Blackstone Mortgage Trust Announces Tax Treatment of 2022 Dividends

Rhea-AI Summary

Blackstone Mortgage Trust (BXMT) has announced the tax treatment of its 2022 class A common stock dividends, detailing its dividend payments for the year ending December 31, 2022. The total dividends for the year amount to $2.48 per share, with a cash distribution of $0.62 per share reported for the final payment on January 13, 2023. Due to exceeding earnings, a portion of this payment will be reported as a 2023 distribution on Form 1099. Ordinary dividends may qualify for a 20% deduction under IRC Section 199A. Investors are advised to consult their tax advisors regarding implications.

Positive

• Total dividends for 2022 amount to $2.48 per share, ensuring consistent income for shareholders.
• Cash distribution of $0.62 per share announced for January 2023, indicating ongoing financial health.

Negative

• A portion of the January 2023 cash distribution is treated as a 2023 distribution for tax purposes, which may complicate shareholder tax reporting.

NEW YORK--(BUSINESS WIRE)-- Blackstone Mortgage Trust, Inc. (NYSE: BXMT) today announced the tax treatment of its 2022 class A common stock dividends. The following table summarizes Blackstone Mortgage Trust’s class A common stock dividend payments for the tax year ended December 31, 2022:

Record	Payment		Cash									Ordinary			Qualified			Capital Gain
Date	Date		Distribution			Adjustment			Dividend (1)			Dividends (2)			Dividends			Dividends
12/31/2021	1/14/2022		$	0.00		$	0.33		$	0.33(3)		$	0.330000		$	0.000000		$	0.000000
3/31/2022	4/15/2022		$	0.62		$	0.00		$	0.62		$	0.620000		$	0.000000		$	0.000000
6/30/2022	7/15/2022		$	0.62		$	0.00		$	0.62		$	0.620000		$	0.000000		$	0.000000
9/30/2022	10/14/2022		$	0.62		$	0.00		$	0.62		$	0.620000		$	0.000000		$	0.000000
12/30/2022	1/13/2023		$	0.62		$	(0.06)		$	0.56		$	0.560000		$	0.000000		$	0.000000
			$	2.48		$	0.09		$	2.75		$	2.750000		$	0.000000		$	0.000000

(1) Pursuant to IRC Section 857(b)(9), cash distributions made on January 13, 2023 with a record date of December 30, 2022 are treated as received by shareholders on December 31, 2022 to the extent of 2022 earnings and profits. As the Company’s aggregate 2022 dividends declared exceeded its 2022 earnings and profits, a portion of the January 2023 cash distribution declared in the fourth quarter of 2022 was treated as a 2023 distribution for federal income tax purposes and not included on the 2022 Form 1099. If you were a stockholder of record as of December 31, 2022, $0.56 is reported on your 2022 Form 1099 and $0.06 will be reported on your 2023 Form 1099.

(2) Ordinary dividends may be eligible for the 20% deduction applicable to “qualified REIT dividends” under IRC Section 199A(b)(1)(B). Please consult your tax advisor.

(3) As the Company’s aggregate 2021 cash distributions exceeded its 2021 earnings and profits, a portion of the January 2022 cash distribution declared in the fourth quarter of 2021 was treated as a 2022 distribution for federal income tax purposes and not included on the 2021 Form 1099. If you were a stockholder of record as of December 31, 2021, $0.29 was reported on your 2021 Form 1099 and $0.33 is reported on your 2022 Form 1099.

About Blackstone Mortgage Trust

Blackstone Mortgage Trust (NYSE:BXMT) is a real estate finance company that originates senior loans collateralized by commercial real estate in North America, Europe, and Australia. Our investment objective is to preserve and protect shareholder capital while producing attractive risk-adjusted returns primarily through dividends generated from current income from our loan portfolio. Our portfolio is composed primarily of loans secured by high-quality, institutional assets in major markets, sponsored by experienced, well-capitalized real estate investment owners and operators. These senior loans are capitalized by accessing a variety of financing options, depending on our view of the most prudent strategy available for each of our investments. We are externally managed by BXMT Advisors L.L.C., a subsidiary of Blackstone. Further information is available at www.bxmt.com.

About Blackstone

Blackstone is the world’s largest alternative asset manager. We seek to create positive economic impact and long-term value for our investors, the companies we invest in, and the communities in which we work. We do this by using extraordinary people and flexible capital to help companies solve problems. Our $975 billion in assets under management include investment vehicles focused on private equity, real estate, public debt and equity, infrastructure, life sciences, growth equity, opportunistic, non-investment grade credit, real assets and secondary funds, all on a global basis. Further information is available at www.blackstone.com. Follow @blackstone on LinkedIn, Twitter, and Instagram.

Forward-Looking Statements

This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect BXMT’s current views with respect to, among other things, its operations and financial performance, its business plans and the impact of the current macroeconomic environment, including interest rate changes. You can identify these forward-looking statements by the use of words such as “outlook,” “objective,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. BXMT believes these factors include but are not limited to those described under the section entitled “Risk Factors” in its Annual Report on Form 10-K for the fiscal year ended December 31, 2021, as such factors may be updated from time to time in its periodic filings with the Securities and Exchange Commission (“SEC”) which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this release and in the filings. BXMT assumes no obligation to update or supplement forward‐looking statements that become untrue because of subsequent events or circumstances.

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Source: Blackstone Mortgage Trust, Inc.

FAQ

What is the total dividend amount for BXMT in 2022?

The total dividend amount for Blackstone Mortgage Trust (BXMT) in 2022 is $2.48 per share.

What is the dividend payment date for BXMT in January 2023?

The dividend payment date for BXMT in January 2023 is January 13, 2023.

How does the tax treatment affect BXMT shareholders?

Due to the exceeding dividends, part of the January 2023 cash distribution is reported as a 2023 distribution, affecting tax reporting for shareholders.

Are BXMT's ordinary dividends eligible for tax deductions?

Yes, BXMT's ordinary dividends may qualify for a 20% deduction under IRC Section 199A.