mortgage
(11) A mortgage is an obligation that is principally secured by an interest in real property within the meaning of 1.860G-2(a)(5), except that a mortgage does not include an interest in another WHFIT or mortgages held by another WHFIT. (12) A non-mortgage widely held fixed investment trust (NMWHFIT) is a WHFIT other than a widely held mortgage trust (as defined in paragraph (b)(23) of this section). (13) A non pro-rata partial principal payment is any partial payment of principal received on a debt instrument which does not retire the debt instrument and which is not a pro-rata prepayment described in 1.1275-2(f)(2). (14) The redemption asset proceeds equal the redemption proceeds (as defined in paragraph (b)(15) of this section) less the cash held for distribution with respect to the redeemed trust interest. (15) The redemption proceeds equal the total amount paid to a redeeming TIH as the result of a redemption of a trust interest. (16) A requesting person is (i) A middleman; (ii) A beneficial owner who is a broker; (iii) A beneficial owner who is an exempt recipient who holds a trust interest directly and not through a middleman; (iv) A noncalendar-year beneficial owner who holds a trust interest directly and not through a middleman; or (v) A representative or agent of a person specified in this paragraph (b)(16). (17) The sales asset proceeds equal the sales proceeds (as defined in paragraph (b)(18) of this section) less the cash held for distribution with respect to the sold trust interest at the time of the sale. (18) The sales proceeds equal the total amount paid to a selling TIH in consideration for the sale of a trust interest. (19) The start-up date is the date on which substantially all of the assets have been deposited with the trustee of the WHFIT. (20) A trust interest holder (TIH) is any person who holds a direct or indirect interest, including a beneficial interest, in a WHFIT at any time during the calendar year. (21) Trust sales proceeds equal the amount paid to a WHFIT for the sale or disposition of an asset held by the WHFIT, including principal payments received by the WHFIT that completely retire a debt instrument (other than a final scheduled principal payment) and pro-rata partial principal prepayments described under 1.1275-2(f)(2). Trust sales proceeds do not include amounts paid for any interest income that would be required to be reported under 1.6045-1(d)(3). Trust sales proceeds also do not include amounts paid to a NMWHFIT as the result of pro-rata sales of trust assets to effect a redemption described in paragraph (c)(2)(iv)(G) of this section or the value of assets received as a result of a tax-free corporate reorganization as described in paragraph (c)(2)(iv)(H) of this section. (22) A widely held fixed investment trust (WHFIT) is an arrangement classified as a trust under 301.7701-4(c) of this chapter, provided that (i) The trust is a United States person under section 7701(a)(30)(E); (ii) The beneficial owners of the trust are treated as owners under subpart E, part I, subchapter J, chapter 1 of the Internal Revenue Code; and (iii) At least one interest in the trust is held by a middleman. (23) A widely held mortgage trust (WHMT) is a WHFIT, the assets of which consist only of one or more of the following (i) Mortgages; (ii) Regular interests in a REMIC; (iii) Interests in another WHMT; (iv) Reasonably required reserve funds; (v) Amounts received on the assets described in paragraphs (b)(23)(i), (ii), (iii), and (iv) of this section pending distribution to TIHs; and (vi) During a brief initial funding period, cash and short-term contracts for the purchase of the assets described in paragraphs (b)(23)(i), (ii), and (iii).