Ares Capital Corporation Announces Tax Reporting Information for Calendar Year 2022

Rhea-AI Summary

Ares Capital Corporation (NASDAQ:ARCC) has announced the tax treatment of its 2022 common stock distributions. The record date for the distributions was March 15, 2022, with a payable date of March 31, 2022. A total of $1.8700 was paid per share, with ordinary income of $1.73809 and interest-related dividends at $0.05824. On June 15, September 15, and December 15, 2022, further distributions were announced, with totals of $0.4500, $0.4600, and $0.5100 per share, respectively. Notably, 100% of the dividends paid per share qualify as ordinary income, with no capital gain dividends. Investors are advised to consult tax professionals regarding specifics.

Positive

• Total distributions for 2022 equaled $1.8700 per share.
• 100% of the dividends are designated as ordinary income eligible for tax advantages.

Negative

• None.

NEW YORK--(BUSINESS WIRE)-- Ares Capital Corporation (“Ares Capital” or the “Company”) (NASDAQ:ARCC) announced today the tax treatment of the Company’s 2022 common stock distributions (CUSIP #: 04010L103).

Record Date		Payable Date		Total Paid Per Share		Ordinary Income Per Share				Long Term Capital Gains per Share (2)		Interest - Related Dividends (3)
						Ordinary Rate		20% Rate (1)
3/15/2022		3/31/2022		$0.4500		$0.43541		$0.01459		$0.0000		81.78659%
6/15/20221		6/30/2022		$0.4500		$ 0.43541		$0.01459		$0.0000		81.78659%
9/15/2022		9/30/2022		$0.4600		$0.44509		$0.01491		$0.0000		81.01410%
12/15/2022		12/29/2022		$0.5100		$. 0.42218		$0.01415		$0.07367		76.84252%
				$1. 8700		$1.73809		$0.05824		$0.07367
% of Total Dividends Paid Per Share				100.0000%		92.945989%		3.114439%		3.939572%

(1) The Company hereby designates these distributions as amounts eligible for treatment as qualified dividend income in accordance with IRC section 854(b) as well as eligible for the dividends received deduction available to certain U.S. domestic corporations.

(2) No portion of the Company’s distributions is designated as an amount eligible for treatment as a capital gain dividend in accordance with IRC sections 852(b)(3) and 854(a).

(3) The Company hereby designates the above percentages of each of the total dividends by payment date as “interest-related dividends” within the meaning of IRC section 871(k).

This press release is not intended to constitute tax, legal, investment, or other professional advice. This is general information and should not be relied upon for tax purposes. Stockholders should consult their tax advisor for tax guidance pertinent to specific facts and circumstances.

ABOUT ARES CAPITAL CORPORATION

Founded in 2004, Ares Capital is a leading specialty finance company focused on providing direct loans and other investments in private middle market companies in the United States. Ares Capital’s objective is to source and invest in high-quality borrowers that need capital to achieve their business goals, which often leads to economic growth and employment. Ares Capital believes its loans and other investments in these companies can generate attractive levels of current income and potential capital appreciation for investors. Ares Capital, through its investment manager, utilizes its extensive, direct origination capabilities and incumbent borrower relationships to source and underwrite predominantly senior secured loans but also subordinated debt and equity investments. Ares Capital has elected to be regulated as a business development company (“BDC”) and is the largest publicly traded BDC by market capitalization as of December 31, 2022. Ares Capital is externally managed by a subsidiary of Ares Management Corporation (NYSE:ARES), a publicly traded, leading global alternative investment manager. For more information about Ares Capital, visit www.arescapitalcorp.com.

FORWARD-LOOKING STATEMENTS

Statements included herein or on the webcast/conference call may constitute “forward-looking statements,” which relate to future events or Ares Capital’s future performance or financial condition. These statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results and conditions may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in Ares Capital’s filings with the Securities and Exchange Commission. Ares Capital undertakes no duty to update any forward-looking statements made herein or on the webcast/conference call.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230131005779/en/

Ares Capital Corporation

Carl G. Drake

John Stilmar

888-818-5298

Source: Ares Capital Corporation

FAQ

What is the total distribution amount per share for Ares Capital in 2022?

Ares Capital's total distribution amount for 2022 was $1.8700 per share.

When was the record date for Ares Capital's 2022 common stock distributions?

The record date for the distributions was March 15, 2022.

What is the ordinary income per share for Ares Capital's distributions in 2022?

The ordinary income per share for Ares Capital's 2022 distributions was $1.73809.

Are Ares Capital's distributions eligible for tax deductions?

Yes, Ares Capital's distributions are eligible for treatment as qualified dividend income.

What percentage of Ares Capital's dividends are classified as ordinary income?

100% of Ares Capital's dividends paid per share are classified as ordinary income.