ZAIS Financial Corp. Announces 2015 Dividend Tax Information

17 Feb, 2016, 17:00 ET from ZAIS Financial Corp.

RED BANK, N.J., Feb. 17, 2016 /PRNewswire/ -- ZAIS Financial Corp. (the "Company") (NYSE: ZFC) today announced tax reporting information regarding dividend distributions on its common stock for the tax year ended December 31, 2015. 

The following table provides detailed information relating to the dividend distributions paid to the Company's common stockholders with respect to the 2015 tax year.  This information is provided for informational purposes only and should not be construed as tax advice.  It should only be used to clarify Federal Form 1099-DIV:

ZAIS Financial Corp. Common Stock: (CUSIP # 98886K108):

Declaration Date

Record Date

Payment Date

Distribution per Share

Ordinary Dividend

Qualified Dividend

Capital Gain

Return of Capital

03/19/15

03/31/15

04/15/15

$0.400

$0.1705

$0.000

$0.000

$0.2295

06/19/15

06/30/15

07/15/15

$0.400

$0.1705

$0.000

$0.000

$0.2295

09/17/15

09/30/15

10/15/15

$0.400

$0.1705

$0.000

$0.000

$0.2295

 

The Company is a Maryland corporation that has elected to be taxed as a real estate investment trust (REIT) for U.S. federal income tax purposes. In accordance with Internal Revenue Service Code Section 857(b)(9), dividends payable from earnings and profits declared by a REIT in the last three months of a calendar year, with a record date in such calendar year, but which are payable in January of the following year, are considered paid for Form 1099-DIV reporting purposes on December 31 of such calendar year, not on the payable date.

During the 2015 calendar year, the Company declared total dividend distributions of $1.60 per share of common stock, out of which $1.20 per share dividend distributions were paid in 2015 and $0.40 per share dividend distribution was declared in December 2015 and paid in January 2016. Since the Company had fully distributed its earnings and profits prior to the distribution declared in December 2015, such distribution is not considered paid during the tax year ended December 31, 2015 for Form 1099-DIV reporting purposes. Such distribution will be considered paid in the 2016 tax year.

Further, the Company's dividend distributions that are characterized as ordinary income are generally subject to U.S. federal income tax at full ordinary income tax rates. For stockholders that are corporations, the Company's dividend distributions are not eligible for the corporate dividend distributions received deduction on Form 1120.

Stockholders should review the 2015 tax statements that they receive from their brokerage firms in order to ensure that the Company's dividend distribution information reported on such statements conforms to the information set forth above. Stockholders are also encouraged to consult with their tax advisors regarding the specific federal, state, local, foreign and other tax consequences of ownership of the Company's stock and to determine their individual tax treatment of dividend distributions on the Company's stock.

ABOUT ZAIS FINANCIAL CORP.

ZAIS Financial Corp. is a real estate investment trust (REIT) which invests in, finances and manages a diversified portfolio of residential mortgage assets, other real estate-related securities and financial assets. The Company is externally managed and advised by ZAIS REIT Management, LLC, a subsidiary of ZAIS Group, LLC.  Additional information can be found on the Company's website at www.zaisfinancial.com.

This press release contains statements that constitute "forward-looking statements," as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. These statements are based on management's current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements; the Company can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from the Company's expectations include, but are not limited to, availability of suitable investment opportunities; changes in interest rates; changes in the yield curve; changes in prepayment rates; the availability and terms of financing; general economic conditions; market conditions; conditions in the market for mortgage-related investments; legislative and regulatory changes that could adversely affect the business of the Company; and other factors, including those set forth in the Risk Factors section of the Company's Annual Report on Form 10-K for the year ended December 31, 2014 and other reports filed by the Company with the Securities and Exchange Commission (the "SEC"), copies of which are available on the SEC's website, www.sec.gov. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law. 

 

SOURCE ZAIS Financial Corp.



RELATED LINKS

http://www.zaisfinancial.com