 
described in subsection (a) to another person for less than an adequate 
and full consideration in money or money's worth--
            ``(1) no tax shall be imposed under this subtitle by reason 
        of the transfer, and
            ``(2) if the transfer involves the right being acquired, or 
        passed, from a decedent, section 1014 shall not apply and the 
        basis of the right in the hands of the transferee shall be 
        determined under rules similar to the rules under section 1015.
    ``(c) Qualified Property.--For purposes of this section, the term 
`qualified property' means a collection substantially all of the items 
of which are in the form of letters, memoranda, or similar property 
described in section 1221(3).''
    (b) Conforming Amendments.--
            (1) The heading for chapter 14 of such Code is amended to 
        read as follows:

   ``CHAPTER 14--SPECIAL VALUATION RULES; RULES AFFECTING SUBTITLE''.

            (2) The item relating to chapter 14 in the table of 
        chapters of subtitle B of such Code is amended by striking 
        ``rules.'' and inserting ``rules; rules affecting subtitle.''
            (3) The table of sections of chapter 14 of such Code is 
        amended by adding at the end the following new item:

                              ``Sec. 2705. Treatment of charitable 
                                        transfers of collections of 
                                        personal papers with separate 
                                        right to control access.''
    (c) Effective Date.--The amendments made by this section apply to 
any transfer made before, on, or after the date of enactment of this 
Act.
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