Ares Commercial Real Estate Corporation Announces Tax Reporting Information for Calendar Year 2025

Key Terms

form 1099 financial

Form 1099 is a set of U.S. tax forms used by financial institutions and payers to report income paid to an individual or entity that isn’t a regular paycheck, such as dividends, interest, bond or stock sale proceeds, and certain miscellaneous payments. For investors it acts like a formal receipt summarizing taxable events for the year, so it matters for calculating tax liability, verifying broker statements, and keeping accurate records of after‑tax returns.

cusip financial

A CUSIP is a nine-character alphanumeric code that uniquely identifies a U.S. or Canadian financial security—such as a stock, bond, or fund share—like a Social Security number for an investment. It matters to investors because brokers, exchanges and record-keepers use the CUSIP to match trades, track ownership, settle transactions and pull accurate records, reducing errors and ensuring money and securities go to the right place.

section 199a dividends financial

Section 199A dividends are certain dividend payments from real estate investment trusts (REITs) and publicly traded partnerships that qualify for a special U.S. tax deduction allowing up to a 20% reduction of the income they create. For investors, that means these payouts are taxed differently than regular dividend income—they don’t get the lower capital gains rate but can lower taxable income through the deduction, similar to getting a partial tax rebate on that income.

excess inclusion income financial

Excess inclusion income is a specific kind of distributable cash flow that can come from pooled mortgage or real‑estate investment vehicles and certain structured finance arrangements; it represents amounts that cannot be classified under the usual, tax-favored income buckets. It matters to investors because it is taxed differently — often at ordinary rates, with limited deductions and special withholding rules — so receiving it can increase an investor’s tax bill much like getting a bonus that can’t be sheltered.

NEW YORK--(BUSINESS WIRE)-- Ares Commercial Real Estate Corporation (NYSE: ACRE) (the “Company”) today announced the 2025 tax treatment for the Company’s common stock distributions (CUSIP # 04013V-10-8).

Form 1099 Reference:				Box 1a	Box 1b	Box 2a	Box 3	Box 5
Record Date	Payment Date	Cash Distribution Per Share	Allocable to 2025	Total Ordinary Dividends	Qualified Dividends (1)	Total Capital Gain Distributions	Nondividend Distributions	Section 199A Dividends (1)
12/31/2024	1/15/2025	$0.2500(2)	$0.2500	$0.0000	$0.0000	$0.0000	$0.2500	$0.0000
3/31/2025	4/15/2025	$0.1500	$0.1500	$0.0000	$0.0000	$0.0000	$0.1500	$0.0000
6/30/2025	7/15/2025	$0.1500	$0.1500	$0.0000	$0.0000	$0.0000	$0.1500	$0.0000
9/30/2025	10/15/2025	$0.1500	$0.1500	$0.0000	$0.0000	$0.0000	$0.1500	$0.0000
12/31/2025	1/15/2026	$0.1500 (3)	$0.0000	$0.0000	$0.0000	$0.0000	$0.0000	$0.0000
	Totals		$0.7000	$0.0000	$0.0000	$0.0000	$0.7000	$0.0000

(1)	Boxes 1b and 5 are subsets of, and included in, Box 1a.
(2)	The entire distribution of $0.2500 per share is allocable to 2025.
(3)	The entire distribution of $0.1500 per share is allocable to 2026.

The amounts indicated above are not classified as excess inclusion income. Stockholders are encouraged to consult with their own tax advisors as to their specific tax treatment of the Company’s distributions.

About Ares Commercial Real Estate Corporation

Ares Commercial Real Estate Corporation is a specialty finance company primarily engaged in originating and investing in commercial real estate loans and related investments. Through its national direct origination platform, the Company provides a broad offering of flexible and reliable financing solutions for commercial real estate owners and operators. The Company originates senior mortgage loans, as well as subordinate financings, mezzanine debt and preferred equity, with an emphasis on providing value added financing on a variety of properties located in liquid markets across the United States. Ares Commercial Real Estate Corporation elected and qualified to be taxed as a real estate investment trust and is externally managed by a subsidiary of Ares Management Corporation. For more information, please visit www.arescre.com. The contents of such website are not, and should not be deemed to be, incorporated by reference herein.

Forward-Looking Statements

Statements included herein may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended, which relate to future events or the Company’s future performance or financial condition. These statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, those described from time to time in the Company’s filings with the Securities and Exchange Commission. Ares Commercial Real Estate Corporation undertakes no duty to update any forward-looking statements made herein.

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Investor Relations:

Ares Commercial Real Estate Corporation

Carl Drake or John Stilmar

888-818-5298

iracre@aresmgmt.com

Source: Ares Commercial Real Estate Corporation