To amend the Internal Revenue Code of 1986 to restore the taxable REIT subsidiary asset test.

This bill changes a tax rule for REITs and their taxable subsidiaries. It raises the limit on how much of a REIT’s assets can be held in its taxable subsidiary. The cap goes up from 20% to 25%.

Key points:

• Who is affected: REITs that own taxable subsidiaries.
• What changes: The asset limit increases from 20% to 25%.
• When: Applies to tax years starting after December 31, 2025.