Asset location — deciding which investments to hold in which accounts — is one of the more practical tax questions for REIT investors, because REIT dividends are taxed differently from the qualified dividends a typical stock pays. Most of a REIT's distribution is ordinary income, taxed at your full ordinary rates, because the REIT itself paid no corporate tax. That tax inefficiency makes a natural case for sheltering REITs in a tax-advantaged account such as an IRA or 401(k), where the income is not taxed each year. But there is a wrinkle: the 20% Section 199A deduction that softens REIT-dividend taxes works only in a taxable account, so moving REITs into an IRA forfeits it. The result is a genuine trade-off rather than a one-size-fits-all answer. Optimal placement depends on your tax bracket, the size of the REIT allocation, the mix of accounts you hold, and the composition of your distributions. This guide explains, educationally, why REIT income is tax-heavy and how to think about placement — it is not tax advice, so verify the current rules with your tax advisor.
Why REIT Dividends Are Tax-Heavy
REIT dividends carry a heavier current tax burden than most stock dividends because of how REITs are taxed. A REIT pays no corporate income tax, provided it distributes at least 90% of its taxable income. The trade-off for that single layer of taxation is that the dividends it pays are mostly ordinary income, taxed at your full ordinary rates, rather than the lower qualified-dividend rates that apply to most corporate dividends. So while a typical stock dividend may be taxed at long-term capital-gains rates, the bulk of a REIT dividend is taxed like wages or interest.
Not all of a REIT distribution is ordinary income, but most of it usually is. A distribution can also include a smaller qualified-dividend portion (taxed at capital-gains rates), capital-gain distributions (capital-gains rates), and return of capital (not currently taxed; it reduces basis). The 20% Section 199A deduction lowers the effective top rate on the ordinary REIT-dividend portion to roughly 29.6%, which helps — but the ordinary portion is still taxed more heavily, year by year, than qualified dividends or long-term gains. This annual, ordinary-rate taxation is what makes REIT income relatively tax-inefficient in a taxable account.
So REIT dividends are tax-heavy because most of the distribution is ordinary income taxed at full rates, a consequence of the REIT paying no corporate tax. Why REIT dividends are tax-heavy — most of a REIT's distribution is ordinary income taxed at full ordinary rates (because the REIT pays no corporate tax), with only smaller qualified-dividend, capital-gain, and return-of-capital portions taxed more favorably, and even the 20% Section 199A deduction leaving the ordinary slice less efficient than qualified dividends — is the starting point for the placement question. The income is real but tax-inefficient. Understanding this frames why account choice matters. REIT dividends are tax-heavy because most of the distribution is ordinary income taxed at full rates, making REIT income relatively tax-inefficient in a taxable account.
Holding REITs in IRAs
Because REIT income is mostly ordinary and tax-inefficient, a common approach is to hold REITs inside a tax-advantaged account such as a traditional IRA, Roth IRA, or 401(k). In these accounts, the REIT's distributions are not taxed in the year received. In a traditional IRA, taxes are deferred until you withdraw, and in a Roth, qualified withdrawals are tax-free. Either way, the tax-heavy ordinary income that would otherwise be taxed annually in a taxable account is sheltered, which can make a retirement account an efficient home for REITs.
This logic is the heart of the asset-location idea: put your most tax-inefficient income-producing assets (like REITs and taxable bonds) in tax-advantaged accounts, and keep your most tax-efficient assets (like buy-and-hold stocks that produce qualified dividends and long-term gains) in taxable accounts. By that reasoning, REITs often land in the IRA. For most investors, traded REIT shares held in an IRA also avoid the unrelated business income tax (UBIT) concern, because publicly traded REIT dividends are generally excluded from unrelated business taxable income — so ordinary REIT shares typically do not trigger UBIT inside an IRA.
So holding REITs in an IRA shelters their tax-inefficient ordinary income from annual taxation, which is the main argument for that placement. Holding REITs in IRAs — sheltering their mostly ordinary, tax-inefficient income inside a traditional IRA, Roth, or 401(k) so it is not taxed annually (deferred in a traditional IRA, tax-free in a Roth), consistent with the asset-location principle of placing tax-inefficient assets in tax-advantaged accounts, with traded REIT shares generally avoiding UBIT — is the standard case for that placement. It addresses the tax-heaviness directly. Understanding it sets up the trade-off. Holding REITs in an IRA shelters their tax-inefficient ordinary income from annual tax — the main argument for that placement, and traded REIT shares generally avoid UBIT there.
