PS Business Parks, Inc. Announces Tax Treatment of 2021 Dividends

Rhea-AI Summary

PS Business Parks (NYSE: PSB) has announced the tax treatment for its 2021 dividend distributions. The total common stock distribution amounted to $8.80 per share, with ordinary dividends categorized as $3.079146 and capital gains at $5.720854. For preferred stocks, Series Z, Y, X, and W had distributions totaling $1.218750, $1.300000, $1.312500, and $0.975000 respectively. These classifications will assist in the preparation of Form 1099 for shareholders. The information is based on preliminary results and is subject to further adjustments.

Positive

• Total dividend distribution of $8.80 per share for common stock enhances shareholder income.
• High proportion of capital gains in distributions indicates strong financial performance.

Negative

• None.

GLENDALE, Calif.--(BUSINESS WIRE)-- PS Business Parks, Inc. (NYSE:PSB) announced today the tax treatment of the Company’s 2021 dividends. For the tax year ended December 31, 2021, the distributions for the common stock and preferred stock were classified as follows:

Common Stock – CUSIP Number 69360J 10 7

	Form 1099-Div Box:		Box 1a	Box 1b	Box 2a	Box 2b	Box 2f	Box 5
Record Date	Payable Date	Total Distribution Per Share	Total Ordinary Dividends(1)	Qualified Dividends(2)	Total Capital Gain Distribution	Unrecaptured Section 1250 Gain(3)	Section 897 Capital Gain(4)	Section 199A Dividends(5)
3/16/2021	3/31/2021	$1.050000	$0.367398	$0.000000	$0.682602	$0.016227	$0.682602	$0.367398
6/15/2021	6/30/2021	$1.050000	$0.367398	$0.000000	$0.682602	$0.016227	$0.682602	$0.367398
9/15/2021	9/30/2021	$1.050000	$0.367398	$0.000000	$0.682602	$0.016227	$0.682602	$0.367398
12/15/2021	12/30/2021	$5.650000	$1.976952	$0.000000	$3.673048	$0.087316	$3.673048	$1.976952
Totals:		$8.800000	$3.079146	$0.000000	$5.720854	$0.135997	$5.720854	$3.079146

Series Z – Preferred Stock – CUSIP Number 69360J 55 2

	Form 1099-Div Box:		Box 1a	Box 1b	Box 2a	Box 2b	Box 2f	Box 5
Record Date	Payable Date	Total Distribution Per Share	Total Ordinary Dividends(1)	Qualified Dividends(2)	Total Capital Gain Distribution	Unrecaptured Section 1250 Gain(3)	Section 897 Capital Gain(4)	Section 199A Dividends(5)
3/16/2021	3/31/2021	$0.304688	$0.106611	$0.000000	$0.198077	$0.004709	$0.198077	$0.106611
6/15/2021	6/30/2021	$0.304687	$0.106611	$0.000000	$0.198076	$0.004709	$0.198076	$0.106611
9/15/2021	9/30/2021	$0.304688	$0.106611	$0.000000	$0.198077	$0.004709	$0.197077	$0.106611
12/15/2021	12/30/2021	$0.304687	$0.106611	$0.000000	$0.198076	$0.004709	$0.197076	$0.106611
Totals:		$1.218750	$0.426444	$0.000000	$0.792306	$0.018836	$0.792306	$0.426444

Series Y – Preferred Stock – CUSIP Number 69360J 57 8

	Form 1099-Div Box:		Box 1a	Box 1b	Box 2a	Box 2b	Box 2f	Box 5
Record Date	Payable Date	Total Distribution Per Share	Total Ordinary Dividends(1)	Qualified Dividends(2)	Total Capital Gain Distribution	Unrecaptured Section 1250 Gain(3)	Section 897 Capital Gain(4)	Section 199A Dividends(5)
3/16/2021	3/31/2021	$0.325000	$0.113718	$0.000000	$0.211282	$0.005023	$0.211282	$0.113718
6/15/2021	6/30/2021	$0.325000	$0.113718	$0.000000	$0.211282	$0.005023	$0.211282	$0.113718
9/15/2021	9/30/2021	$0.325000	$0.113718	$0.000000	$0.211282	$0.005023	$0.211282	$0.113718
12/15/2021	12/30/2021	$0.325000	$0.113718	$0.000000	$0.211282	$0.005023	$0.211282	$0.113718
Totals:		$1.300000	$0.454872	$0.000000	$0.845128	$0.020092	$0.845128	$0.454872

