CFR > Title 26 - Internal Revenue > CHAPTER I—INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY > SUBCHAPTER A—INCOME TAX (Parts 1–19) > PART 1—INCOME TAXES > 1.461-6—Economic performance when certain liabilities are assigned or are extinguished by the establishment of a fund.

1.461-6—Economic performance when certain liabilities are assigned or are extinguished by the establishment of a fund.

(a) Qualified assignments of certain personal injury liabilities under In the case of a qualified assignment (within the meaning of section 130(c) ), economic performance occurs as a taxpayer-assignor makes payments that are excludible from the income of the assignee under section 130(a).
(b) . Economic performance occurs as a taxpayer makes qualified payments to a designated settlement fund under section 468B, relating to special rules for designated settlement funds.
(c) Payments to other funds or persons that constitute economic performance. [Reserved]
(d) Effective dates. The rules in paragraph (a) of this section apply to payments after July 18, 1984.

Code of Federal Regulations

[T.D. 8408, 57 FR 12428, Apr. 10, 1992]