(Whether an IRA is the right home depends on your situation, so verify the current rules with your tax advisor.)
The classic asset-location move is to tuck tax-inefficient REIT income into an IRA — sheltering the ordinary-rate dividends that would otherwise be taxed every year in a taxable account.
Taxable-Account Considerations
Holding REITs in a taxable account is not simply the inefficient option to avoid — it carries real advantages that complicate the picture. The biggest is the 20% Section 199A deduction on qualified REIT dividends, which is available only in a taxable account. That deduction lowers the effective top federal rate on the ordinary REIT-dividend portion to roughly 29.6%, narrowing the gap that makes REIT income look tax-heavy. Inside an IRA, that deduction is lost, so the comparison is not as lopsided as the raw ordinary-income label suggests.
A taxable account also lets you benefit from the other components of a REIT distribution in ways an IRA cannot. Return of capital reduces your basis and defers tax until sale, often resurfacing as lower-rate capital gain — a benefit that is meaningless inside an IRA, where nothing is currently taxed anyway. Capital-gain distributions are taxed at favorable rates in a taxable account. And a taxable account gives you flexibility: you can harvest losses, control the timing of sales, and access the money without the withdrawal rules of a retirement account. These features mean a taxable account is not automatically the wrong place for REITs.
So a taxable account preserves the 20% deduction, the return-of-capital deferral, and flexibility — real advantages that offset some of REIT income's tax-heaviness. Taxable-account considerations — the 20% Section 199A deduction that exists only in a taxable account (cutting the effective ordinary rate to roughly 29.6%), plus the return-of-capital deferral, favorable treatment of capital-gain distributions, and the flexibility to harvest losses and control timing — are real advantages that partly offset the tax-heaviness of REIT income. The taxable account is not just the default. Understanding these advantages balances the IRA case. A taxable account preserves the 20% deduction, the return-of-capital deferral, and flexibility, partly offsetting REIT income's tax-heaviness.
(These advantages interact with your bracket and goals, so verify the current rules with your tax advisor.)
The QBI Deduction Wrinkle
The 20% Section 199A deduction is the wrinkle that keeps the placement question from having a simple answer. The deduction lets eligible taxpayers deduct 20% of their qualified REIT dividends, lowering the effective top federal rate on that income to roughly 29.6% — but only in a taxable account. Inside an IRA or 401(k), where REIT dividends are not currently taxed, there is no income to deduct against, so the deduction provides no benefit. This means the very act of sheltering REITs in an IRA, which addresses their tax-heaviness, simultaneously throws away the deduction that would have softened that tax-heaviness in a taxable account.
This creates a tension that has to be weighed rather than resolved by a rule of thumb. On one side, an IRA fully shelters the ordinary income — but at the cost of the 20% deduction and the return-of-capital deferral. On the other side, a taxable account preserves the deduction and the deferral — but still exposes the (post-deduction) ordinary income to annual tax. Which side wins depends on your tax bracket, how much of your distribution is ordinary versus return of capital, the size of the REIT allocation, and the mix of accounts you have available. The deduction was made permanent by the 2025 OBBBA, so it is a durable factor in the analysis rather than a temporary one.
So the QBI deduction is the wrinkle: it makes a taxable account more attractive for REITs than the raw ordinary-income label suggests, because the deduction is lost inside an IRA. The QBI-deduction wrinkle — the fact that the 20% Section 199A deduction lowers the effective ordinary rate on qualified REIT dividends to roughly 29.6% but only in a taxable account, so sheltering REITs in an IRA forfeits it, creating a real tension between sheltering ordinary income and preserving the deduction — is what turns placement into a genuine trade-off. There is no universal winner. Understanding the wrinkle is essential to placement. The QBI deduction works only in taxable accounts, so sheltering REITs in an IRA forfeits it — the central wrinkle that makes placement a real trade-off.
(The deduction's value to you depends on your bracket and return, so verify the current rules with your tax advisor.)
The 20% deduction is the catch: shelter REITs in an IRA and you escape the annual tax, but you also leave the deduction that would have eased that tax on the table.
Optimal Placement Strategy
Because of the trade-off, optimal placement is a balancing act rather than a formula. The factors that tip the balance include your tax bracket (the higher it is, the more annual ordinary-rate taxation hurts, favoring the IRA — but the more the lost deduction also costs), the composition of your distributions (a REIT paying mostly return of capital is already tax-deferred and may sit comfortably in a taxable account), the size of your REIT allocation, and your available account space. Many investors with both account types reach a reasonable answer by considering all of these together rather than applying a single rule.
