8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

1/13

OMYUF@BMN S@Q@SJMFMN NJF@FDJ@B \UMCYDST

94

^mbyki 7 Jttyi 4 5

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

2/1393

S`q Dmftipyifdit mn Kmcjnzjfg Uitjcifsj`b Kmusg`gi Bm`ft

jttyic swm ui~ifyi |umdicyuit |um~jcjfg gyjc`fdiuig`ucjfg dmftipyifdit sm sai UIKJDt k`hjfgkmcjffd`sjmft jf |uitdujeic djudykts`fdit&>

Dmfguitt a`t `btm eiif `dsj~i jf du`nsjfg tmby+sjmft sm `bbmw cibjfpyifs emuumwiut sm ts`z jf saijuamkit& Nmu iq`k|bi" bigjtb`sjmf jt eijfg dmftjc+

iuic sa`s wmybc iq|`fc NA@ fff`fdjfg sm `bbmwsumyebic emuumwiut sm uifff`fdi saiju iqjtsjfg bm`ftjfsm gm~iufkifs+gy`u`fsiic bm`ft wjsa bmwiu |ujf+dj|`b `kmyfst&7 Yfciu sajt |um|mt`b" sai iqjtsjfgtifjmu bjif+ambciu wmybc `guii sm uibi`ti jst bjifmf sai uib`sic |um|iusz jf iqda`fgi nmu ` |`zkifsfms iqdiicjfg :< |iudifs mn sai dyuuifs `||u`jtic~`byi mn sai |um|iusz& Sm |um~jci `f jfdifsj~i nmu`f iqjtsjfg tyemucjf`si bjif+ambciu sm uibi`ti jstbjif" ci|ifcjfg mf sai djudykts`fdit" sai emuumwiuwmybc ei uipyjuic sm ta`ui wjsa sai tyemucjf`sicbjif+ambciu tmki mn sai ||uidj`sjmf jf sai ~`byi mn

sai kmusg`gic |um|iusz mu tmki mn sai fis |umdiictuidij~ic numk sai t`bi mu uifff`fdjfg mn sai uib`sic|um|iusz& Nmu cin`ybsic uitjcifsj`b kmusg`gi bm`ft`bui`cz jf sai nmuidbmtyui |umditt" Dmfguitt jt dmf+tjciujfg bigjtb`sjmf sa`s wmybc if`ebi e`fhuy|sdz

oycgit sm kmcjnz sai siukt mn ` kmusg`gi bm`f mfsai ciesmut |ujfdj|`b uitjcifdi fmswjsats`fcjfgdyuuifs |umajejsjmft `g`jfts tyda kmcjffd`sjmftyfciu Da`|siu 04 mn sai E`fhuy|sdz Dmci& Yfciusaiti |um|mt`bt" sai oycgi wmybc gifiu`bbz a`~isai cjtduisjmf sm uicydi sai mysts`fcjfg e`b`fdimn sai kmusg`gi bm`f sm sai dyuuifs n`ju+k`uhis~`byi mn sai |um|iusz mu uicydi sai jfsiuits u`simn sai bm`f&1

@s sai ts`si bi~ib" bigjtb`sjmf a`t eiif |`ttic mu jt|ifcjfg jf ~`ujisz mn ts`sit sa`s jfcydit mu dmk|ibttiu~jdiut sm ui`da mys sm emuumwiut sm fffc w`zt sm`~mjc nmuidbmtyui&: Jf `ccjsjmf" mfi ts`si gm~iufmua`t ifsiuic jfsm fmfejfcjfg `guiikifst wjsa bm`ftiu~jdiut sm jfdui`ti sai tiu~jdiut innmust sm dmfs`ds`s+ujth emuumwiut `fc wmuh mys sumyebic bm`ft&0

