ATTENTION FORMER SHAREHOLDERS OF BELPOINTE REIT, INC.
ATTENTION UNITHOLDERS OF BELPOINTE PREP, LLC
On April 12, 2022, the U.S. Internal Revenue Service (“IRS”) announced that it would begin mailing letters to taxpayers with qualified opportunity fund (“QOF”) investments when those taxpayers needed to take additional actions with respect to their federal income tax filings.
You can read the IRS’s official release here: https://www.irs.gov/newsroom/irs-letters-going-out-to-taxpayers-who-may-need-to-take-action-related-to-qualified-opportunity-funds
If you receive a Letter 6052, Reporting Qualified Opportunity Fund (QOF) Investments, or a Letter 6053, Annual Reporting of Qualified Opportunity Fund (QOF) Investments, you may not have properly followed the instructions for Form 8997, Initial and Annual Statement of Qualified Opportunity Fund (QOF) Investments and the IRS may be missing information from you, you may have entered invalid information or you may not have properly followed the requirements to maintain your qualifying investment in a QOF.
You may need to file an amended return or an administrative adjustment request with a properly completed Form 8997, Initial and Annual Statement of Qualified Opportunity Fund (QOF) Investments, attached.
Please be advised that we have contacted the IRS to confirm that Belpointe REIT, Inc. (EIN 83-1314648), which was acquired by Belpointe PREP, LLC (EIN 84-4412083) during the 2021 tax year, has timely filed its 2018, 2019 and 2020 tax returns, as well as its Form 8996, Qualified Opportunity Fund.
You should contact your tax advisor or a qualified tax professional, even if you believe that you have received a Letter 6052, Reporting Qualified Opportunity Fund (QOF) Investments, or a Letter 6053, Annual Reporting of Qualified Opportunity Fund (QOF) Investments, in error. You may also contact the IRS Program Manager listed on your letter.
This summary has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice; there may be additional considerations that impact your individual tax situation. You should not use this summary as a substitute for professional tax advice. We urge you to consult with your tax advisor or a qualified tax professional prior to acting on any of the information contained in this summary.