### Question
How is the "qualified payment" defined?


### Answer
The term **qualified payment** is defined in *26 U.S.C. § 468B* as follows -

> any money or property which is transferred to any designated settlement fund pursuant to a court order, other than—


(A) any amount which may be transferred from the fund to the taxpayer (or any related person), or


(B) the transfer of any stock or indebtedness of the taxpayer (or any related person)

#### Citation:
  - *26 U.S.C. § 468B*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter E-Accounting Periods and Methods of Accounting > PART II-METHODS OF ACCOUNTING > Subpart C-Taxable Year for Which Deductions Taken**

