Company: RWT-PA
Filing Date: 2025-01-15
Form Type: 424B5
Source: 0001104659-25-003632
Chunk: 128

Company: REDWOOD TRUST INC
Filing Date: 2025-01-15
Form: 424B5
Chunk 128
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.S. Holder
of a trade or business within the United States (and, if required by an applicable income tax treaty, the Non-U.S. Holder maintains a
permanent establishment in the United States to which such gain is attributable), in which case the Non-U.S. Holder will be subject to
the same treatment as U.S. Holders with respect to such gain, except that a Non-U.S. Holder that is a corporation may also be subject
to the 30% branch profits tax (or such lower rate as may be specified by an applicable income tax treaty) on such gain, as adjusted for
certain items, or (b) the Non-U.S. Holder is a nonresident alien individual who is present in the United States for 183 days or
more during the taxable year and certain other conditions are met, in which case the Non-U.S. Holder will be subject to a 30% tax on
the Non-U.S. Holder’s capital gains (or such lower rate specified by an applicable income tax treaty), which may be offset by U.S.
source capital losses of the Non-U.S. Holder (even though the individual is not considered a resident of the United States), provided
the Non-U.S. Holder has timely filed U.S. federal income tax returns with respect to such losses. In addition, even if we are a domestically
controlled qualified investment entity, upon disposition of our capital stock, a Non-U.S. Holder may be treated as having gain from the
sale or other taxable disposition of a USRPI if the Non-U.S. Holder (1) disposes of such stock within a 30-day period preceding
the ex-dividend date of a distribution, any portion of which, but for the disposition, would have been treated as gain from the sale
or exchange of a USRPI and (2) acquires, or enters into a contract or option to acquire, or is deemed to acquire, other shares of
that stock during the 61-day period beginning with the first day of the 30-day period described in clause (1), unless such class of stock
is “regularly traded” and the Non-U.S. Holder did not own more than 10% of such class of stock at any time during the one-year
period ending on the date of the distribution described in clause (1).

If gain on the sale, exchange
or other taxable disposition of our capital stock were subject to taxation under FIRPTA, the Non-U.S. Holder