Excise Taxes on Excess Inclusions of 
Form  8831                                                                                                                                      OMB No. 1545-1379
(Rev. April 2018)                                    REMIC Residual Interests
Department of the Treasury  
Internal Revenue Service                       ▶ Go to www.irs.gov/Form8831 for the latest information.
          Name                                                                                                      Identifying number 

Please    Number, street, and room or suite no. (If a P.O. box, see instructions.) 
Type or  
Print 
          City or town, state or province, country, and ZIP or foreign postal code 

Part I    Transfers to Disqualified Organizations. File a separate Form 8831 for each transfer of a residual interest. 
Section A—Information on the Transfer 
1     Enter the date the residual interest was transferred to a disqualified organization  .           .  .       . .  ▶
2     Within a reasonable time after discovering this transfer was subject to tax under section 860E(e)(1), were 
      steps taken so that the residual interest you transferred is no longer held by a disqualified organization?  ▶                        Yes     No
3     If you answered “Yes” to question 2, enter the date the disqualified organization disposed of the 
      residual interest .          . .  .    . . . . .   . . .      . .            . . .   . . . . . . .  .       . .  ▶
      If you answered “Yes” to question 2, the tax due under section 860E(e)(1) will be waived if you pay the amount due under 
      Regulations section 1.860E-2(a)(7)(ii). Skip Section B and go to Section C to figure the amount due. 
      If you answered “No” to question 2, use Section B to figure the tax due under section 860E(e)(1). Do not complete Section C. 
Section B—Tax Due Under Section 860E(e)(1). Complete this section only if you answered “No” to question 2. 
4     Enter the present value of the excess inclusions allocable to the residual interest you transferred 
      that are expected to accrue in each calendar quarter (or part thereof) following the transfer of that 
      interest to the disqualified organization (see instructions)  .                . .   . . . . . . .  .       . .  .                    4 
5     Tax due. Multiply line 4 by the highest rate of tax specified in section 11 (see instructions)  .             .  .                    5 
Section C—Amount Due Under Regulations Section 1.860E-2(a)(7)(ii). Complete this section only if you answered  
“Yes” to question 2. 
6     Enter  the  amount  of  excess  inclusions  allocable  to  the  residual  interest  you  transferred  that 
      accrued during the period the disqualified organization held that interest  .              . . . .  .       . .  .                    6 
7     Amount due. Multiply line 6 by the highest rate of tax specified in section 11 (see instructions)                .                    7 
Part II   Tax on Pass-Through Entities With Interests Held by Disqualified Organizations. File a separate Form  
          8831 for Part II if you owe tax in Part I. 
8     Enter the ending date of the pass-through entity’s tax year for which 
      this return is being filed  .          . . . .   . . . .      . .            . . .   ▶
9     Enter the amount of excess inclusions allocable to interests in the pass-through entity for which 
      the record holder is a disqualified organization       .      . .            . . .   . . . . . . .  .       . .  .                    9 
10    Tax due. Multiply line 9 by the highest rate of tax specified in section 11 (see instructions)  .             .  .                    10 
Part III  Tax and Payments 
11    Enter the amount from line 5, 7, or 10, whichever applies  .                   . .   . . . . . . .  .       . .  .                    11 
12    Amount paid with Form 7004  .              . .   . . . .      . .            . . .   . . . . . . .  .       . .  .                    12 
13    Amount due. Enter the excess of line 11 over line 12  .                      . . .   . . . . . . .  .       . .  .                    13 
14    Overpayment. Enter the excess of line 12 over line 11  .                     . . .   . . . . . . .  .       . .  .                    14 
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is 
true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge. 
▶                                                                 ▶                                              ▶
Signature                                                         Date                                           Title (if any) 
                  Print/Type preparer’s name             Preparer’s signature                        Date                                       PTIN
Paid                                                                                                                   Check         if 
                                                                                                                       self-employed
Preparer                           ▶                                                                                   Firm’s EIN              ▶
                  Firm s name      
Use Only          ’
                  Firm’s address  ▶                                                                                    Phone no.
For Privacy Act and Paperwork Reduction Act Notice, see instructions.                            Cat. No. 13377A                               Form 8831 (Rev. 4-2018) 

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Form 8831 (Rev. 4-2018)                                                                                                        Page 3 

