(iii) Amounts under pre-1982 and qualified plan contracts, etc., excluded Such term shall not include amounts received— (I) under a contract which is described in paragraph (5)(B) or (5)(D), or (II) under a qualified tuition program (as defined in section 529(b)) or under a Coverdell education savings account (as defined in section 530(b)). (C) Applicable private placement life insurance or annuity contract For purposes of this paragraph— (i) In general The term applicable private placement life insurance or annuity contract means a private placement life insurance or annuity contract the holder of which (whether directly or indirectly) is an applicable taxpayer. (ii) Secretarial authority The Secretary shall prescribe regulations or other guidance which treat a private placement life insurance or annuity contract as an applicable private placement life insurance or annuity contract in cases where an applicable taxpayer (or a related person) has an interest in such contract not described in clause (i) if such treatment is necessary to prevent the avoidance of the purposes of this paragraph. (D) Private placement life insurance or annuity contract For purposes of this paragraph, the term private placement life insurance or annuity contract means any contract— (i) which is an annuity contract or a life insurance contract, and (ii) with respect to which the holder of the contract is required, for purposes of obtaining a registration exemption under securities laws as in effect on the date of enactment of this section (including the Securities Exchange Act of 1934 and the Investment Advisors Act of 1940), to make a representation that such owner— (I) has a specified minimum amount of income or assets, (II) has completed a specified minimum level of education, or (III) holds a specific license or credential. (E) Applicable taxpayer For purposes of this paragraph, the term applicable taxpayer has the meaning given such term under section 495. . (2) Conforming amendment Section 72(e)(5)(C) is amended by inserting or