I have a fairly large collection of dividend-paying stocks in my portfolio, including seven real estate investment trusts (REITs). That means I collect both qualified and nonqualified dividends, with REIT income (of the nonqualified variety) largely treated as regular income.
But there's a nuance here based on where I own the REITs that makes a huge difference when I pay my taxes and when I'm planning for the future. Here's a closer look.
My list of REIT holdings includes Realty Income (NYSE: O) , W.P. Carey (NYSE: WPC) , Federal Realty (NYSE: FRT) , Ventas (NYSE: VTR) , Simon Property Group (NYSE: SPG) , Alpine Income Property Trust (NYSE: PINE) , and, thanks to a Realty Income spinoff, Orion Office REIT (NYSE: ONL) . There's a lot going on here, which is increasingly obvious as I get ready to file my 2021 taxes.
For further details see:
This Is How Much I Make in REIT Dividend Income