2015 Form 1120-REIT - IRS.gov - irs-2025

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Qualified REIT dividends from a fund are reported in Box 5, Section 199A dividends, of your Form 1099‑DIV.
If you own shares in a REIT, you should receive a copy of IRS Form 1099-DIV each year. This tells you how much you received in dividends and what kind of dividends they were: ordinary income dividends are reported in Box 1. qualified dividends in Box 1b.
REIT Distributions The distribution of income from a REIT (a REIT dividend) is taxed as ordinary income if its held in a taxable account. Unlike regular corporate stock, REIT dividends do not qualify for preferential tax treatment (which means in the top tax bracket, theyre taxed at 37%).
Use Form 1120-REIT, U.S. Income Tax Return for Real Estate Investment Trusts, to report the income, gains, losses, deductions, credits, certain penalties; and to figure the income tax liability of a REIT.
0:37 2:29 These forms report each partners share of the income deductions and credits from the partnership.MoreThese forms report each partners share of the income deductions and credits from the partnership. Nites however do not issue K1 forms. Instead they issue 1,99 divv forms to their investors.
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Overview. A REIT is taxable as a regular corporation, but is entitled to the dividends paid deduction. Therefore, a REIT does not pay federal income tax on net taxable income distributed as deductible dividends to shareholders. Net income from foreclosure property is taxed at 35 percent.
Tax benefits of REITs Current federal tax provisions allow for a 20% deduction on pass-through income through the end of 2025. Individual REIT shareholders can deduct 20% of the taxable REIT dividend income they receive (but not for dividends that qualify for the capital gains rates).

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