# 26 U.S.C. § 857: Taxation of real estate investment trusts and their beneficiaries

> Federal · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/usc_t26_s857

## Section

- **Citation:** 26 U.S.C. § 857
- **Heading:** Taxation of real estate investment trusts and their beneficiaries
- **Jurisdiction:** Federal
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** September 16, 2026
- **Source:** Publisher's official text
- **Location:** Title 26—INTERNAL REVENUE CODE > Subtitle A—Income Taxes > CHAPTER 1—NORMAL TAXES AND SURTAXES > Subchapter M—Regulated Investment Companies and Real Estate Investment Trusts > PART II—REAL ESTATE INVESTMENT TRUSTS

## Text

90 percent of the real estate investment trust taxable income for the taxable year (determined without regard to the deduction for dividends paid (as defined in section 561) and by excluding any net capital gain); and

(Added Pub. L. 86–779, § 10(a) , Sept. 14, 1960 , 74 Stat. 1006 ; amended Pub. L. 88–272, title II, § 201(d)(11) , Feb. 26, 1964 , 78 Stat. 32 ; Pub. L. 91–172, title V, § 511(c)(3) , Dec. 30, 1969 , 83 Stat. 637 ; Pub. L. 93–625, § 6(c) , (d)(2)–(4), Jan. 3, 1975 , 88 Stat. 2113 , 2114; Pub. L. 94–455, title XIV, § 1402(b)(1)(P) , (2), title XVI, §§ 1601(c), 1602(b), 1603(b), (c)(5), 1604(c)(2), (f)(3)(B), (j), (k)(2)(B), 1605(b)(2), 1606(a), (d), 1607(a), (b)(1)(A), (2), (3), title XIX, §§ 1901(a)(112), (b)(1)(V), (33)(K), 1906(b)(13)(A), Oct. 4, 1976 , 90 Stat. 1732 , 1746–1748, 1750–1757, 1783, 1792, 1801, 1834; Pub. L. 95–600, title III , §§ 301(b)(12), 362(d)(3), 363(b), title IV, § 403(c)(3), Nov. 6, 1978 , 92 Stat. 2822 , 2851, 2852, 2868; Pub. L. 96–222, title I, § 103(a)(1) , Apr. 1, 1980 , 94 Stat. 208 ; Pub. L. 96–223, title IV, § 404(b)(8) , Apr. 2, 1980 , 94 Stat. 307 ; Pub. L. 97–34, title III, § 302(c)(5) , (d)(1), Aug. 13, 1981 , 95 Stat. 273 , 274; Pub. L. 98–369, div. A, title I , §§ 16(a), 55(b), title X, § 1001(b)(13), (e), July 18, 1984 , 98 Stat. 505 , 572, 1011, 1012; Pub. L. 99–514, title VI , §§ 612(b)(7), 661(b), 664, 665(a), (b)(1), 666, 668(b)(1)(A), (2), (3), Oct. 22, 1986 , 100 Stat. 2251 , 2300, 2303–2305, 2307, 2308; Pub. L. 100–647, title I , §§ 1006(r), (s)(2), (4), (5), 1018(u)(28), Nov. 10, 1988 , 102 Stat. 3418 , 3419, 3591; Pub. L. 101–508, title XI, § 11704(a)(37) , Nov. 5, 1990 , 104 Stat. 1388–520 ; Pub. L. 105–34, title XII , §§ 1251(a), 1254(a), (b)(1), 1255(b)(2), (3), 1256, 1259, 1260, Aug. 5, 1997 , 111 Stat. 1030 , 1032–1035; Pub. L. 105–206, title VI, § 6012(g) , July 22, 1998 , 112 Stat. 819 ; Pub. L. 106–170, title V , §§ 532(c)(2)(L), (M), 545, 556(a), (b), 566(a)(2), (b), Dec. 17, 1999 , 113 Stat. 1930 , 1944, 1949, 1950; Pub. L. 106–554, § 1(a)(7) [title III, § 311(b)] , Dec. 21, 2000 , 114 Stat. 2763 , 2763A–640; Pub. L. 107–147, title IV , §§ 413(a), 417(13), Mar. 9, 2002 , 116 Stat. 54 , 56; Pub. L. 108–27, title III, § 302(d) , May 28, 2003 , 117 Stat. 763 ; Pub. L. 108–311, title IV, § 402(a)(5)(E) , Oct. 4, 2004 , 118 Stat. 1185 ; Pub. L. 108–357, title II, § 243(c) , (e), (f)(4), title III, § 321(a), title IV, § 418(b), Oct. 22, 2004 , 118 Stat. 1442 , 1445, 1473, 1512; Pub. L. 109–135, title IV , §§ 403(d)(3), 412(ii), Dec. 21, 2005 , 119 Stat. 2622 , 2639; Pub. L. 110–172, § 11(a)(17)(B) , Dec. 29, 2007 , 121 Stat. 2486 ; Pub. L. 110–234, title XV , §§ 15311(c), 15315(a)–(d), May 22, 2008 , 122 Stat. 1503–1505 ; Pub. L. 110–246, § 4(a) , title XV, §§ 15311(c), 15315(a)–(d), June 18, 2008 , 122 Stat. 1664 , 2265–2267; Pub. L. 110–289, div. C, title II , §§ 3033, 3051, 3052, July 30, 2008 , 122 Stat. 2900 , 2901; Pub. L. 114–113, div. Q, title III , §§ 313(a), (b), 316(a), 320(a), 321(a)(1), (2), (b), 322(a)(2)(B), Dec. 18, 2015 , 129 Stat. 3091–3093 , 3096, 3097, 3101; Pub. L. 115–97, title I, § 13001(b)(2)(K) , Dec. 22, 2017 , 131 Stat. 2096 ; Pub. L. 115–141, div. U, title IV, § 401(a)(148) , Mar. 23, 2018 , 132 Stat. 1191 .)

