Looking for a U.s. Department Of The Treasury Forms And Templates? Download it for free!

Debt Obligations. A REMIC uses this form

Other penalties. Penalties can also be

Other Forms and Returns That

to provide the information required by

imposed for negligence, substantial

May Be Required

Regulations section 1.6049-7(b)(1)(ii).

understatement of tax, and fraud. See

Form 1096, Annual Summary and

This information will be published in Pub.

sections 6662 and 6663.

Transmittal of U.S. Information Returns.

938, Real Estate Mortgage Investment

Contributions to the REMIC

Use this form to summarize and send

Conduits (REMICs) Reporting

information returns to the Internal

Generally, no gain or loss is recognized

Information. This publication contains a

Revenue Service Center.

by the REMIC or any of the regular or

directory of REMICs.

residual interest holders when property is

Form 1098, Mortgage Interest

Note: Pub. 938 is not printed. Instead, it

transferred to the REMIC in exchange for

Statement. This form is used to report the

is available on CD-ROM or the Internet.

an interest in the REMIC. The adjusted

receipt from any individual of $600 or

See How To Get Forms and

basis of the interest received equals the

more of mortgage interest and points in

Publications on page 1 of the

adjusted basis of the property transferred

the course of the REMIC’s trade or

instructions for details.

to the REMIC.

business.

Form 8822, Change of Address, may be

The basis to the REMIC of property

Forms 1099-A, B, C, INT, LTC, MISC,

used to inform the IRS of a new REMIC

transferred by a regular or residual

MSA, OID, R, and S. Use these

address if the change is made after filing

interest holder is its fair market value

information returns to report acquisitions

Form 1066.

immediately after its transfer.

or abandonments of secured property;

Payment of Tax Due

proceeds from broker and barter

If the issue price of a regular interest is

exchange transactions; cancellation of a

The REMIC must pay the tax due (line 3,

more than its adjusted basis, the excess

debt; interest income; certain payments

Section II, page 1) in full by the 15th day

is included in income by the regular

made under a long-term insurance

of the 4th month following the end of the

interest holder for the applicable tax years

contract and certain accelerated death

tax year. Enclose with Form 1066 a check

as if the excess were market discount on

benefits; miscellaneous income

or money order for the amount due

a bond and the holder had made an

payments; distributions from an Archer

payable to the “United States Treasury.”

election under section 1278(b) to include

MSA or Medicare+Choice MSA; original

this market discount currently. If the issue

Interest and Penalties

issue discount; distributions from

price of a residual interest is more than its

pensions, annuities, retirement or

Interest. Interest is charged on taxes not

adjusted basis, the excess is amortized

profit-sharing plans, IRAs, insurance

paid by the due date, even if an extension

and included in the residual interest

contracts, etc.; and proceeds from real

of time to file is granted. Interest is also

holder’s income ratably over the

estate transactions. Also, use these

charged on penalties imposed for failure

anticipated weighted average life of the

returns to report amounts that were

to file, negligence, fraud, gross valuation

REMIC (as defined in Regulations section

received as a nominee on behalf of

overstatement, and substantial

1.860E-1(a)(3)(iv)).

another person.

understatement of tax from the due date

If the adjusted basis of a regular

(including extensions) to the date of

For more details, see the Instructions

interest is more than its issue price, the

payment. The interest charge is figured at

for Forms 1099, 1098, 5498, and W-2G.

regular interest holder treats the excess

a rate determined under section 6621.

as amortizable bond premium subject to

Note: Generally, a REMIC must file

Late filing penalty. A penalty may be

the rules of section 171. If the adjusted

Forms 1099-INT and 1099-OID, as

charged if (a) the return is filed after the

basis of a residual interest is more than

appropriate, to report accrued income of

due date (including extensions), or (b) the

its issue price, the excess is deductible

$10 or more of regular interest holders.

return does not show all the information

ratably over the anticipated weighted

See Regulations section 1.6049-7. Also,

required, unless each failure is due to

average life of the REMIC (as defined in

every REMIC must file Forms 1099-MISC

reasonable cause. If the failure is due to

Regulations section 1.860E-1(a)(3)(iv)).

if it makes payments of rents,

reasonable cause, attach an explanation

commissions, or other fixed or

Payments Subject to

to the return. If no taxes are due, the

determinable income (see section 6041)

Withholding at Source

penalty is $50 for each month or part of a

totaling $600 or more to any one person

month (up to 5 months) the return is late

If there are any nonresident alien

in the course of its trade or business

or does not include the required

individuals, foreign partnerships, or

during the calendar year.

information, multiplied by the total number

foreign corporations as regular interest

Form 8275, Disclosure Statement, and

of persons who were residual interest

holders or residual interest holders, and

Form 8275-R, Regulation Disclosure

holders in the REMIC during any part of

the REMIC has items of gross income

Statement. Use these forms to disclose

the REMIC’s tax year for which the return

from sources within the United States

items or positions taken on a tax return

is due. If tax is due, the penalty is the

(see sections 861 through 865), see

that are not otherwise adequately

amount stated above plus 5% of the

Form 1042, Annual Withholding Tax

disclosed on the return or that are

unpaid tax for each month or part of a

Return for U.S. Source Income of Foreign

contrary to Treasury regulations (to avoid

month the return is late, up to a maximum

Persons.

parts of the accuracy-related penalty or

of 25% of the unpaid tax, or if the return

certain preparer penalties).

Who Must Sign

is more than 60 days late, a $100

Form 8300, Report of Cash Payments

minimum or the balance of tax due on the

Startup day after November 9, 1988.

Over $10,000 Received in a Trade or

return, whichever is smaller.

For a REMIC with a startup day after

Business. Generally, this form is used to

Late payment penalty. The penalty for

November 9, 1988, Form 1066 may be

report the receipt of more than $10,000 in

not paying the tax when due is usually

signed by any person who could sign the

cash or foreign currency in one

of 1% of the unpaid tax for each month or

return of the entity in the absence of the

transaction (or a series of related

part of a month the tax is unpaid. The

REMIC election. Thus, the return of a

transactions).

penalty cannot exceed 25% of the unpaid

REMIC that is a corporation or trust would

Form 8811, Information Return for Real

tax. The penalty will not be charged if you

be signed by a corporate officer or a

Estate Mortgage Investment Conduits

can show reasonable cause for not

trustee, respectively. For REMICs with

(REMICs) and Issuers of Collateralized

paying on time.

only segregated pools of assets, the

-3-

Form 1066 - Instructions For U.s. Real Estate Mortgage Investment Conduit (Remic) Income Tax Return Form Page 3

Related Articles

Related forms

Related Categories