Sep 11, 2024 · A corporation (other than a REIT (Real Estate Investment Trust) or an ineligible corporation) and a REIT use this form to jointly elect to have the corporation treated as a taxable REIT subsidiary under section 856 (l).

A corporation (other than a REIT or an ineligible corporation) and a REIT use Form 8875 to jointly elect to have the corporation treated as a taxable REIT subsidiary (TRS) under section 856(l). The corporation and the REIT can make this election if the REIT directly or indirectly owns stock in …

Jan 29, 2025 · Form 8875 is required for entities electing to be treated as a REIT or a Qualified REIT Subsidiary (QRS) under the Internal Revenue Code. This election provides tax advantages, such as avoiding double taxation on income.

Sep 11, 2024 · To make a TRS election, a REIT and a corporation that is either partially or wholly owned by the REIT, file a joint election via Form 8875. The effective date of the election cannot be more than 2 months and 15 days before the election is filed or more than 12 months after the date the election is filed.

Nov 11, 2019 · If a REIT acquires more than 35% of another corporation (by vote or stock value), the IRS will consider the target corporation to be a TRS, although the REIT must update its Form 8875 filing. A TRS cannot revoke election unless both parties complete a new filing of Form 8875.

Feb 20, 2001 · The Service has announced (Ann. 2001-17) that new Form 8875, "Taxable REIT Subsidiary Election," is available for tax years beginning after 2000. An eligible corporation and REIT use the form to jointly elect to have the corporation treated as a taxable REIT subsidiary.

May 25, 2023 · According to the Announcement, this Form is to be used for taxable years beginning after 2000 for eligible entities to elect treatment as a TRS. The instructions to Form 8875 provide that the subsidiary and the REIT can make the …

To make a TRS election, the REIT and corporation must jointly file IRS Form 8875. The effective date of the election must occur within a specific time window: no more than 45 days before the filing, and no more than 12 months after the filing.

For tax years beginning after July 30, 2008, a corporation is eligible to be treated as a taxable REIT subsidiary when providing rights to operate a health care facility if certain conditions are met. See Purpose of Form for more information.

Purpose of Form. A corporation (other than a REIT or an ineligible corporation) and a REIT use Form 8875 to jointly elect to have the corporation treated as a taxable REIT subsidiary (TRS) under section 856(l). The corporation and the REIT can make this election if the REIT directly or indirectly owns stock in the corporation.