Digital Realty Announces Tax Treatment of 2023 Dividends
AUSTIN, Texas, Jan. 25, 2024 /PRNewswire/ -- Digital Realty (NYSE: DLR), a leading global provider of cloud- and carrier-neutral data center, colocation and interconnection solutions, announced today the tax treatment of its 2023 dividends for common stock and preferred stock. The information below has been prepared using the best available information to date. Digital Realty's federal income tax return for the year ended December 31, 2023 has not yet been filed. Please note that federal tax laws affect taxpayers differently, and we cannot advise you on how distributions should be reported on your federal income tax return. Please also note that state and local taxation of REIT distributions vary and may not be the same as the federal rules. Shareholders are urged to consult with their tax advisors as to their specific tax treatment of Digital Realty's dividends.
Digital Realty Trust, Inc. Common Stock Dividends
CUSIP # 253868103
Ticker Symbol: DLR
Digital Realty's 2023 taxable dividend of $5.264529 per share includes one quarterly distribution declared in 2022 and paid in January 2023, three quarterly distributions declared and paid in 2023, and a portion (32%) of one quarterly distribution declared in 2023 and paid in January 2024. Digital Realty's 2023 taxable dividend will be reported on Form 1099-DIV as follows: $2.085936 per share (40%) as ordinary income and $3.178593 per share (60%) as capital gain distribution.
The following table contains this information on a quarterly basis:
Record | Payment | Cash Distribution ($ per share) (1) | Taxable Dividend ($ per share) (1) | Box 1a ($ per share) | Box 1b ($ per share) | Box 2a Long-Term ($ per share) | Box 2b Unrecaptured ($ per share) | Box 2f | Box 5 Section 199A ($ per share) | Section 1061 One-Year | Section 1061 Three-Year |
12/15/2022 | 01/13/2023 | $1.220000 | $1.220000 | $0.483394 | $0.032350 | $0.736606 | $0.148736 | $0.763829 | $0.451044 | $0.013545 | $0.013545 |
03/15/2023 | 03/31/2023 | $1.220000 | $1.220000 | $0.483394 | $0.032350 | $0.736606 | $0.148736 | $0.763829 | $0.451044 | $0.013545 | $0.013545 |
06/15/2023 | 06/30/2023 | $1.220000 | $1.220000 | $0.483394 | $0.032350 | $0.736606 | $0.148736 | $0.763829 | $0.451044 | $0.013545 | $0.013545 |
09/15/2023 | 09/29/2023 | $1.220000 | $1.220000 | $0.483394 | $0.032350 | $0.736606 | $0.148736 | $0.763829 | $0.451044 | $0.013545 | $0.013545 |
12/15/2023 | 01/19/2024 | $1.220000 | $0.384529 | $0.152360 | $0.010196 | $0.232169 | $0.046880 | $0.240749 | $0.142164 | $0.004269 | $0.004269 |
$6.10000 | $5.264529 | $2.085936 | $0.139596 | $3.178593 | $0.641824 | $3.296065 | $1.946340 | $0.058449 | $0.058449 |
(1) | Please note that of the $1.22 quarterly distribution paid in January 2024, $0.384529 is included in the 2023 taxable dividend and $0.835471 will be considered as 2024 reportable dividend for federal income tax purposes. |
(2) | Represents Section 897 gain attributable to disposition of U.S. real property interests included in Box 2a Long-Term Capital Gain. Section 897 is applicable to nonresident alien individuals and foreign corporations. |
(3) | Beginning in 2018, the Tax Cuts and Jobs Act of 2017 added Section 199A to allow for a new tax deduction based on certain qualified business income. Section 199A provides eligible individual taxpayers a deduction of up to 20% of their qualified real estate investment trust dividends (Box 5 of the Form 1099-DIV). |
(4) | For purposes of Section 1061 of the Internal Revenue Code, Digital Realty is disclosing two additional capital gain categories. Section 1061 is generally applicable to direct and indirect holders of "applicable partnership interests." Please consult your tax advisor with respect to the two additional categories disclosed herein. |
Series J Cumulative Redeemable Preferred Stock Dividends
CUSIP # 253868855
Ticker Symbol: DLRPRJ
The 2023 taxable dividend for Digital Realty Trust, Inc.'s Series J Cumulative Redeemable Preferred Stock is $1.312500 per share. For tax reporting purposes, $0.520044 per share (40%) will be reported on Form 1099-DIV as ordinary income and $0.792456 per share (60%) as capital gain distribution.
