A bill to amend the Internal Revenue Code of 1954 to provide that nonrecognition of gain on the sale of a principal residence shall apply where one of the spouses who occupied the old residence dies before occupying the new residence.

[AI summary unavailable — showing source text] Amends Internal Revenue Code income tax provisions relating to the nonrecognition of gain from the sale of a taxpayer's principal residence to provide that in cases when a taxpayer dies after the sale of the old residence and before the purchase of a new one: (1) his or her consent to the allotment, in accordance with regulations, between spouses of certain gain on the sale will be presumed; and (2) the requirement that the new residence be used as the principal residence of the taxpayer will not apply.…