Section 10
SEC. 10. Section fifteen hundred and thirty-six of Act Numbered Twenty-seven hundred and eleven is hereby amended to read as follows: "SEC. 1536. Conditions and rate of taxation,—Every transmission of real property located in the Philippine Islands and real rights in such property; of any franchise which must be exercised in the Philippine Islands; of any shares, obligations, or bonds issued by any corporation or 'sociedad anonima' organized or constituted in the Philippine Islands in accordance with its laws; of any shares or rights in any partnership, business, or industry established in the Philippine Islands; or of any personal property located in the Philippine Islands, by virtue of inheritance, devise, bequest, gift mortis causa, or advance in anticipation of inheritance, devise, or bequest shall be subject to the following tax; "(a) When the surviving spouse, a legitimate, recognized natural, or adopted child, or legitimate descendant of any of them, is the beneficiary, one per centum on the inventoried property if not exceeding fifty thousand pesos; one and one-half per centum, upon the inventoried property if it is in excess of fifty thousand pesos and not in excess of two hundred and fifty thousand pesos; two and one-half per centum, upon the inventoried property if it is in excess of two hundred and fifty thousand pesos, and not in excess of five hundred thousand pesos, and four per centum, upon all inventoried property in an amount in excess of five hundred thousand pesos. "(b) When either of the legitimate parents of the deceased, or a legitimate brother or sister of the same, or the father or mother who had recognized him as a natural child, is the beneficiary, there shall be collected the same tax fixed in the paragraph next preceding, with an increase of one hundred per centum. "(c) When other relatives not included in the two next preceding subsections are beneficiaries, there shall be collected the tax fixed in subsection (a) with an increase of two hundred per centum. "(d) When strangers are beneficiaries, there shall be collected the tax fixed in subsection (a) with an increase of three hundred per centum, strangers being deemed, for the purposes of this tax, those who are beyond the sixth degree of relationship by consanguinity in the collateral line and the relatives by affinity, with the exception of the spouse. "In case the property is transmitted to the heirs subject to the usufructuary interest, use or habitation or annuity of a third person, the tax shall be based on the inventoried property less the value of the usufruct, use or habitation or annuity determined as hereinafter provided."