Getting the REIT tax treatment may get harder

REIT2By Robbie Whelan | The Wall Street Journal

CBS Corp. last year said it would spin off its billboard business and apply to convert the company to a REIT. Getty Images

A plan to overhaul the U.S. tax code being floated by Republicans in Congress is rattling the real-estate world because it would limit the type of companies that qualify to become real-estate investment trusts.

Since they were established in 1960, REITs have received favorable tax treatment. They pay no corporate income tax as long as they earn the bulk of their profits from rent and distribute at least 90% of their income to shareholders as dividend payments. Congress created REITs as a way of giving small investors access to the commercial real-estate market and helping landlords diversify their investor base.

Continued:

Related: Fannie-Freddie Endgame Takes Shape

Share this!

Additional Articles

Get Our Twice Weekly Newsletter!

* indicates required

Rose Law Group pc values “outrageous client service.” We pride ourselves on hyper-responsiveness to our clients’ needs and an extraordinary record of success in achieving our clients’ goals. We know we get results and our list of outstanding clients speaks to the quality of our work.

News Categories

City seeks developers for south Phoenix property

By Audrey Jensen | Phoenix Business Journal The city of Phoenix seeks developers for south Phoenix property. Phoenix is moving forward with a request for proposals for a city-owned, vacant lot on the south side of the city that has a long history.  The economic

Read More »