A common starting framework is the asset-location principle — hold tax-inefficient assets like REITs in tax-advantaged accounts and tax-efficient assets in taxable accounts — adjusted for the QBI wrinkle and the return-of-capital deferral. But the right answer is personal: it depends on your bracket, your goals, your other holdings, and how much account space you have. Because this is genuinely situation-specific, it is exactly the kind of decision to model with your CPA, who can compare the after-tax outcome of each placement using your actual numbers. Baker 1031 Investments does not provide tax advice; we help you understand the trade-offs and coordinate with the professionals who run the numbers.
So optimal placement weighs bracket, distribution composition, allocation size, and account mix — balancing the IRA's shelter against the taxable account's deduction and deferral. Optimal placement strategy — weighing your tax bracket, the ordinary-versus-return-of-capital composition of your distributions, the size of your REIT allocation, and your available account space, using the asset-location principle as a starting point but adjusting for the QBI wrinkle and the deferral, and modeling it with your CPA — is a personalized balancing act, not a fixed rule. The right home for REITs depends on your situation. Understanding the framework guides the conversation. Optimal placement weighs your bracket, distribution composition, allocation size, and account mix, balancing the IRA shelter against the taxable account's deduction and deferral — best modeled with your CPA.
- REIT dividends are mostly ordinary income taxed at full rates, making them tax-inefficient in a taxable account.
- Holding REITs in an IRA or 401(k) shelters that ordinary income from annual tax — often an efficient placement.
- But the 20% Section 199A deduction (and the return-of-capital deferral) work only in taxable accounts, so an IRA forfeits them.
- Optimal placement is a personalized trade-off — weigh bracket, distribution mix, allocation size, and account space, and model it with your CPA.
How Baker 1031 Helps You Think About REIT Placement
Baker 1031 Investments helps investors think through, educationally, where REITs might sit across their accounts — why REIT dividends are tax-heavy, the case for sheltering them in an IRA, the offsetting advantages of a taxable account, the 20% QBI-deduction wrinkle, and how to frame optimal placement — so you can have an informed conversation with your tax advisor and decide whether REITs fit your goals.
REIT and non-traded-REIT interests and related securities are offered through the broker-dealer, Aurora Securities, Inc. (member FINRA/SIPC), and any recommendation follows a suitability review — non-traded and private REITs typically require accredited or otherwise suitable investors, while publicly traded REITs trade through ordinary brokerage accounts. Baker 1031 does not provide tax or legal advice; this material is educational, not tax advice. Your CPA models the after-tax outcome of each placement using your actual bracket, distribution composition, allocation size, and account mix, and tracks any changes in the rules — verify the current rules with your tax advisor, since asset-location and REIT-taxation details can be technical. We help you understand the trade-offs, weigh placement across your accounts, and access suitable offerings when appropriate, coordinating with your tax professionals. Yields and returns are never promised — past performance does not guarantee future results, and REIT share prices and distributions can fluctuate. Our role is to help you understand REIT placement clearly and invest only when suitable for your goals and risk tolerance.
Frequently Asked Questions
Why are REIT dividends taxed more heavily than other dividends?
REIT dividends are taxed more heavily because most of the distribution is ordinary income, taxed at your full ordinary rates, rather than the lower qualified-dividend rates that apply to most corporate dividends. The reason is structural: a REIT pays no corporate income tax, provided it distributes at least 90% of its taxable income. The trade-off for that single layer of taxation is that the dividends it passes through are mostly ordinary income. So while a typical stock dividend may be taxed at favorable long-term capital-gains rates, the bulk of a REIT dividend is taxed like wages or interest. Smaller portions of a REIT distribution — qualified dividends, capital-gain distributions, and return of capital — get better treatment, and the 20% Section 199A deduction lowers the effective top rate on the ordinary portion to roughly 29.6%. But the ordinary slice is still taxed less efficiently each year. This is educational information, not tax advice — verify the current rules with your tax advisor.
Should I hold REITs in a taxable account or an IRA?