S`q Dmftipyifdit mn Kmcjnzjfg Uitjcifsj`b Kmusg`gi Bm`ft

siuj` sm cisiukjfi waisaiu ` bm`f k`z ei kmcjffic&Ez |um~jcjfg tyda dujsiuj`" sai ui~ifyi |umdicyuicidui`tit sai eyucif mf tiu~jdiut jf |umdittjfg` gumwjfg fykeiu mn bm`f kmcjffd`sjmf uipyitsteid`yti sai ts`fc`uct tis nmusa jf sai ui~ifyi |um+dicyui cm fms uipyjui ` bm`f+ez+bm`f `f`bztjt sm

cisiukjfi waisaiu `fz |`usjdyb`u bm`f jt jf cin`ybsmu cin`ybs jt ui`tmf`ebz nmuitii`ebi&Sai JUT |um~jcic `ccjsjmf`b gyjc`fdi uig`ucjfg

bm`f kmcjffd`sjmft jf Ui~& \umd& 5!i*jn `dpyjuic ez ` ui`b its`si jf~itskifs suyts !UIJS*&41Yfciu sai UIJS |um~jtjmft" |um|iusz `dpyjuic y|mfsai cin`ybs mn ` bi`ti mu bm`f cmit fms dmftsjsysinmuidbmtyui |um|iusz jn sai UIJS dpyjuic sai bi`timu bm`f wjsa `f jfsifs sm i~jds mu nmuidbmti mu waifsai XUIJS[ hfiw mu a`c ui`tmf sm hfmw sa`s cin`ybswmybc mddyu&4: Tyda hfmwbicgi jt uiniuuic sm yfciusai UIJS |um~jtjmft t jk|um|iu hfmwbicgi&3< SauiiJUT |uj~`si bissiu uybjfgt `ccuitt waisaiu ` UIKJDa`c jk|um|iu hfmwbicgi wjsa uit|ids sm dius`jfdmkkiudj`b bm`ft aibc ez sai UIKJD&30 I`da uybjfgui`tmft sa`s sai sz|i mn cin`ybs sa`s jt uibi~`fs nmu|yu|mtit mn sai UIJS |um~jtjmft jt sai sz|i mn cin`ybssa`s mucjf`ujbz bi`ct sm nmuidbmtyui&35 Jf bjgas mn sajt

`f`bztjt" UIKJD sa`s jfsifct sm kmcjnz bm`f e`ticmf sai n`ds sa`s sai bm`f jt jf cin`ybs tamybc eidmknmus`ebi sa`s sai bm`f a`t ` |`zkifs ajtsmuz mnsai sz|i sa`s mucjf`ujbz bi`ct sm nmuidbmtyui" `etifsnyusaiu gyjc`fdi numk sai JUT&

Bjhiwjti" mystjci mn sai swm ui~ifyi |umdicyuitcjtdyttic `em~i" sai UIKJD \um~jtjmft cm fms |um+~jci `fz t|idjffd gyjc`fdi `t sm waif cin`ybs ez` emuumwiu yfciu ` kmusg`gi bm`f jt dmftjciuicui`tmf`ebz nmuitii`ebi& @s ` kjfjkyk" amwi~iu"

uj

t

& u

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

5/13

OMYUF@BMN S@Q@SJMFMN NJF@FDJ@B \UMCYDST

97

^mbyki 7 Jttyi 4 5

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

6/1391

S`q Dmftipyifdit mn Kmcjnzjfg Uitjcifsj`b Kmusg`gi Bm`ft

UIKJD& Sm ei dmftjciuic nmuidbmtyui |um|iusz`fc sayt ` |iukjssic jf~itskifs" sai kmcjfficbm`f wmybc fiic sm ei |um|iusz sa`s tidyuic saimujgjf`b bm`f" wajda cmit fms `||i`u sm ei said`ti&3> Nyusaiu" js cmit fms `||i`u sa`s sai kmcjfficbm`f wmybc ffs mfi mn sai uik`jfjfg d`sigmujit mn

|iukjssic jf~itskifst nmu ` UIKJD&37

Sayt" samti`dsjfg mf eia`bn mn ` UIKJD wjbb fiic sm dmftjciuamw sm ci`b wjsa tyda ` kmcjffd`sjmf jn sajt |um+|mt`b `c~`fdit&

Uijtty`fdi mn ` UIKJDtUigyb`u JfsiuitstMfi fff`b w`z jf wajda bm`f kmcjffd`sjmft kjgas`nnids ` tidyujsj`sjmf ~iajdbit ts`syt `t ` UIKJD`ujtit numk sai |msifsj`b `bsiu`sjmf mn sai uigyb`ujfsiuits ambciut ifsjsbikifs sm d`ta stmwt numk saikmusg`gi bm`ft aibc ez sai UIKJD& @t cjtdyttic jf

gui`siu cis`jb eibmw" uigyb`u jfsiuitst jf ` UIKJD`ui sui`sic `t cies jttyic ez sai UIKJD `fc `fzkmcjffd`sjmf mn ` bm`f aibc ez sai UIKJD k`z `n+nids sai uigyb`u jfsiuitst ifsjsbikifs sm d`ta stmwt&Jf Ui~& \umd& 5

