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How REITs (and You) Are Taxed

REITs get a nice tax advantage, but that doesn’t mean they aren’t complicated.

[Updated: Feb 04, 2021 ] Aug 13, 2019 by Matt Frankel, CFP

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types of REIT distributions

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Classification Amount % of Total
Ordinary dividend $2.198784 63.2%
Long-term capital gains $1.115292 32.0%
Return of capital $0.165924 4.8%
Total distribution $3.480000 100%

Data source: Welltower.

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