There is no universal answer — it is a genuine trade-off that depends on your situation. The case for an IRA is that REIT dividends are mostly ordinary income, which is tax-inefficient, so sheltering them in a tax-advantaged account avoids taxing that income each year (deferred in a traditional IRA, tax-free in a Roth). The case for a taxable account is that the 20% Section 199A deduction on qualified REIT dividends — which lowers the effective ordinary rate to roughly 29.6% — works only in a taxable account, and the return-of-capital deferral and favorable capital-gain treatment also apply only there. So moving REITs into an IRA shelters the ordinary income but forfeits the deduction and deferral. Which approach is better depends on your tax bracket, the composition of your distributions, the size of your REIT allocation, and your account mix. Model it with your CPA. This is educational information, not tax advice — verify the current rules with your tax advisor.
What is asset location?
Asset location is the practice of deciding which investments to hold in which types of accounts to improve after-tax results. The general principle is to place your most tax-inefficient income-producing assets — those that generate ordinary income taxed at high annual rates, such as REITs and taxable bonds — in tax-advantaged accounts like IRAs and 401(k)s, where that income is not taxed each year. Meanwhile, you keep your most tax-efficient assets — such as buy-and-hold stocks that produce qualified dividends and long-term capital gains — in taxable accounts, where their favorable tax treatment is preserved. Done well, asset location can reduce the overall tax drag on a portfolio without changing the underlying investments. For REITs, the asset-location principle often points toward the IRA, but the 20% QBI deduction (which works only in taxable accounts) complicates that conclusion. So asset location is a useful starting framework, not an absolute rule. This is educational information, not tax advice — verify with your tax advisor.
Do I avoid taxes on REIT dividends in an IRA?
In an IRA, you do not pay tax on REIT dividends in the year you receive them — but whether you avoid the tax permanently depends on the type of IRA. In a traditional IRA, the tax is deferred, not eliminated: the dividends grow untaxed inside the account, but your eventual withdrawals are taxed as ordinary income. In a Roth IRA, qualified withdrawals are tax-free, so REIT dividends earned inside a Roth can ultimately escape tax entirely if the rules are met. Either way, the mostly ordinary, tax-inefficient income that would be taxed annually in a taxable account is sheltered inside the IRA. The trade-off is that the 20% Section 199A deduction provides no benefit inside an IRA, since there is no current tax to reduce. So an IRA shelters REIT dividends from annual tax (deferred or eliminated depending on the type) but forfeits the deduction. This is educational information, not tax advice — verify the current rules with your tax advisor.
Why does the QBI deduction only matter in a taxable account?
The 20% Section 199A deduction only matters in a taxable account because it reduces currently taxable income, and inside a tax-advantaged account there is no currently taxable REIT income for it to reduce. In a taxable account, your qualified REIT dividends are taxed each year, and the deduction lowers the income you are taxed on by 20%, cutting the effective top federal rate to roughly 29.6%. Inside a traditional IRA, Roth IRA, or 401(k), the REIT dividends are not taxed as received — they are deferred or, in a Roth, ultimately tax-free — so there is nothing for the 20% deduction to apply against, and it provides no benefit. This is the central wrinkle in the placement decision: sheltering REITs in an IRA addresses their tax-heaviness but simultaneously forfeits the deduction that would have softened that tax-heaviness in a taxable account. So the deduction is a taxable-account-only feature. This is educational information, not tax advice — verify with your tax advisor.
Are REITs in an IRA subject to UBIT?
Generally no — publicly traded REIT dividends are usually not subject to the unrelated business income tax (UBIT) inside an IRA. UBIT applies to unrelated business taxable income earned in a tax-exempt account, but dividends are generally treated as passive, excluded income. Publicly traded REIT dividends fall into that excluded category, so holding ordinary traded-REIT shares in an IRA typically does not trigger UBIT — even though the REIT itself may use leverage at the entity level, because that leverage does not pass through to REIT shareholders as unrelated debt-financed income. The UBIT and unrelated-debt-financed-income concerns that do arise in IRAs are usually tied to certain private or partnership structures, or to directly debt-financed investments, rather than to ordinary traded-REIT shares. So most REIT investing in an IRA is UBIT-safe; the niche risk involves specific leveraged or partnership vehicles. Coordinate with your IRA custodian and CPA. This is educational information, not tax advice — verify the current rules with your tax advisor.
What are the advantages of holding REITs in a taxable account?