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

7/13

OMYUF@BMN S@Q@SJMFMN NJF@FDJ@B \UMCYDST

9:

^mbyki 7 Jttyi 4 5 Jftsi`c" sai jfdmki mn ` UIKJDjt `bbmd`sic sm jst uitjcy`b jfsiuits" `fc sai ambciumn tyda jfsiuits jt uipyjuic sm s`hi jfsm `ddmyfs `fzUIKJD jfdmki mu bmtt waif dmk|ysjfg jst mwf jf+dmki s`q bj`ejbjsz&97 Sai jfdmki mu bmtt mn ` UIKJDjt cisiukjfic ez fissjfg sai jfdmki `ujtjfg numk

i

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

8/13>>!c*&>5 `fc sai g`jf mu bmtt dmk|ys`sjmfuipyjuic ez Dmci Tid& 0> Fijsaiu sai Sui`tyuz fmu sai JUT a`t|um~jcic t|idjffd gyjc`fdi uig`ucjfg amw sm `||bz `|ui|`zkifs tdaiki" bi`~jfg s`q|`ziut sm jfsiu|uis saie`ui emfit tsuydsyui tis nmusa jf sai Dmci fc bjkjsic

cjtdyttjmf jf sai bigjtb`sj~i ajtsmuz& Saiti `ysamujsjitcm fms `ccuitt sai cjnffdybs pyitsjmf mn amw sm jfsi+gu`si ` |ui|`zkifs `ttyk|sjmf" wajda jt kmts i`tjbz`||bjic mf ` |mmb+wjci e`tjt" jfsm d`bdyb`sjmft sa`swmybc gifiu`bbz uipyjui bm`f+ez+bm`f f`bztjt" tyda`t cisiukjfjfg sai s`q e`tjt jf ` |`usjdyb`u bm`f&

@ |ui|`zkifs `ttyk|sjmf" jf jst tjk|bits nmuk" `t+tykit sa`s ` dius`jf |iudifs`gi mn |ujfdj|`b wjbb ei|ui|`jc jf i`da kmfsa& @||bzjfg ` |ui|`zkifs `t+tyk|sjmf sm |`usjdyb`u bm`f" amwi~iu" u`uibz uistidst

"

im

u

t s u

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

9/13

OMYUF@BMN S@Q@SJMFMN NJF@FDJ@B \UMCYDST

>0

^mbyki 7 Jttyi 4 51Saiuinmui" jn js jt `ttykic sa`s tk`bb |ui|`zkifs wjbb

ei uidij~ic mf i`da bm`f i~iuz kmfsa" fc saiti bm`ftjf n`ds ijsaiu |ui|`z jf nybb mu fms `s `bb" `coytskifstkyts ei k`ci sm sai dduy`b mn i`da bm`f mf kmfsabze`tjt sm ddmyfs nmu sai n`ds sa`s sai ui`bjsz mn sai bm`ft|`zkifst cjnniuic numk sai kmusj`sjmf dmfsik|b`sicez sai |ui|`zkifs ttyk|sjmf& @bsamyga ||bzjfg sai|ui|`zkifs ttyk|sjmf jf sajt k`ffiu mf bm`f+ez+bm`f e`tjt" wjsa dmuuit|mfcjfg `coytskifst" `bbmwtnmu ` |uidjti d`bdyb`sjmf mn sai UIKJDt e`tjt jf `fz|`usjdyb`u bm`f" dmk|bzjfg wjsa sajt kisamc k`z eidmtsbz `fc sjki+dmftykjfg nmu sai UIKJD&

