Page:United States Statutes at Large Volume 115 Part 3.djvu/362

 115 STAT. 2436 PUBLIC LAW 107-134—JAN. 23, 2002 "(3) AIRLINE-RELATED DEPOSIT.— For purposes of this subsection, the term 'airline-related deposit' means any deposit of taxes imposed by subchapter C of chapter 33 of such Code (relating to transportation by air).". 49 USC 40101 (b) EFFECTIVE DATE. —The amendment made by this section °ote. shall take effect as if included in section 301 of the Air Transportation Safety and System Stabilization Act (Public Law 107-42). SEC. 115. TREATMENT OF CERTAIN STRUCTURED SETTLEMENT PAY- MENTS. (a) IN GENERAL. —Subtitle E is amended by adding at the end the following new chapter: "CHAPTER 55—STRUCTURED SETTLEMENT FACTORING TRANSACTIONS "Sec. 5891. Structured settlement factoring transactions. "SEC. 5891. STRUCTURED SETTLEMENT FACTORING TRANSACTIONS. "(a) IMPOSITION OF TAX. —There is hereby imposed on any person who acquires directly or indirectly structured settlement pay- ment rights in a structured settlement factoring transaction a tax equal to 40 percent of the factoring discount as determined under subsection (c)(4) with respect to such factoring transaction. "(b) EXCEPTION FOR CERTAIN APPROVED TRANSACTIONS.— "(1) IN GENERAL.—The tax under subsection (a) shall not apply in the case of a structured settlement factoring transaction in which the transfer of structured settlement payment rights is approved in advance in a qualified order. "(2) QUALIFIED ORDER.— For purposes of this section, the term 'qualified order' means a final order, judgment, or decree which— "(A) finds that the transfer described in paragraph (1)- "(i) does not contravene any Federal or State statute or the order of any court or responsible administrative authority, and "(ii) is in the best interest of the payee, taking into account the welfare and support of the payee's dependents, and "(B) is issued— "(i) under the authority of an applicable State statute by an applicable State court, or "(ii) by the responsible administrative authority (if any) which has exclusive jurisdiction over the underlying action or proceeding which was resolved by means of the structured settlement. "(3) APPLICABLE STATE STATUTE.— For purposes of this section, the term 'applicable State statute' means a statute providing for the entry of an order, judgment, or decree described in paragraph (2)(A) which is enacted by— "(A) the State in which the payee of the structured settlement is domiciled, or "(B) if there is no statute described in subparagraph (A), the State in which either the party to the structured settlement (including an assignee under a qualified assignment under section 130) or the person issuing the funding

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