Company: GMRE
Filing Date: 2025-11-13
Form Type: 424B5
Source: 0001104659-25-110926
Chunk: 113

Company: Global Medical REIT Inc.
Filing Date: 2025-11-13
Form: 424B5
Chunk 113
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 test, as described below under “—Asset Tests,” as long as the failure was due to reasonable cause and not to willful                      
 neglect, we file a schedule with the IRS describing each asset that caused such failure, and we dispose of the assets causing the failure 
 or otherwise comply with the asset tests within six months after the last day of the quarter in which we identify such failure, we will   
 pay a tax equal to the greater of $50,000 or the highest U.S. federal income tax rate then applicable to U.S. corporations (currently     
 21%) on the net income from the non-qualifying assets during the period in which we failed to satisfy the asset tests.                    |

| · | If we fail to satisfy one or more requirements for REIT qualification, other than the gross income tests and the asset tests, and          
 such failure is due to reasonable cause and not to willful neglect, we will be required to pay a penalty of $50,000 for each such failure. |

| · | the amount of gain that we recognize at the time of the sale or disposition, and |

| · | the amount of gain that we would have recognized if we had sold the asset at the time we acquired the asset. |

| 40 |

| · | We may be required to pay monetary penalties to the IRS in certain circumstances, including if we fail to meet recordkeeping requirements 
 intended to monitor our compliance with rules relating to the composition of a REIT’s stockholders, as described below in “—Recordkeeping 
 Requirements.”                                                                                                                            |

| · | The earnings of our lower-tier entities that are treated as C corporations, including our TRS and any other TRS we may form in the 
 future, will be subject to U.S. federal corporate income tax.                                                                      |

In addition, notwithstanding our qualification
as a REIT, we may also have to pay certain state and local income taxes because not all states and localities treat REITs in the same
manner that they are treated for U.S. federal income tax purposes. Moreover, as further described below, our TRS and any other TRS we
may form in the future will be subject to U.S. federal, state and local corporate income tax on its taxable income.

Requirements for Qualification

A REIT is a corporation, trust, or association
that meets each of the following requirements:

| 1. | It is managed by one or more trustees or directors. |

| 2. | Its beneficial