Company: RITM-PC
Filing Date: 2025-08-01
Form Type: 424B5
Source: 0001140361-25-028380
Chunk: 76

Company: Rithm Capital Corp.
Filing Date: 2025-08-01
Form: 424B5
Chunk 76
---
 a transaction in which the adjusted tax basis of the assets in our hands is determined by reference to the adjusted tax basis of the assets in the hands of the subchapter C corporation, we may be subject to tax on such appreciation at the highest corporate income tax rate then applicable if we subsequently recognize gain on a disposition of any such assets during a period of five years following their acquisition from the subchapter C corporation. |

| • | The earnings of any subsidiary that is a subchapter C corporation, including any TRS, may be subject to U.S. federal corporate income tax. |

In addition, we and our subsidiaries may be subject to a variety of other taxes, including payroll taxes and state, local, and foreign income, property and other taxes on assets and operations. We could also be subject to tax in situations and on transactions not presently contemplated.

34

TABLE OF CONTENTS

Requirements for Qualification-General The Code defines a REIT as a corporation, trust or association:

| 1) | that is managed by one or more trustees or directors; |

| 2) | the beneficial ownership of which is evidenced by transferable shares, or by transferable certificates of beneficial interest; |

| 3) | that would be taxable as a domestic corporation but for its election to be subject to tax as a REIT; |

| 4) | that is neither a financial institution nor an insurance company subject to specific provisions of the Code; |

| 5) | the beneficial ownership of which is held by 100 or more persons; |

| 6) | in which, during the last half of each taxable year, not more than 50% in value of the outstanding stock is owned, directly or indirectly, by five or fewer “individuals” (as defined in the Code to include specified tax-exempt entities); |

| 7) | which meets other tests described below, including with respect to the nature of its income and assets; and |

| 8) | that makes an election to be a REIT for the current taxable year or has made such an election for a previous taxable year that has not been terminated or revoked. |

The Code provides that conditions (1) through (4) must be met during the entire taxable year, and that condition (5) must be met during at least 335 days of a taxable year of 12 months, or during a proportionate part of a shorter taxable year. Conditions (5) and (6) need not be met during a corporation’s initial tax