#United States #Dallas #Ashford Trust #preferred shares #Tax Reporting

Ashford Hospitality Trust Releases Tax Reporting Information for 2025 Preferred Share Distributions

On January 27, 2026, Ashford Hospitality Trust, Inc. (NYSE: AHT) disclosed important tax information regarding preferred share distributions for the 2025 fiscal year. This communication is especially pertinent for shareholders who are keen on understanding the tax implications of their investments in the company's various series of preferred stocks.

Understanding the Tax Reporting Framework

The company’s recent announcement highlights the reporting requirements associated with the dividends paid to preferred stockholders. Specifically, the fiscal year 2025 will reflect the distributions made on Series D, F, G, H, I, J, K, L, and M preferred shares, with payments noted for stockholders who were on record by December 31, 2024. It is pertinent to note that any distributions declared after this date but not yet distributed will be paid when feasible, with tax reporting expected in the year these payments are made.

In compliance with IRS guidelines under Section 6045B, Ashford Trust will make available Form 8937, which outlines the organizational actions that impact the basis of the specified securities. This form is essential as it details the return of capital constituents of the distributions, supporting shareholders in accurately reporting these dividends.

Breakdown of Preferred Share Distributions

The various series of preferred shares and their respective distributions reflect different financial implications for shareholders:

• - Series D Cumulative Preferred Stock (AHTPrD): $2.1124 per share reported entirely as a return of capital.
• - Series F & G Cumulative Preferred Stock (AHTPrF & AHTPrG): Both series similarly report $1.8436 as a return of capital.
• - Series H & I Cumulative Preferred Stock (AHTPrH & AHTPrI): Each series provides a $1.8750 return of capital.
• - Series J Preferred Stock: Multiple allocations exist, with an average of approximately $2.0000 per share returned.
• - Series K, L, and M Preferred Stocks continue this trend, with varying returns, documenting how each impacts tax obligations differently.

This granularity adds clarity for investors regarding their tax liabilities and the type of income being created from their investment.

Advisory Notice to Shareholders

The corporation insists that investors seek guidance from tax advisors regarding the intricacies of federal, state, local, and international tax effects of these dividends. In such an evolving tax landscape, the company's commitment to transparency and comprehensive reporting showcases its dedication to corporate governance and shareholder value.

Conclusion

Ashford Hospitality Trust continues to position itself as a significant player in the real estate investment trust (REIT) sector, particularly focusing on high-end, full-service hospitality assets. The careful monitoring of its distribution policies and the associated tax implications reflects a sound strategy towards maximizing shareholder returns while navigating the complexities of tax obligations. With an eye towards future financial initiatives and share distributions, Ashford Trust remains committed to equity and transparency in its communications with stakeholders. Investors should remain vigilant in assessing their tax situations in conjunction with these updates to optimize their investment strategies.