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C H A P T E R N I N E T E E N1 9International Giving byIndividuals through Estates§19.1 Introduction 559§ 19.2 Estate Tax Rules 560(a) Transfer to ForeignCorporation ServingCharitable Ends 560(b) Transfer to ForeignGovernment ServingPublic Purposes 561(c) Transfer to Trustee 562(d) Testamentary CharitableRemainder Trusts 564§ 19.3 Gift Tax Rules 565§ 19.4 Charitable Giving byNoncitizen Nonresidents 565(a) Estate Tax Rules 565(b) Gift Tax Rules forNonresidentNoncitizens 566§ 19.1 INTRODUCTIONThe treatment of gifts and bequests under U.S. estate and gift tax provisions 1does not limit the use of funds overseas. The federal estate tax deduction 2 andthe federal gift tax deduction 3 permit bequests and gifts by U.S. residents to foreignorganizations for charitable purposes. For estate and gift tax purposes, anindividual is considered to be a resident of the United States if that individualmaintains his or her domicile in the United States at the time of death or at thetime of the gift, whichever is applicable. 4The federal estate tax charitable deduction provision is similar to the federalincome tax charitable deduction provision 5 in allowing deductions for gifts to U.S.governmental entities but not to foreign governmental units. Unlike the income taxrule, however, the federal estate tax rule permits deductions for bequests to charitabletrusts without the requirement that the trusts be domestic organizations.In the case of a nonresident who is not a U.S. citizen, gifts will be subject tothe gift tax if they are not made to a domestic charitable corporation. 6 A gift1 In general, see Chapter 82 IRC § 2055(a)(2).3 IRC § 2522(a)(2).4 Reg. §§ 20.0-2(b)(1); 25.2501-1(b).5 IRC § 170(c).6 IRC § 2106(a)(2). 559