Tax Payments — Instruction 1120-REIT

Generally, the REIT must pay the tax due in full no later than the due date for filing its tax return (not including extensions). See the instructions for line 28, later. If the due date falls on a Saturday, Sunday, or legal holiday, the payment is due on the next day that isn’t a Saturday, Sunday, or legal holiday.

Electronic Deposit Requirement REITs must use electronic funds transfer (EFT) to make all federal tax deposits (such as deposits of employment, excise, and corporate income tax). An EFT can be made using the Electronic Federal Tax Payment System (EFTPS). However, if the REIT does not want to use EFTPS, it can arrange for its tax professional, financial institution, payroll service, or other trusted third party to make deposits on its behalf. Also, it may arrange for

its financial institution to submit a same-day wire payment (discussed below) on its behalf. EFTPS is a free service provided by the Department of the Treasury. Services provided by a tax professional, financial institution, payroll service, or other third party may have a fee.

To get more information about EFTPS or to enroll in EFTPS, go to EFTPS.gov . To contact EFTPS using Telecommunications Relay Services (TRS) for people who are deaf, hard of hearing, or have a speech disability, dial 711 and provide the TRS assistant the 800-555-4477 number or 800-733-4829.

Depositing on time. EFTPS accepts same day payments of $1 million or less if the payment is submitted before 3:00 p.m. Eastern time on a business day. If the REIT’s payment is more than $1 million, the REIT must submit the deposit by 8:00 p.m. Eastern time the day before the date the deposit is due. If the REIT uses a third party to make deposits on its behalf, they may have different cutoff times.

Same-day wire payment option. If the REIT fails to submit a timely deposit transaction on EFTPS, it can still make its deposit on time by using the Federal Tax Collection Service (FTCS). To use the same-day payment method, the REIT will need to make arrangements with its financial institution ahead of time regarding availability, deadlines, and costs. Financial institutions may charge a fee for payments made this way. To learn more about the information the REIT will need to provide its financial institution to make a same-day wire payment, visit the IRS website at IRS.gov/SameDayWire .