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139 STAT. 286 PUBLIC LAW 119–21—JULY 4, 2025 ‘‘(A) which is described in subparagraphs (A) through (H) of section 5312(a)(2) of title 31, United States Code, and ‘‘(B) that is subject to the requirements under sub- chapter II of chapter 53 of such title, or ‘‘(2) funded with a debit card or a credit card which is issued in the United States. ‘‘(e) DEFINITIONS.—For purposes of this section— ‘‘(1) IN GENERAL.—The terms ‘remittance transfer’, ‘remit- tance transfer provider’, and ‘sender’ shall each have the respec- tive meanings given such terms by section 919(g) of the Elec- tronic Fund Transfer Act (15 U.S.C. 1693o–1(g)). ‘‘(2) CREDIT CARD.—The term ‘credit card’ has the same meaning given such term under section 920(c)(3) of the Elec- tronic Fund Transfer Act (15 U.S.C. 1693o–2(c)(3)). ‘‘(3) DEBIT CARD.—The term ‘debit card’ has the same meaning given such term under section 920(c)(2) of the Elec- tronic Fund Transfer Act (15 U.S.C. 1693o–2(c)(2)), without regard to subparagraph (B) of such section. ‘‘(f) APPLICATION OF ANTI-CONDUIT RULES.—For purposes of section 7701(l), with respect to any multiple-party arrangements involving the sender, a remittance transfer shall be treated as a financing transaction.’’. (b) CONFORMING AMENDMENT.—The table of subchapters for chapter 36 is amended by inserting after the item relating to subchapter B the following new item: ‘‘SUBCHAPTER C—REMITTANCE TRANSFERS’’. (c) EFFECTIVE DATE.—The amendments made by this section shall apply to transfers made after December 31, 2025. SEC. 70605. ENFORCEMENT PROVISIONS WITH RESPECT TO COVID- RELATED EMPLOYEE RETENTION CREDITS. (a) ASSESSABLE PENALTY FOR FAILURE TO COMPLY WITH DUE DILIGENCE REQUIREMENTS.— (1) IN GENERAL.—Any COVID–ERTC promoter which pro- vides aid, assistance, or advice with respect to any COVID– ERTC document and which fails to comply with due diligence requirements imposed by the Secretary with respect to deter- mining eligibility for, or the amount of, any credit or advance payment of a credit under section 3134 of the Internal Revenue Code of 1986, shall pay a penalty of $1,000 for each such failure. (2) DUE DILIGENCE REQUIREMENTS.—The due diligence requirements referred to in paragraph (1) shall be similar to the due diligence requirements imposed under section 6695(g) of the Internal Revenue Code of 1986. (3) RESTRICTION TO DOCUMENTS USED IN CONNECTION WITH RETURNS OR CLAIMS FOR REFUND.—Paragraph (1) shall not apply with respect to any COVID–ERTC document unless such document constitutes, or relates to, a return or claim for refund. (4) TREATMENT AS ASSESSABLE PENALTY, ETC.—For purposes of the Internal Revenue Code of 1986, the penalty imposed under paragraph (1) shall be treated as a penalty which is imposed under section 6695(g) of such Code and assessed under section 6201 of such Code. Definitions. 26 USC 3134 note. 26 USC 4475. 26 USC prec. 4461.