Income Taxation of REITs.
Section 10
SEC. 10. Income Taxation of REITs. — A REIT shall be subject to income tax under Chapter IV, Title II of the National Internal Revenue Code of 1997, as amended, on its taxable net income as defined in this Act: Provided, That in no case shall a REIT be subject to the minimum corporate income tax, as provided under Section 27(E) and Section 28(A)(2) of the same Code: Provided, further, That for purposes of computing the taxable net income of a REIT, dividends distributed by a REIT from its distributable income after the close of a taxable year and on or before the last day of the fifth (5th) month following the close of the taxable year shall be considered as paid on the last day of such taxable year. A REIT shall be subject to the income tax on its taxable net income as defined in Chapter V, Title II of the National Internal Revenue Code of 1997, as amended, instead of its taxable net income as defined in this Act, upon the occurrence of any of the following events subject to such curing period as may be prescribed in the IRR of this Act: Failure to maintain its status as a public company as defined in Section 8.1 of this Act; Failure to maintain the listed status of the investor securities on the Exchange and the registration of the investor securities by the Commission; and/or Failure to distribute at least ninety percent (90%) of its distributable income required under Section 7 of this Act.