qualified prize
(2) Qualified prize option; qualified prize For purposes of this subsection— (A) In general The term “qualified prize option” means an option which— (i) entitles an individual to receive a single cash payment in lieu of receiving a qualified prize (or remaining portion thereof), and (ii) is exercisable not later than 60 days after such individual becomes entitled to the qualified prize. (B) Qualified prize The term “qualified prize” means any prize or award which— (i) is awarded as a part of a contest, lottery, jackpot, game, or other similar arrangement, (ii) does not relate to any past services performed by the recipient and does not require the recipient to perform any substantial future service, and (iii) is payable over a period of at least 10 years.