The following table contains this information on a quarterly basis:
Record | Payment | Cash ($ per share) | Taxable ($ per share) | Box 1a Ordinary ($ per share) | Box 1b Qualified ($ per share) | Box 2a ($ per share) | Box 2b Unrecaptured ($ per share) | Box 2f Section | Box 5 Section 199A ($ per share) | Section 1061 ($ per share) | Section 1061 ($ per share) |
03/15/2023 | 03/31/2023 | $0.328125 | $0.328125 | $0.130011 | $0.008701 | $0.198114 | $0.040003 | $0.205436 | $0.121310 | $0.003643 | $0.003643 |
06/15/2023 | 06/30/2023 | $0.328125 | $0.328125 | $0.130011 | $0.008701 | $0.198114 | $0.040003 | $0.205436 | $0.121310 | $0.003643 | $0.003643 |
09/15/2023 | 09/29/2023 | $0.328125 | $0.328125 | $0.130011 | $0.008701 | $0.198114 | $0.040003 | $0.205436 | $0.121310 | $0.003643 | $0.003643 |
12/15/2023 | 12/29/2023 | $0.328125 | $0.328125 | $0.130011 | $0.008701 | $0.198114 | $0.040003 | $0.205436 | $0.121310 | $0.003643 | $0.003643 |
$1.312500 | $1.312500 | $0.520044 | $0.034804 | $0.792456 | $0.160012 | $0.821744 | $0.485240 | $0.014572 | $0.014572 |
Series K Cumulative Redeemable Preferred Stock Dividends
CUSIP # 253868830
Ticker Symbol: DLRPRK
The 2023 taxable dividend for Digital Realty Trust, Inc.'s Series K Cumulative Redeemable Preferred Stock is $1.462500 per share. For tax reporting purposes, $0.579480 per share (40%) will be reported on Form 1099-DIV as ordinary income and $0.883020 per share (60%) as capital gain distribution.
The following table contains this information on a quarterly basis:
Record | Payment | Cash ($ per share) | Taxable ($ per share) | Box 1a Ordinary ($ per share) | Box 1b Qualified ($ per share) | Box 2a ($ per share) | Box 2b Unrecaptured ($ per share) | Box 2f Section ($ per share) | Box 5 Section 199A ($ per share) | Section 1061 | Section 1061 ($ per share) |
03/15/2023 | 03/31/2023 | $0.365625 | $0.365625 | $0.144870 | $0.009695 | $0.220755 | $0.044575 | $0.228914 | $0.135175 | $0.004059 | $0.004059 |
06/15/2023 | 06/30/2023 | $0.365625 | $0.365625 | $0.144870 | $0.009695 | $0.220755 | $0.044575 | $0.228914 | $0.135175 | $0.004059 | $0.004059 |
09/15/2023 | 09/29/2023 | $0.365625 | $0.365625 | $0.144870 | $0.009695 | $0.220755 | $0.044575 | $0.228914 | $0.135175 | $0.004059 | $0.004059 |
12/15/2023 | 12/29/2023 | $0.365625 | $0.365625 | $0.144870 | $0.009695 | $0.220755 | $0.044575 | $0.228914 | $0.135175 | $0.004059 | $0.004059 |
$1.462500 | $1.462500 | $0.579480 | $0.038780 | $0.883020 | $0.178300 | $0.915656 | $0.540700 | $0.016236 | $0.016236 |
Series L Cumulative Redeemable Preferred Stock Dividends
CUSIP # 253868822
Ticker Symbol: DLRPRL
The 2023 taxable dividend for Digital Realty Trust, Inc.'s Series L Cumulative Redeemable Preferred Stock is $1.300000 per share. For tax reporting purposes, $0.515092 per share (40%) will be reported on Form 1099-DIV as ordinary income and $0.784908 per share (60%) as capital gain distribution.
The following table contains this information on a quarterly basis:
Record | Payment | Cash ($ per share) | Taxable ($ per share) | Box 1a Ordinary ($ per share) | Box 1b Qualified ($ per share) | Box 2a ($ per share) | Box 2b Unrecaptured | Box 2f | Box 5 Section 199A ($ per share) | Section 1061 ($ per share) | Section 1061 ($ per share) |
03/15/2023 | 03/31/2023 | $0.325000 | $0.325000 | $0.128773 | $0.008618 | $0.196227 | $0.039622 | $0.203479 | $0.120155 | $0.003608 | $0.003608 |
06/15/2023 | 06/30/2023 | $0.325000 | $0.325000 | $0.128773 | $0.008618 | $0.196227 | $0.039622 | $0.203479 | $0.120155 | $0.003608 | $0.003608 |
09/15/2023 | 09/29/2023 | $0.325000 | $0.325000 | $0.128773 | $0.008618 | $0.196227 | $0.039622 | $0.203479 | $0.120155 | $0.003608 | $0.003608 |
12/15/2023 | 12/29/2023 | $0.325000 | $0.325000 | $0.128773 | $0.008618 | $0.196227 | $0.039622 | $0.203479 | $0.120155 | $0.003608 | $0.003608 |
$1.300000 | $1.300000 | $0.515092 | $0.034472 | $0.784908 | $0.158488 | $0.813916 | $0.480620 | $0.014432 | $0.014432 |
Note that ticker symbols may vary by stock quote provider.
About Digital Realty
Digital Realty brings companies and data together by delivering the full spectrum of data center, colocation and interconnection solutions. PlatformDIGITAL®, the company's global data center platform, provides customers with a secure data meeting place and a proven Pervasive Datacenter Architecture (PDx®) solution methodology for powering innovation and efficiently managing Data Gravity challenges. Digital Realty gives its customers access to the connected data communities that matter to them with a global data center footprint of 300+ facilities in 50+ metros across 25+ countries on six continents. To learn more about Digital Realty, please visit digitalrealty.com or follow us on LinkedIn and X.
Safe Harbor Statement
This press release contains forward-looking statements which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially, including statements related to the amount and payment of dividends on our common stock and preferred stock. For a list and description of such risks and uncertainties, see the reports and other filings by the company with the U.S. Securities and Exchange Commission. The company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
For Additional Information
Investor Relations
Jordan Sadler / Jim Huseby
Digital Realty
(737) 281-0101
InvestorRelations@digitalrealty.com
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SOURCE Digital Realty
