250 GIFT TAXES Discretionary release . Correctness of return and tax . Determination, etc. Doticiency. Definition . Ditlercnee between tax nn posed and that shun n on return . Adjus tment o f prev i- ous a. .-suients. If no tax shown or return made . Assessment and col- lection of deficiency. Notice to donor. Petition by donor to Board of Tax Appeals . Restr iction on cou rt proceeding . R.S.,sec.3224,p.619, waived. Exceptions . Post, p. 251. Post, p . 251. Post, p. 252. Post, p. 253. Vol.44,p. 109. Collection of defi- ciency found by Board . 72d CONGRESS . SESS . I. CH. 209. JUNE 6,1932. adequate and ful l consid eration in money or money 's worth . If the Commissioner is satisfied that the tax liability has been fully dis- charged or provided for, he may, under regulations prescribed by him with the approval of the Secretary, issue his certificate, releas- ing any or all of the property from the lien herein imposed . SEC . 511 . EXAMINATION OF RETURN AND DETERMINATION OF TAX . As soon as practicable after the return is filed the Commissioner shall examine it and shall determine the correct amount of the tax . SEC. 512. DEFINITION OF DEFI CIENCY . As used in this title in respect of the tax imposed by this title the term " deficiency " means- (1) The amou nt by wh ich the tax impo sed by th is title exceeds the amount shown as the tax by the donor upon his return
- but
the amount so shown on the return shall first be increased by the amounts previously assessed (or collected without assessment) as a deficiency, and decreased by the amounts previously abated, refunded, or otherwise repaid in respect of such tax ; or (2) If no amount is shown as the tax by the donor upon his return, or if no return is made by the donor, then the amount by which the tax exceeds th e amounts previo usly assessed (or collected without assessment) as a deficiency ; but such amounts previously assess ed, or collected without assessm ent, shall first be decreased by t he amoun ts previ ously ab ated, re funded, o r otherw ise repa id in respect of such tax . SEC. 513 . ASSESSMENT AND COLLECTION OF DEFICIENCIES . (a) PETITION TO BO ARD OF TAX APPEALS .-If the Commissioner determines that there is a deficiency in respect of the tax imposed by this title, the Commissioner is authorized to send notice of such deficiency to the donor by registered mail . Within 60 days after such notice is mailed (not counting Sunday as the sixtieth day), the donor may file a petition with the Board of Tax Appeals for a rede- terminat ion of t he defic iency . No assessment of a deficiency in respect of the t ax impos ed by th is title and no d istraint or pro- ceeding in court for its collection shall be made, begun, or prose- cuted until such notice has been mailed to the donor, nor until the expiration of such 60-day period, nor, if a petition has been filed with the Board, until the decision of the Board has become final . Notwithstanding the provisions of section 3224 of the Revised Stat- utes the making of such assessment or the beginning of such pr o- ceeding or distr aint during the time such prohib ition is in force may be enjoined by a proceeding in the proper court . For exceptions to the restrictions imposed by this subsection see- (1) Subsection (d) of this section, relating to waivers by the donor ; (2) Subsection (f) of this section, relating to notifications of mathematical errors appearing upon the face of the return ; (3) Section 514, relating to jeopardy assessments ; (4) Section 516, relating to bankruptcy and receiverships ; and (5) Section 1001 of the Revenue Act of 1926, as amended, relating to assessment or collection of the amount of the deficiency determined by the Board pending court review . (b) COLLECTION OF DEFICIENCY FOUND BY BOARD.-If the donor files a petition with the Board, the entire amount redetermined as the deficiency by the decision of the Board which has become final shall be assessed and shall be paid upon notice and demand from the collector . No part of the a mount de termined as a def iciency by the Commissioner but disallowed as such by the decision of the Board