Series X – Preferred Stock – CUSIP Number 69360J 59 4

	Form 1099-Div Box:		Box 1a	Box 1b	Box 2a	Box 2b	Box 2f	Box 5
Record Date	Payable Date	Total Distribution Per Share	Total Ordinary Dividends(1)	Qualified Dividends(2)	Total Capital Gain Distribution	Unrecaptured Section 1250 Gain(3)	Section 897 Capital Gain(4)	Section 199A Dividends(5)
3/16/2021	3/31/2021	$0.328125	$0.114812	$0.000000	$0.213313	$0.005071	$0.213313	$0.114812
6/15/2021	6/30/2021	$0.328125	$0.114812	$0.000000	$0.213313	$0.005071	$0.213313	$0.114812
9/15/2021	9/30/2021	$0.328125	$0.114812	$0.000000	$0.213313	$0.005071	$0.213313	$0.114812
12/15/2021	12/30/2021	$0.328125	$0.114812	$0.000000	$0.213313	$0.005071	$0.213313	$0.114812
Totals:		$1.312500	$0.459248	$0.000000	$0.853252	$0.020284	$0.853252	$0.459248

Series W – Preferred Stock – CUSIP Number 69360J 62 8

	Form 1099-Div Box:		Box 1a	Box 1b	Box 2a	Box 2b	Box 2f	Box 5
Record Date	Payable Date	Total Distribution Per Share	Total Ordinary Dividends(1)	Qualified Dividends(2)	Total Capital Gain Distribution	Unrecaptured Section 1250 Gain(3)	Section 897 Capital Gain(4)	Section 199A Dividends(5)
3/16/2021	3/31/2021	$0.325000	$0.113718	$0.000000	$0.211282	$0.005023	$0.211282	$0.113718
6/15/2021	6/30/2021	$0.325000	$0.113718	$0.000000	$0.211282	$0.005023	$0.211282	$0.113718
9/15/2021	9/30/2021	$0.325000	$0.113718	$0.000000	$.0211282	$0.005023	$0.211282	$0.113718
Totals:		$0.975000	$0.341154	$0.000000	$0.633846	$0.015069	$0.633846	$0.341154

	(1)		For shareholders other than corporations, the ordinary dividends are “qualified REIT dividends” under the qualified business income provisions enacted as part of the Tax Cuts and Jobs Act of 2017.
	(2)		The ordinary income dividends are not “qualified dividend income” for purposes of determining dividends that are taxed as net capital gain.
	(3)		The percentage of the long-term capital gain that constitutes unrecaptured section 1250 gain is 2.3772%. Corporate shareholders subject to IRC §291 should treat 20% of the unrecaptured section 1250 gain as ordinary income.
	(4)		All of the capital gain is Section 897 capital gain for foreign shareholders.
	(5)		The Tax Cuts and Jobs of 2017, generally allows a deduction for individuals equal to 20% of ordinary dividends distributed by a REIT (excluding capital gain dividends and qualified dividend income). Section 199A Dividends (Box 5) are a subset of, and are included in, the Taxable Ordinary Dividends reported in Box 1a.

This release is based on the preliminary results of work on the Company’s tax filings and is subject to correction or adjustment when the filings are completed. The Company is releasing information at this time to aid those required to distribute Forms 1099 on the Company’s distributions. No material change in this classification is expected.

If you have questions, please consult your tax advisor for further guidance.

Company Information

PS Business Parks, Inc. (NYSE:PSB), a S&P MidCap 400 company, is a REIT that acquires, develops, owns, and operates commercial properties, predominantly multi-tenant industrial, industrial-flex, and low-rise suburban office. Located primarily in major coastal markets, PS Business Parks’ 97 properties serve 5,000 tenants in 28 million square feet of space as of December 1, 2021. The portfolio also includes 800 residential units (including units in-process).

Additional information about PS Business Parks, Inc. is available on the Company’s website which can be found at psbusinessparks.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220121005454/en/

Adeel Khan

(818) 244-8080, Ext. 8975

Source: PS Business Parks, Inc.

FAQ

What is the total dividend distribution for PSB in 2021?

The total dividend distribution for PSB in 2021 was $8.80 per share for common stock.

When were the dividends for PSB common stock paid?

Dividends for PSB common stock were paid on March 31, June 30, September 30, and December 30, 2021.

What are the tax classifications for PSB's 2021 dividend distributions?

Common stock distributions were classified as $3.079146 ordinary dividends and $5.720854 capital gains.

How much were the preferred stock dividends paid by PSB in 2021?

The total preferred stock dividends paid by PSB in 2021 were $1.218750 for Series Z, $1.300000 for Series Y, $1.312500 for Series X, and $0.975000 for Series W.