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Tax Efficient Deferred Returns

REICG has built this offering with tax efficiency in mind. REICG pays annual tax at the corporate level, it is not passed down to the investor level.  All investor gains are not realized, for tax purposes, until an investor decides to liquidate their position and all of those returns should be tax deferred and taxed at the capital gains rate.  This means that any profits or gains from your real estate investments are not taxed year over year but are instead deferred until you decide to sell or liquidate your position. When you do choose to sell, the taxes owed are at the capital gains rate, which is typically lower than the ordinary income tax rate.

This strategic delay in taxation not only preserves more of your capital to continue compounding and growing over time but also potentially positions you in a more favorable tax bracket upon liquidation. The ability to reinvest the entirety of your earnings back into your portfolio amplifies the power of compounding, further enhancing the growth potential of your investment. By strategically timing your exit, you can maximize your investment’s growth and minimize the tax impact, making tax-deferred real estate investment an attractive option for long-term wealth building.

All investors should consult with their personal tax advisor to evaluate their unique tax situation.

Questions? You’re Covered

Tax specific questions are able to be answer in generalities but each investor should consult with their personal tax advisor to address their own unique situation.

We have structured REICG to deliver long-term value appreciation and growth.  Assuming you have held you position long enough to qualify for Capital Gains treatment when you sell or redeem your shares. This means that all of the appreciation in share value that you have enjoyed should be taxed as a capital gain and not as ordinary income.  

Please note that not all international jurisdictions have a Capital Gains Tax.

Our investment strategy is not designed to distribute dividends and we have no intention of ever making dividend distributions. 

However, in the event a distribution becomes warranted or necessary, dividends will most likely be taxed as ordinary income for our investors.

Because we are offering returns only as capital gains, there should not be any US tax withholding for Non-US investors.  That means you will be taxed in your home country and be subject to their tax laws and jurisdiction.  

REICG Shares will not be exposed to “Unrelated Debt Financed Income” (UDFI) for Retirement Accounts. For the simple reason there is no income, we do not make distributions of profit.

That means the REICG is perfect for IRAs, 401Ks, and ROTH IRAs.