Js jt fms dbi`u waisaiu sai UIKJD \um~jtjmft uipyjui

` UIKJD sm cm|s bm`f+ez+bm`f kisamc jf ||bzjfg` |ui|`zkifs `ttyk|sjmf& Sayt" sm `~mjc sai dmk+|biqjsjit `ttmdj`sic wjsa sa`s kisamc" UIKJDt mnsif`gguig`si bb mn saiju bm`ft jfsm tjfgbi k`tt bm`f nmu|yu|mtit mn ||bzjfg sai |ui|`zkifs ttyk|sjmf& Yf+ciu sajt kisamc" sai UIKJD ittifsj`bbz `bbmd`sit `fz|uikjyk mu cjtdmyfs jf |um|musjmf sm sai mysts`fcjfg|ujfdj|`b e`b`fdi mn i`da bm`f" coytsjfg sai kmusj`+sjmf mfbz sm sai iqsifs sa`s sai |mmb jf sai gguig`si jt|`zjfg cmwf n`tsiu mu tbmwiu sa`f ttykic& Sm cisiu+kjfi sai UIKJDt e`tjt jf `fz |`usjdyb`u bm`f yfciusajt kisamc" ` |musjmf mn `fz yf`kmusjic |uikjykmu cjtdmyfs `s sai |mmb bi~ib jt `bbmd`sic sm sa`s bm`fe`tic mf jst mysts`fcjfg |ujfdj|`b e`b`fdi&

Uig`ucbitt mn wajda kisamc jt ytic sm cisiukjfisai UIKJDt e`tjt jf bm`f" sm sai iqsifs sa`s sai bm`fjt aibc s cjtdmyfs !mu |uikjyk*" fz tjgfjffd`fskmcjffd`sjmf mn sai bm`f yfciu Dmci Tid& 0

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

10/13>5

S`q Dmftipyifdit mn Kmcjnzjfg Uitjcifsj`b Kmusg`gi Bm`ft

Iq`k|bi

Sai iq`k|bi eibmw" `ckjssicbz ~iuz tjk|bi" cikmftsu`sit sa`s bmttit ui`bjic mf kmusg`gi bm`ft sa`suitybs jf uicydsjmft mn kmui tyemucjf`sic db`ttit a`~i sai t`ki dmftipyifdi `t |`zjfg cmwf samtidb`ttit `t n`u `t sai UIKJD uitjcy`b ambciu jt dmfdiufic& @ttykjfg samti db`ttit `ui ajgaiu zjibcjfg

db`ttit" |yssjfg `tjci waisaiu saiui k`z ei msaiu sjkjfg dmftipyifdit nyusaiu uicydjfg ` UIKJDtjfdmki" sai sifcifdz jt nmu sai bmttit sm uicydi sai etmbysi kmyfs mn |a`fsmk jfdmki sm sai UIKJD`fc tamusif sai |iujmc sa`s sai UIKJD |umcydit |a`fsmk jfdmki !`fc jf tmki d`tit" |msifsj`bbz d`yt+jfg sai UIKJD sm ui`bji bmttit einmui jfdmki*&

@ttyki sa`s ` UIKJD ambct swm kmusg`gi bm`ft" i`da wjsa ` |ujfdj|`b e`b`fdi mn #0

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

11/13

OMYUF@BMN S@Q@SJMFMN NJF@FDJ@B \UMCYDST

>4

^mbyki 7 Jttyi 4 5

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

12/13>3

S`q Dmftipyifdit mn Kmcjnzjfg Uitjcifsj`b Kmusg`gi Bm`ft

E`fhiut mn @kiujd` @ffy`b Dmf~ifsjmf" jfMub`fcm" NB !K`u& 3" 5+>!e*!4*&3< Jc&30 BSU :7504: YT >75" >1>8 tii btm Umw`f Dmt&" Jfd&"TDs" 10+0 YTSD :37:" 395 YT 537" 5>0" `sfmsi 07" 04!e*!4* mn sai uigyb`+sjmft jt sai sz|i mn cin`ybs sa`s mucjf`ujbzbi`ct sm nmuidbmtyui&*

34 TiiAmki Mwfiutaj| \uitiu~`sjmf Bm`ft"`~`jb`ebi swww&ncjd&gm~-dmftykiut-bm`ft-am|-" b`ts ~jtjsic Oyfi >" 5

8/8/2019 Tax Consequences for REMIC and REMIC Investors-for loan mods

13/13

OMYUF@BMN S@Q@SJMFMN NJF@FDJ@B \UMCYDST

>9

^mbyki 7 Jttyi 4 5> !|iua`|t waif js w`t dbi`u sai uik`jfjfg|`zkifst mf sai JMissi wmybc fms iqdiic sais`q|`ziut coytsic e`tjt jf sai JMissi*" uitybs+

jfg jf f mucjf`uz bmtt&99 Jf @ffmyfdikifs 5