Qualified Settlement Fund Law and Legal Definition
A qualified settlement fund (QSF) is defined under 26 U.S.C. 468B, as a fund, account or trust that meets all three of the following criteria:
a) Established pursuant to an order of a governmental authority and subject to continuing jurisdiction of that authority;
b) Established to resolve any and all claims resulting from an event (or related events) that gave rise to the claim(s); and
c) Defined as a trust under applicable state law or the assets of the fund are segregated from the other assets of the transferor/ defendant.
QSFs are subject to tax at the same rate as the maximum allow-able tax for trusts.The Settlement Fund Administrator pays taxes quarterly and files the annual income tax return for the fund.
Legal Definition list
- Qualified Section 501[c] [3] Bond
- Qualified Retirement Planning Services
- Qualified Retirement Plan
- Qualified Resident
- Qualified Replacement Mortgage
- Qualified Settlement Fund
- Qualified Small Business
- Qualified Small Issue Bond
- Qualified Social Worker
- Qualified Special Disabled Veteran
- Qualified Speech-Language Pathologist
Related Legal Terms
- 107th Meridian Escrow Fund
- Additional Funds Needed [AFN]
- Administrative Settlement Costs
- Administrative Subdivision of Funds
- Administrative Takedown Funds [Transportation]
- Advance Refunding Offer
- Alaska Native Claims Settlement Act
- Alternate Payee to Qualified Domestic Relations Order
- Angel Funding
- Animal Legal Defense Fund
