Recovery Act for Mortgages and Other Asset-Backed Securities

Recovery Act for Mortgage and Other Asset-Backed Securities - Amends the Internal Revenue Code to provide that arrangements for the issuance of "pass-through securities" (i.e., mortgage backed securities) in one or more classes shall be taxed as grantor trusts and not as corporations. Requires that the interests in the financial instruments represented by the pass-through securities be established prior to the initial issuance of the pass-through securities and, pursuant to the terms of the pass-through securities, such interests may not be changed. Requires that the pool of assets in which the holders of pass-through securities own an interest must be fixed prior to the date of the first payment to security holders, except for a certain two-year period. Sets forth various definitions.