26 U.S. Code § 860D - REMIC defined

(a) General rule
For purposes of this title, the terms “real estate mortgage investment conduit” and “REMIC” mean any entity—
(1) to which an election to be treated as a REMIC applies for the taxable year and all prior taxable years,
(2) all of the interests in which are regular interests or residual interests,
(3) which has 1 (and only 1) class of residual interests (and all distributions, if any, with respect to such interests are pro rata),
(4) as of the close of the 3rd month beginning after the startup day and at all times thereafter, substantially all of the assets of which consist of qualified mortgages and permitted investments,
(5) which has a taxable year which is a calendar year, and
(6) with respect to which there are reasonable arrangements designed to ensure that—
(A) residual interests in such entity are not held by disqualified organizations (as defined in section 860E (e)(5)), and
(B) information necessary for the application of section 860E (e) will be made available by the entity.
In the case of a qualified liquidation (as defined in section 860F (a)(4)(A)), paragraph (4) shall not apply during the liquidation period (as defined in section 860F (a)(4)(B)).
(b) Election
(1) In general
An entity (otherwise meeting the requirements of subsection (a)) may elect to be treated as a REMIC for its 1st taxable year. Such an election shall be made on its return for such 1st taxable year. Except as provided in paragraph (2), such an election shall apply to the taxable year for which made and all subsequent taxable years.
(2) Termination
(A) In general
If any entity ceases to be a REMIC at any time during the taxable year, such entity shall not be treated as a REMIC for such taxable year or any succeeding taxable year.
(B) Inadvertent terminations
If—
(i) an entity ceases to be a REMIC,
(ii) the Secretary determines that such cessation was inadvertent,
(iii) no later than a reasonable time after the discovery of the event resulting in such cessation, steps are taken so that such entity is once more a REMIC, and
(iv) such entity, and each person holding an interest in such entity at any time during the period specified pursuant to this subsection, agrees to make such adjustments (consistent with the treatment of such entity as a REMIC or a C corporation) as may be required by the Secretary with respect to such period,
then, notwithstanding such terminating event, such entity shall be treated as continuing to be a REMIC (or such cessation shall be disregarded for purposes of subparagraph (A)) whichever the Secretary determines to be appropriate.

Source

(Added Pub. L. 99–514, title VI, § 671(a),Oct. 22, 1986, 100 Stat. 2311; amended Pub. L. 100–647, title I, § 1006(t)(2)(A), (16)(A), (19),Nov. 10, 1988, 102 Stat. 3419, 3423, 3426; Pub. L. 101–508, title XI, § 11704(a)(8),Nov. 5, 1990, 104 Stat. 1388–518.)
Amendments

1990—Subsec. (a). Pub. L. 101–508inserted closing parenthesis before period at end.
1988—Subsec. (a). Pub. L. 100–647, § 1006(t)(19), inserted at end “In the case of a qualified liquidation (as defined in section 860F (a)(4)(A)), paragraph (4) shall not apply during the liquidation period (as defined in section 860F (a)(4)(B).”
Subsec. (a)(4). Pub. L. 100–647, § 1006(t)(2)(A)(i), substituted “3rd month beginning after” for “4th month ending after”.
Pub. L. 100–647, § 1006(t)(2)(A)(ii), substituted “and at all times thereafter” for “and each quarter ending thereafter”.
Subsec. (a)(6). Pub. L. 100–647, § 1006(t)(16)(A), added par. (6).
Effective Date of 1988 Amendment

Pub. L. 100–647, title I, § 1006(t)(2)(B),Nov. 10, 1988, 102 Stat. 3419, provided that: “The amendment made by subparagraph (A)(ii) [amending this section] shall take effect on January 1, 1988.”
Pub. L. 100–647, title I, § 1006(t)(16)(D)(i),Nov. 10, 1988, 102 Stat. 3425, provided that: “The amendments made by subparagraph (A) [amending this section] shall apply in the case of any REMIC where the start-up day (as defined in section 860G(a)(9) of the 1986 Code, as in effect on the day before the date of the enactment of this Act [Nov. 10, 1988]) is after March 31, 1988; except that such amendments shall not apply in the case of a REMIC formed pursuant to a binding written contract in effect on such date.”
Amendment by section 1006(t)(2)(A)(i), (19) ofPub. L. 100–647effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99–514, to which such amendment relates, see section 1019(a) ofPub. L. 100–647, set out as a note under section 1 of this title.

Written determinations for this section

These documents, sometimes referred to as "Private Letter Rulings", are taken from the IRS Written Determinations page; the IRS also publishes a fuller explanation of what they are and what they mean. The collection is updated (at our end) daily. It appears that the IRS updates their listing every Friday.

Note that the IRS often titles documents in a very plain-vanilla, duplicative way. Do not assume that identically-titled documents are the same, or that a later document supersedes another with the same title. That is unlikely to be the case.

Release dates appear exactly as we get them from the IRS. Some are clearly wrong, but we have made no attempt to correct them, as we have no way guess correctly in all cases, and do not wish to add to the confusion.

We truncate results at 20000 items. After that, you're on your own.

 

LII has no control over and does not endorse any external Internet site that contains links to or references LII.