## Nearby sections

- [26 U.S.C. § 851 Definition of regulated investment company](https://www.frixlaw.com/law-library/statutes/usc_t26_s851.md)
- [26 U.S.C. § 852 Taxation of regulated investment companies and their shareholders](https://www.frixlaw.com/law-library/statutes/usc_t26_s852.md)
- [26 U.S.C. § 853 Foreign tax credit allowed to shareholders](https://www.frixlaw.com/law-library/statutes/usc_t26_s853.md)
- [26 U.S.C. § 853A Credits from tax credit bonds allowed to shareholders](https://www.frixlaw.com/law-library/statutes/usc_t26_s853A.md)
- [26 U.S.C. § 854 Limitations applicable to dividends received from regulated investment company](https://www.frixlaw.com/law-library/statutes/usc_t26_s854.md)
- [26 U.S.C. § 855 Dividends paid by regulated investment company after close of taxable year](https://www.frixlaw.com/law-library/statutes/usc_t26_s855.md)
- [26 U.S.C. § 856 Definition of real estate investment trust](https://www.frixlaw.com/law-library/statutes/usc_t26_s856.md)
- [26 U.S.C. § 857 Taxation of real estate investment trusts and their beneficiaries](https://www.frixlaw.com/law-library/statutes/usc_t26_s857.md)
- [26 U.S.C. § 858 Dividends paid by real estate investment trust after close of taxable year](https://www.frixlaw.com/law-library/statutes/usc_t26_s858.md)
- [26 U.S.C. § 859 Adoption of annual accounting period](https://www.frixlaw.com/law-library/statutes/usc_t26_s859.md)
- [26 U.S.C. § 860 Deduction for deficiency dividends](https://www.frixlaw.com/law-library/statutes/usc_t26_s860.md)
- [26 U.S.C. § 860A Taxation of REMIC’s](https://www.frixlaw.com/law-library/statutes/usc_t26_s860A.md)
- [26 U.S.C. § 860B Taxation of holders of regular interests](https://www.frixlaw.com/law-library/statutes/usc_t26_s860B.md)
- [26 U.S.C. § 860C Taxation of residual interests](https://www.frixlaw.com/law-library/statutes/usc_t26_s860C.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/usc_t26_s857. Check the current official text before relying on it. Not legal advice.