FAILURE TO RELINQUISH A POWER IN CERTAIN DISABILITY CASES.

SEC. 208. FAILURE TO RELINQUISH A POWER IN CERTAIN DISABILITY CASES. (a) Amendment of Section 811 (d).— Section 811 (d) (relating to revocable transfers) is hereby amended by inserting after paragraph (3) thereof the following new paragraph: “(4) Effect of disability in certain cases.—For the purposes of this subsection, in the case of a decedent who was (for a continuous period beginning not less than three months before December 31, 1947, and ending with his death) under a mental disability to relinquish a power, the term ‘power’ shall not include a power the relinquishment of which on or after January 1, 1940, and on or before December 31, 1947, would, by reason of section 1000 (e), be deemed not to be a transfer of property for the purposes of chapter 4.” 67 Stat. 624 (b) Effective Date.—The amendment made by subsection (a) shall apply only with respect to estates of decedents dying after December 31, 1950.