A taxable account offers several real advantages for REITs that an IRA cannot. First and most important is the 20% Section 199A deduction on qualified REIT dividends, which works only in a taxable account and lowers the effective top federal rate on the ordinary portion to roughly 29.6%. Second is the return-of-capital deferral: the return-of-capital portion of a distribution reduces your basis and defers tax until sale, often resurfacing as lower-rate capital gain — a benefit that is meaningless inside an IRA, where nothing is currently taxed. Third, capital-gain distributions are taxed at favorable rates in a taxable account. Fourth is flexibility: you can harvest losses, control the timing of sales, and access the money without retirement-account withdrawal rules. These advantages mean a taxable account is not automatically the wrong place for REITs, even though their ordinary income is tax-inefficient. The right choice is a trade-off. This is educational information, not tax advice — verify with your tax advisor.
Does it matter whether my REIT pays return of capital for placement?
Yes — the composition of a REIT's distribution affects the placement decision. If a REIT pays a large portion of its distribution as return of capital, that portion is already tax-advantaged in a taxable account: it is not currently taxed and instead reduces your basis, deferring the tax until sale, where it often resurfaces as lower-rate capital gain. A REIT whose distributions are heavily return of capital may therefore sit comfortably in a taxable account, since much of its payout is already deferred. By contrast, a REIT that pays mostly ordinary dividends produces more tax-inefficient income each year, which strengthens the case for sheltering it in an IRA — except that doing so forfeits the 20% deduction. So the ordinary-versus-return-of-capital mix is one of the factors that tips the placement balance. This is exactly the kind of detail to review with your CPA using your actual distributions. This is educational information, not tax advice — verify the current rules with your tax advisor.
Is a Roth IRA a good place for REITs?
A Roth IRA can be an attractive home for REITs for some investors, because qualified Roth withdrawals are tax-free, so the REIT's mostly ordinary, tax-inefficient income can grow and ultimately be withdrawn without tax. Sheltering high-ordinary-income assets like REITs in a Roth lets that income compound free of the annual ordinary-rate tax it would face in a taxable account, and unlike a traditional IRA, you do not pay tax on the way out either. The trade-off is the same as with any tax-advantaged account: the 20% Section 199A deduction and the return-of-capital deferral provide no benefit inside a Roth, since nothing is currently taxed. Whether a Roth is the best home for your REITs depends on your bracket now versus expected later, your overall account mix, and your goals. Many investors weigh placing the most growth- or income-heavy, tax-inefficient assets in a Roth. Model it with your CPA. This is educational information, not tax advice — verify with your tax advisor.
How does my tax bracket affect REIT placement?
Your tax bracket is one of the most important factors in the placement decision, and it cuts both ways. The higher your bracket, the more it hurts to have mostly ordinary REIT income taxed at full rates each year in a taxable account — which argues for sheltering REITs in an IRA. But the higher your bracket, the more valuable the 20% Section 199A deduction is too, and that deduction works only in a taxable account — which argues for keeping REITs there. So a high bracket strengthens both sides of the trade-off simultaneously. The net effect depends on the specifics: how much of your distribution is ordinary versus return of capital, the size of your allocation, and your available account space. Lower-bracket investors face a gentler version of the same trade-off. Because bracket interacts with everything else on your return, this is best modeled with your CPA using your actual numbers. This is educational information, not tax advice — verify the current rules with your tax advisor.
Can I hold the same REIT in both account types?
Yes — there is no rule preventing you from holding the same REIT (or REIT fund) in both a taxable account and a tax-advantaged account, and some investors do exactly that to balance the trade-offs. For example, you might hold part of your REIT allocation in a taxable account to capture the 20% Section 199A deduction and the return-of-capital deferral, while holding another part in an IRA to shelter additional ordinary income from annual tax. Splitting the allocation can be a reasonable way to hedge the placement question when neither account is clearly superior for your situation. The right split depends on your bracket, the composition of the distributions, the size of the allocation, and how much space you have in each account. This kind of allocation is best designed with your CPA, who can model the after-tax outcome of different splits. This is educational information, not tax advice — verify the current rules with your tax advisor.
Does asset location matter more for REITs than for stocks?
Asset location tends to matter more for REITs than for ordinary buy-and-hold stocks, precisely because REIT income is more tax-inefficient. A buy-and-hold stock that produces qualified dividends and long-term capital gains is already taxed at favorable rates in a taxable account, so moving it to an IRA offers less tax savings — and can even waste the favorable rates and the step-up-in-basis benefit a taxable account preserves. REITs are different: most of their distribution is ordinary income taxed at full rates each year, so where you hold them has a larger effect on your after-tax return. That is why REITs are a classic candidate for the asset-location discussion. The complication is the 20% QBI deduction, which works only in taxable accounts and partly offsets REIT income's inefficiency. So asset location is especially relevant for REITs, but the deduction means the answer is not automatic. This is educational information, not tax advice — verify the current rules with your tax advisor.
