A bill to amend the Internal Revenue Code of 1954 relating to the reduction of Federal Estate Tax deductions for charitable transfers where death taxes are payable out of such transfers.

Amends the Internal Revenue Code to provide that where any death taxes are to be paid out of otherwise deductible bequests, devises or transfers for public, charitable or religious uses, the allowable deduction from the Federal estate tax for such transfers shall be an amount equal to the difference between the transfers and the tax which would have been applied against the rest of the estate.