Company: NXDT
Filing Date: 2025-04-11
Form Type: S-4
Source: 0001437749-25-011826
Chunk: 188

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-04-11
Form: S-4
Chunk 188
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 to information reporting or backup withholding. However, a sale of such shares that is effected at a foreign office of a broker will be subject to information reporting and backup withholding if:

| ● | the proceeds are transferred to an account maintained by such non-U.S. stockholder in the United States; |

| ● | the payment of proceeds or the confirmation of the sale is mailed to such non-U.S. stockholder at a United States address; or |

| ● | the sale has some other specified connection with the United States as provided in U.S. Treasury regulations, unless the broker does not have actual knowledge or reason to know that such non-U.S. stockholder is a U.S. person and the documentation requirements described above are met or such non-U.S. stockholder otherwise establishes an exemption. |

In addition, a sale of shares of New Stock will be subject to information reporting if such sale is effected at a foreign office of a broker that is:

| ● | a U.S. person, |

| ● | a controlled foreign corporation for U.S. federal tax purposes, |

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| ● | a foreign partnership, if at any time during its tax year: |

| ● | one or more of such foreign partnership’s partners are “U.S. persons,” as defined in U.S. Treasury regulations, who in the aggregate hold more than 50% of the income or capital interest in the partnership, or |

| ● | such foreign partnership is engaged in the conduct of a U.S. trade or business, unless the broker does not have actual knowledge or reason to know that such non-U.S. stockholder is a United States person and the documentation requirements described above are met or such non-U.S. stockholder otherwise establishes an exemption. Backup withholding will apply if the sale is subject to information reporting and the broker has actual knowledge that such non-U.S. stockholder is a U.S. person. |

A non-U.S. stockholder generally may obtain a refund of any amounts withheld under the backup withholding rules that exceed its income tax liability by timely filing a refund claim with the IRS.

FATCA Withholding

Pursuant to Sections 1471 through 1474 of the Code, commonly known as the Foreign Account Tax Compliance Act (“FATCA”), a 30% withholding tax (“FATCA Withholding”) may be imposed on certain payments to non-U.S. stockholders or to certain foreign financial institutions, investment funds and other non-U.S. persons receiving payments