Last updated on Apr 30, 2026
Get the free IRS Form 8875 Taxable REIT Subsidiary Election
We are not affiliated with any brand or entity on this form
Fill out
Complete the form online in a simple drag-and-drop editor.
eSign
Add your legally binding signature or send the form for signing.
Share
Share the form via a link, letting anyone fill it out from any device.
Export
Download, print, email, or move the form to your cloud storage.
Why pdfFiller is the best tool for your documents and forms
End-to-end document management
From editing and signing to collaboration and tracking, pdfFiller has everything you need to get your documents done quickly and efficiently.
Accessible from anywhere
pdfFiller is fully cloud-based. This means you can edit, sign, and share documents from anywhere using your computer, smartphone, or tablet.
Secure and compliant
pdfFiller lets you securely manage documents following global laws like ESIGN, CCPA, and GDPR. It's also HIPAA and SOC 2 compliant.
What is REIT Subsidiary Election
The IRS Form 8875 Taxable REIT Subsidiary Election is a tax document used by corporations and Real Estate Investment Trusts (REITs) to elect treatment as a taxable REIT subsidiary.
pdfFiller scores top ratings on review platforms
Who needs REIT Subsidiary Election?
Explore how professionals across industries use pdfFiller.
REIT Subsidiary Election is needed by:
-
Officers of a Taxable REIT Subsidiary
-
Officers of an Electing REIT
-
Tax professionals advising REITs
-
Corporate accountants dealing with tax
-
Real estate investment managers
-
Legal advisors for tax compliance
Comprehensive Guide to REIT Subsidiary Election
What is IRS Form 8875 Taxable REIT Subsidiary Election?
IRS Form 8875 serves a pivotal role as it allows a corporation and a Real Estate Investment Trust (REIT) to jointly elect the corporation's designation as a taxable REIT subsidiary (TRS). This framework operates under section 856(l) of the Internal Revenue Code, establishing a crucial statutory relationship between the corporation and the electing REIT. The form requires participation from two entities: the taxable REIT subsidiary and the electing REIT. Together, they execute this election to underline their tax standing.
Purpose and Benefits of IRS Form 8875 Taxable REIT Subsidiary Election
The primary purpose of filing IRS Form 8875 revolves around tax efficiency, as it enables business entities to benefit from being classified as a taxable REIT subsidiary. This designation can significantly alter the tax implications by allowing certain activities that are generally not permissible under REIT regulations. Furthermore, beneficial tax treatment can arise from income generated from the TRS, potentially leading to reduced tax liabilities for affiliated businesses. Additionally, being designated as a taxable REIT subsidiary grants enhanced flexibility in operations while ensuring compliance with existing tax codes.
Who Needs IRS Form 8875 Taxable REIT Subsidiary Election?
Filing IRS Form 8875 is essential for various stakeholders, notably the officers of both the taxable REIT subsidiary and the electing REIT. Any corporation wishing to be recognized as a TRS within a REIT structure must complete this form. Scenarios requiring this election encompass a range of activities, particularly those where corporate entities engage in business operations that would otherwise jeopardize their REIT status. As a result, understanding who is mandated to file is crucial for maintaining tax compliance.
Eligibility Criteria for IRS Form 8875 Taxable REIT Subsidiary Election
To successfully submit IRS Form 8875, certain eligibility criteria must be met. First, the corporation must qualify as a taxable REIT subsidiary under the stipulated guidelines of section 856(l) of the Internal Revenue Code. Restrictions include the necessity of not holding substantial assets or operations that could compromise the electing REIT’s tax-exempt status. Moreover, prior filing of federal income tax returns may also be a relevant consideration, ensuring all necessary documentation is in place prior to submission.
How to Fill Out IRS Form 8875 Taxable REIT Subsidiary Election (Step-by-Step)
-
Begin by entering the name of the taxable REIT subsidiary and the electing REIT in the designated fields.
-
Fill in the Employer Identification Number (EIN) for both entities, ensuring accuracy to avoid processing delays.
-
Specify the date of incorporation or organization of the taxable REIT subsidiary.
-
Indicate the effective date of the election, essential for determining tax implications.
-
Ensure that authorized officers from both entities sign the form to validate the submission.
Pay attention to detail in each field to enhance accuracy and completeness during the filing process.
