Weyerhaeuser Announces Tax Treatment of 2020 Distributions

Rhea-AI Summary

Weyerhaeuser Company (NYSE: WY) announced that its 2020 dividend distributions totaling $0.51 per share are classified as Capital Gain Distributions, specifically $0.34 on March 20 and $0.17 on December 18. These distributions are considered long-term capital gains and are not eligible for the 20% qualified business income deduction per Section 199A. Shareholders are advised to consult tax advisors regarding the implications of these distributions on their tax situations.

Positive

• 2020 dividend distributions totaled $0.51 per share, indicating company profitability.

Negative

• Dividends classified as capital gains are not eligible for the 20% Section 199A deduction, potentially increasing tax liability for shareholders.

SEATTLE, Jan. 14, 2021 /PRNewswire/ -- For shareholders of Weyerhaeuser Company (NYSE: WY), the 2020 dividend distributions totaling $0.51 per share on the Common Stock CUSIP 96216610 traded under the symbol WY are classified for income tax purposes as Capital Gain Distributions, which are treated as long-term capital gain. The common share dividends were paid as follows: $0.34 on March 20, 2020; and $0.17 on December 18, 2020.

Because the company's dividend distributions are characterized as capital gains, they are not eligible for the 20 percent qualified business income deduction (Section 199A deduction).

Shareholders are encouraged to consult their tax advisor to determine the specific effect these distributions may have on their individual tax situation.

ABOUT WEYERHAEUSER
Weyerhaeuser Company, one of the world's largest private owners of timberlands, began operations in 1900. We own or control approximately 11 million acres of timberlands in the U.S. and manage additional timberlands under long-term licenses in Canada. We manage these timberlands on a sustainable basis in compliance with internationally recognized forestry standards. We are also one of the largest manufacturers of wood products in North America. Our company is a real estate investment trust. In 2019, we generated $6.6 billion in net sales and employed approximately 9,400 people who serve customers worldwide. We are listed on the Dow Jones Sustainability North America Index. Our common stock trades on the New York Stock Exchange under the symbol WY. Learn more at www.weyerhaeuser.com.

For more information contact:
Analysts – Beth Baum, 206-539-3907
Media – Nancy Thompson, 919-861-0342

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SOURCE Weyerhaeuser Company

FAQ

What is the total dividend distribution per share for Weyerhaeuser in 2020?

The total dividend distribution per share for Weyerhaeuser in 2020 was $0.51.

When were the Weyerhaeuser dividend payments made in 2020?

The Weyerhaeuser dividend payments were made on March 20, 2020 ($0.34) and December 18, 2020 ($0.17).

How are Weyerhaeuser's 2020 dividends classified for tax purposes?

Weyerhaeuser's 2020 dividends are classified as Capital Gain Distributions, treated as long-term capital gains.

Are Weyerhaeuser's capital gain distributions eligible for the Section 199A deduction?

No, Weyerhaeuser's capital gain distributions are not eligible for the 20% qualified business income deduction under Section 199A.

What should shareholders do regarding the tax treatment of Weyerhaeuser's distributions?

Shareholders should consult their tax advisors to determine how these distributions may affect their individual tax situations.