Page:United States Statutes at Large Volume 122.djvu/1651

 12 2 STA T . 1 6 2 8PUBLIC LA W 11 0– 2 45—J U NE 1 7, 2008 (i i )CONDIT ION S.—Th i spar a g raph sha l l not appl y toanya me n d ment u nless— ( I ) the plan or c ontract is operated as i f such plan or contract amendment w ere in effect for the period descri b ed in clause (iii) , and (II) such plan or contract amendment applies retroacti v ely for such period. (iii) PER IOD DES C RI B ED.—The period described in this clause is the period— (I) beginning on the effective date specified by the plan, and (II) ending on the date described in clause (i)(II) (or, if earlier, the date the plan or contract amendment is adopted). SEC.105 . TR E A T M E N T OFDI FFERENTIA L MILITAR YP AY AS W A G ES. (a) INCO M ET AXW IT H HO L DIN G ON D I F FERENTIAL WAGE PA Y- MENTS.— ( 1 ) IN GENERAL.— S ection 340 1 (relating to definitions) is amended by adding at the end the following new subsection

‘(h) DIFFERENTIAL WAGE PAYMENTS TO A CTI V ED U TY M EMBERS OF THE U NIFORMED SERVICES.— ‘‘(1) IN GENERAL.— F or purposes of subsection (a), any dif- ferential wage payment shall be treated as a payment of wages by the employer to the employee. ‘‘( 2 ) DIFFERENTIAL W AGE P AYMENT.—For purposes of para- graph (1), the term ‘differential wage payment ’ means any payment which— ‘‘(A) is made by an employer to an individual with respect to any period during which the individual is per- forming service in the uniformed services (as defined in chapter 43 of title 3 8, United States Code) while on active duty for a period of more than 30 days, and ‘‘( B ) represents all or a portion of the wages the indi- vidual would have received from the employer if the indi- vidual were performing service for the employer.’’. (2) E FFECTIVE DATE.—The amendment made by this sub- section shall apply to remuneration paid after December 31, 2008. (b) TREATMENT OF DIFFERENTIAL WAGE PAYMENTS FOR R ETIRE- MENT PLAN PURPOSES.— (1) PENSION PLANS.— (A) IN GENERAL.—Section 414(u) (relating to special rules relating to veterans’ reemployment rights under USERRA), as amended by section 103(b), is amended by adding at the end the following new paragraph: ‘‘(12) TREATMENT OF DIFFERENTIAL WAGE PAYMENTS.— ‘‘(A) IN GENERAL.—E x cept as provided in this para- graph, for purposes of applying this title to a retirement plan to which this subsection applies— ‘‘(i) an individual receiving a differential wage pay- ment shall be treated as an employee of the employer ma k ing the payment, ‘‘(ii) the differential wage payment shall be treated as compensation, and ‘‘(iii) the plan shall not be treated as failing to meet the re q uirements of any provision described in 26USC3401note. 26 USC 3401.

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