### Question
How is the term disqualified holder defined?


### Answer
The term **disqualified holder** is defined in *26 U.S.C. § 860K* as the following:

> any holder other than—


(1) an eligible corporation (as defined in section 860L(a)(2)), or


(2) a FASIT

#### Citation:
  - *26 U.S.C. § 860K*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter M-Regulated Investment Companies and Real Estate Investment Trusts > PART V-FINANCIAL ASSET SECURITIZATION INVESTMENT TRUSTS**

