Estimated Tax Payments

Generally, the following rules apply to the REIT’s payments of estimated tax.

• The REIT must make installment payments of estimated tax if it expects its total tax for the year (less applicable credits) to be $500 or more.

• The REIT must use electronic funds transfers to make installment payments of estimated tax.

4 Instructions for Form 1120-REIT (2025)

• The installments are due by the 15th day of the 4th, 6th, 9th, and 12th months of the tax year. If any date falls on a Saturday, Sunday, or legal holiday, the installment is due on the next regular business day.

• If, after the REIT figures and deposits estimated tax, it finds that its tax liability for the year will be more or less than originally estimated, it may have to refigure its required installments. If earlier installments were underpaid, the REIT may owe a penalty. See the instructions for line 26, later.

• If the REIT overpaid its estimated tax, it may be able to get a quick refund by filing Form 4466, Corporation Application for Quick Refund of Overpayment of Estimated Tax. The overpayment must be at least 10% of the REIT’s expected income tax liability and at least $500.

See section 6655 and Pub. 542, Corporations, for more information on how to figure estimated taxes.