What is the best account for REITs overall?
There is no single best account for REITs — the optimal placement is genuinely situation-specific. The asset-location principle suggests holding tax-inefficient assets like REITs in tax-advantaged accounts, which often points toward an IRA or 401(k) to shelter their mostly ordinary income from annual tax. But the 20% Section 199A deduction and the return-of-capital deferral work only in a taxable account, so sheltering REITs in an IRA forfeits those benefits. Whether the IRA shelter outweighs the taxable-account deduction and deferral depends on your tax bracket, the ordinary-versus-return-of-capital composition of your distributions, the size of your REIT allocation, and your available account space. Some investors split the allocation across both. Because the answer turns on your specific numbers, the best approach is to model the after-tax outcome of each placement with your CPA rather than apply a blanket rule. This is educational information, not tax advice — verify the current rules with your tax advisor.
How does Baker 1031 help me think about REIT placement?
We help investors think through, educationally, where REITs might sit across their accounts — why REIT dividends are tax-heavy, the case for sheltering them in an IRA, the offsetting advantages of a taxable account, the 20% QBI-deduction wrinkle, and how to frame optimal placement — so you can have an informed conversation with your tax advisor. REIT and non-traded-REIT interests are offered through the broker-dealer, Aurora Securities, Inc. (member FINRA/SIPC), and any recommendation follows a suitability review; non-traded and private REITs typically require accredited or otherwise suitable investors, while publicly traded REITs trade through ordinary brokerage. Baker 1031 does not provide tax or legal advice — this material is educational, not tax advice. Your CPA models the after-tax outcome of each placement using your actual bracket, distribution mix, allocation size, and account mix, and tracks rule changes; verify the current rules with your tax advisor. Yields and returns are never promised, and past performance doesn't guarantee future results.
Glossary
- Asset Location
- Choosing which accounts hold which investments for tax efficiency.
- Tax-Advantaged Account
- An IRA or 401(k) where income is not taxed annually.
- Taxable Account
- A standard brokerage account where income is taxed each year.
- Traditional IRA
- A tax-deferred account; withdrawals taxed as ordinary income.
- Roth IRA
- An account funded after-tax; qualified withdrawals are tax-free.
- Ordinary Income
- Income taxed at full ordinary rates, like most REIT dividends.
- Qualified Dividend
- A dividend taxed at lower capital-gains rates.
- Section 199A Deduction
- The 20% deduction on qualified REIT dividends, taxable accounts only.
- Return of Capital
- A distribution that reduces basis and defers tax to sale.
- Capital-Gain Distribution
- A REIT payout taxed at favorable capital-gains rates.
- Tax Efficiency
- How lightly an investment's income is taxed each year.
- UBIT
- Unrelated business income tax, generally not triggered by traded REIT shares.
- Tax Deferral
- Postponing tax to a later year, as inside an IRA.
- Loss Harvesting
- Selling at a loss to offset gains, available in taxable accounts.
- 90% Distribution Rule
- The rule that lets a REIT avoid corporate tax by paying out income.
- Effective Rate
- The real tax rate after deductions, about 29.6% on qualified REIT dividends.
Sources & References
- IRS. Qualified Business Income Deduction (Section 199A)
- IRS. About Form 1099-DIV, Dividends and Distributions
- U.S. Securities and Exchange Commission. Investor.gov — Real Estate Investment Trusts (REITs)
- IRS. Topic No. 404, Dividends
Disclosures
This article is published by Baker 1031 Investments, LLC for general educational purposes for accredited investors and is not an offer to sell or a solicitation of an offer to buy any security, nor is it tax, legal, accounting, or investment advice or a recommendation. Any securities offering is made solely through a sponsor’s private placement memorandum (PPM) following a suitability determination. Securities offered through Aurora Securities, Inc. (ASI), member FINRA / SIPC; Baker 1031 Investments is independent of ASI.
Oil & gas mineral and royalty interests and DST programs are speculative, illiquid securities sold only to verified accredited investors and involve substantial risk, including possible loss of principal, commodity-price and production-decline risk, lack of control, and the risk that an intended 1031 exchange fails to qualify for tax deferral. Whether a particular interest qualifies as like-kind real property is a fact-specific legal determination that varies by state and by the terms of the instrument. Tax results depend on your individual circumstances. Consult your own CPA and attorney before acting. Past performance does not guarantee future results.