Common Errors and How to Avoid Them When Completing IRS Form 8875
When completing IRS Form 8875, users frequently encounter several common errors that can lead to delays. Typical mistakes include inaccurate EIN entries, missing signatures, and incorrect effective dates. To mitigate these issues, implement thorough review processes prior to submission. Utilize checklists to validate all entries, and consider consulting a tax professional to enhance accuracy.
Submitting IRS Form 8875 Taxable REIT Subsidiary Election
IRS Form 8875 can be submitted through various methods, including traditional mail and electronic filing options. It's essential to note the deadlines for filing, as late submissions can result in significant tax implications and penalties. For tracking submission status, maintain copies of all filed documents and consider using electronic submission for real-time updates on processing.
Security and Compliance for IRS Form 8875 Taxable REIT Subsidiary Election
When handling IRS Form 8875, ensuring data security and confidentiality is paramount. pdfFiller implements robust security measures for electronic submissions, including 256-bit encryption, aligning with standards required by regulations such as HIPAA and GDPR. This commitment to security ensures that sensitive information remains protected throughout the filing process.
How pdfFiller Can Help with IRS Form 8875 Taxable REIT Subsidiary Election
pdfFiller offers several capabilities to streamline the process of filling out IRS Form 8875. Users can leverage features such as fillable forms, eSigning capabilities, and secure document storage, enhancing the overall experience of managing this tax form. These tools ensure ease of use while maintaining compliance with necessary regulations, making the task simpler for taxpayers.
Next Steps After Submitting IRS Form 8875 Taxable REIT Subsidiary Election
After submitting IRS Form 8875, it's important to understand the next steps in the process. Typically, processing times can vary, so monitoring the application status is advised. In the event of errors or required amendments, knowing how to efficiently correct or adjust the submission is critical to maintaining compliance and ensuring that tax liabilities are properly managed.
How to fill out the REIT Subsidiary Election
-
1.To begin, visit pdfFiller and search for 'IRS Form 8875'. Click on the link to access the form.
-
2.Once the form is open, familiarize yourself with the fillable fields and required checkboxes in the pdfFiller interface.
-
3.Before you start, gather all necessary information such as the names, EINs, and addresses of the taxable REIT subsidiary and the electing REIT.
-
4.Fill in the details about both entities, ensuring accuracy in the names and identification numbers where specified.
-
5.Indicate the election's effective date, ensuring it complies with IRS guidelines on timing.
-
6.If applicable, specify whether the subsidiary has previously filed a federal income tax return.
-
7.Review all filled fields for completeness and accuracy, checking for any required signatures from authorized officers of both entities.
-
8.Once finalized, utilize pdfFiller’s options to save and download the completed form as a PDF file.
-
9.Finally, submit the form via the advised method, whether electronically or through the post, as per IRS guidelines.
What is IRS Form 8875?
IRS Form 8875 is used by corporations and Real Estate Investment Trusts (REITs) to elect to have a corporation treated as a taxable REIT subsidiary. It includes vital information about both entities.
Who needs to sign Form 8875?
The form must be signed by authorized officers of both the Taxable REIT Subsidiary and the Electing REIT to validate the election and ensure compliance with IRS regulations.
What information is required to complete the form?
To complete Form 8875, you need the names, Employer Identification Numbers (EINs), addresses, and incorporation dates of both the taxable REIT subsidiary and the electing REIT.
What are the deadlines for submitting IRS Form 8875?
Form 8875 must be submitted by the due date set forth by the IRS for the election to be effective. Checking IRS guidelines and deadlines is crucial for timely submission.
Where should IRS Form 8875 be submitted?
Form 8875 can be submitted to the IRS. Depending on your filing method, you can either e-file or send the form via traditional mail, based on IRS instructions.
What are common mistakes to avoid when filing Form 8875?
Common mistakes include incorrect EIN entries, missing signatures, inaccurate dates, and failing to provide complete information about entities. Always review your form before submission.
How long does processing take for Form 8875?
Processing times for Form 8875 can vary, but typically, the IRS aims to process submitted forms within 30 days. However, it may take longer depending on current workloads and submission methods.
Related Forms
If you believe that this page should be taken down, please follow our DMCA take down process
here
.
This form may include fields for payment information. Data entered in these fields is not covered by PCI DSS compliance.