Internal Revenue Code:Sec. 9705. Transfers

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Location in Internal Revenue Code

     TITLE 26 - INTERNAL REVENUE CODE
      Subtitle J - Coal Industry Health Benefits
       CHAPTER 99 - COAL INDUSTRY HEALTH BENEFITS
        Subchapter B - Combined Benefit Fund
         PART II - FINANCING
       

Statute

    Sec. 9705. Transfers
 
    (a) Transfer of assets from 1950 UMWA Pension Plan
      (1) In general
        From the funds reserved under paragraph (2), the board of
      trustees of the 1950 UMWA Pension Plan shall transfer to the
      Combined Fund -
          (A) $70,000,000 on February 1, 1993,
          (B) $70,000,000 on October 1, 1993, and
          (C) $70,000,000 on October 1, 1994.
      (2) Reservation
        Immediately upon the enactment date, the board of trustees of
      the 1950 UMWA Pension Plan shall segregate $210,000,000 from the
      general assets of the plan.  Such funds shall be held in the plan
      until disbursed pursuant to paragraph (1). Any interest on such
      funds shall be deposited into the general assets of the 1950 UMWA
      Pension Plan.
      (3) Use of funds
        Amounts transferred to the Combined Fund under paragraph (1)
      shall -
          (A) in the case of the transfer on February 1, 1993, be used
        to proportionately reduce the premium of each assigned operator
        under section 9704(a) for the plan year of the Fund beginning
        February 1, 1993, and
          (B) in the case of any other such transfer, be used to
        proportionately reduce the unassigned beneficiary premium under
        section 9704(a)(3) and the death benefit premium under section
        9704(a)(2) of each assigned operator for the plan year in which
        transferred and for any subsequent plan year in which such
        funds remain available.
      Such funds may not be used to pay any amounts required to be paid
      by the 1988 agreement operators under section 9704(i)(1)(B).
      (4) Tax treatment; validity of transfer
        (A) No deduction
          No deduction shall be allowed under this title with respect
        to any transfer pursuant to paragraph (1), but such transfer
        shall not adversely affect the deductibility (under applicable
        provisions of this title) of contributions previously made by
        employers, or amounts hereafter contributed by employers, to
        the 1950 UMWA Pension Plan, the 1950 UMWA Benefit Plan, the
        1974 UMWA Pension Plan, the 1974 UMWA Benefit Plan, the 1992
        UMWA Benefit Plan, or the Combined Fund.
        (B) Other tax provisions
          Any transfer pursuant to paragraph (1) -
            (i) shall not be treated as an employer reversion from a
          qualified plan for purposes of section 4980, and
            (ii) shall not be includible in the gross income of any
          employer maintaining the 1950 UMWA Pension Plan.
      (5) Treatment of transfer
        Any transfer pursuant to paragraph (1) shall not be deemed to
      violate, or to be prohibited by, any provision of law, or to
      cause the settlors, joint board of trustees, employers or any
      related person to incur or be subject to liability, taxes, fines,
      or penalties of any kind whatsoever.
    (b) Transfers
      (1) In general
        The Combined Fund shall include any amount transferred to the
      Fund under subsections (h) and (i) of section 402 of the Surface 
      Mining Control and Reclamation Act of 1977 (30 U.S.C. 1232(h)).
      (2) Use of funds.--Any amount transferred under paragraph 
        (1) for any fiscal year shall be used to pay benefits and 
      administrative costs of beneficiaries of the Combined Fund or 
      for such other purposes as are specifically provided in the Acts 
      described in paragraph (1).
 

Sources

    (Added Pub. L. 102-486, title XIX, Sec. 19143(a), Oct. 24, 1992,
    106 Stat. 3046.)
 

Miscellaneous

                                 AMENDMENTS

2006 - Tax Relief and Health Care Act of 2006 (P.L. 109-432)
SEC. 212. TRANSFERS TO FUNDS; PREMIUM RELIEF.
    (a) Combined Fund.--
            (1) Federal transfers.--Section 9705(b) of the Internal 
        Revenue Code of 1986 (relating to transfers from Abandoned Mine 
        Reclamation Fund) is amended--
                    (A) in paragraph (1), by striking ``section 402(h)'' 
                and inserting ``subsections (h) and (i) of section 
                402'';
                    (B) by striking paragraph (2) and inserting the 
                following new paragraph:
            ``(2) Use of funds.--Any amount transferred under paragraph 
        (1) for any fiscal year shall be used to pay benefits and 
        administrative costs of beneficiaries of the Combined Fund or 
        for such other purposes as are specifically provided in the Acts 
        described in paragraph (1).''; and
                    (C) by striking ``From Abandoned Mine Reclamation 
                Fund'' in the heading thereof.
  

References

                   SECTION REFERRED TO IN OTHER SECTIONS
      This section is referred to in sections 9703, 9704 of this title.