Section references are to the Internal        You will be relieved of the liability for    its tax year in which the disqualified  
Revenue Code unless otherwise noted.          the tax if you obtain an affidavit from the  person is a record holder. If the due  
                                              transferee signed under penalties of         date falls on a Saturday, Sunday, or  
Future Developments                           perjury that either furnishes the            legal holiday, file on the next day that is  
For the latest information about              transferee’s social security number or       not a Saturday, Sunday, or legal holiday. 
developments related to Form 8831 and         states that the transferee is not a          If more time is needed, use Form 
its instructions, such as legislation         disqualified organization, provided you      7004, Application for Automatic 
enacted after they were published, go to      do not have actual knowledge at the          Extension of Time To File Certain 
www.irs.gov/Form8831.                         time of the transfer that the affidavit is   Business Income Tax, Information, and 
                                              false.                                       Other Returns, to request an extension 
General Instructions                          A pass-through entity must file Form         of time to file Form 8831. However, Form 
                                              8831 if it is liable for the tax in Part II  7004 does not extend the time for 
Purpose of Form                               under section 860E(e)(6). The entity must    payment of tax. 
                                              pay this tax if, at any time during the  
Use Form 8831 to report and pay:              entity’s tax year, excess inclusions from    Where To File 
• The excise tax due under section            a residual interest in a REMIC are           Send Form 8831 to the following 
860E(e)(1) on any transfer of a residual      allocable to an interest in the entity for   address.
interest in a REMIC to a disqualified         which the record holder is a disqualified  
organization,                                 organization. The tax applies to excess      Department of the Treasury 
• The amount due under Regulations            inclusions for periods after March 31,       Internal Revenue Service 
section 1.860E-2(a)(7)(ii) if the tax under   1988, but only to the extent the             Cincinnati, OH 45999 
section 860E(e)(1) is to be waived, or        inclusions are allocable either to an  
                                              interest in the pass-through entity          Rounding Off to Whole  
• The excise tax due under section            acquired after March 31, 1988, or to a       Dollars 
860E(e)(6) on pass-through entities with      residual interest acquired by the pass-      You may round off cents to whole  
interests held by disqualified                through entity after March 31, 1988. Any     dollars on your returns and schedules. If 
organizations. All interests in an electing   interest acquired under a  binding           you do round to whole dollars, you must 
large partnership are treated as held by      contract in effect on March 31, 1988, is     round all amounts. To round, drop 
disqualified organizations (see section       treated as acquired before that date. A      amounts under 50 cents and increase 
774(e) for details).                          real estate investment trust, regulated      amounts from 50 to 99 cents to the next 
                                              investment company, common trust             dollar. For example, $1.39 becomes $1 
Definitions                                   fund, or publicly traded partnership is      and $2.50 becomes $3. 
A disqualified organization is:               subject to the tax due under section  
                                              860E(e)(6) only for tax years beginning      If you have to add two or more  
• The United States, any state or             after 1988.                                  amounts to figure the amount to enter  
political subdivision thereof, any foreign                                                 on a line, include cents when adding the  
government, any international                 Generally, a pass-through entity is not      amounts and round off only the total. 
organization, or any of their agencies or     subject to the excise tax under section  
instrumentalities (except for certain         860E(e)(6) if it obtains an affidavit from   Amended Return 
taxable instrumentalities described in        the record holder signed under penalties  
section 168(h)(2)(D) and the Federal          of perjury that either furnishes the record  To amend a previously filed Form 8831,  
Home Loan Mortgage Corporation);              holder’s social security number or states    file a corrected Form 8831 marked  
                                              that the record holder is not a              “Amended” at the top of the form. 
• Any tax-exempt organization (other than a   disqualified organization. The affidavit  
farmers’ cooperative described in  section    provides relief for any period during        Signature 
521), unless that organization is  subject to which the pass-through entity does not       See the instructions for the “Signature”  
the unrelated business income tax; and        have actual knowledge that the affidavit     section of your federal income tax  
• Any cooperative described in section        is false. However, this relief does not      return. 
1381(a)(2)(C).                                apply to electing large partnerships. 
A pass-through entity is a regulated          A pass-through entity that owes both         Paid Preparer Use Only 
investment company, real estate               the excise tax in Part I under section       A paid preparer must sign Form 8831 
investment trust, common trust fund,          860E(e)(1) (or the amount due under          and provide the information in the Paid 
partnership, trust, estate, or a  cooperative Regulations section 1.860E-2(a)(7)(ii))      Preparer Use Only section at the end of 
described in section 1381. A  person          and the excise tax in Part II under          the form if the preparer was paid to 
holding an interest in a pass-through entity  section 860E(e)(6) must file a separate      prepare the form and is not an employee 
as a nominee for another person is also       form for each tax.                           of the filing entity. The preparer must 
treated as a pass-through entity.                                                          give you a copy of the form in addition to 
                                              When To File                                 the copy to be filed with the IRS.
Who Must File                                 For the excise tax due under section         If you are a paid preparer, enter your 
You must file Form 8831 if you are liable     860E(e)(1), file Form 8831 and pay the       Preparer Tax Identification Number 
for the excise tax in Part I under section    tax by April 15 of the year following the    (PTIN) in the space provided. Include 
860E(e)(1) (or the amount due under           calendar year in which the residual          your complete address. If you work for a 
Regulations section 1.860E-2(a)(7)(ii))       interest is transferred to a disqualified    firm, you also must enter the firm’s name 
because you transferred a residual            organization. A pass-through entity must     and the EIN of the firm in place of your 
interest in a REMIC to a disqualified         file Form 8831 and pay the tax due           PTIN.
organization after March 31, 1988             under section 860E(e)(6) by the 15th day  
(unless the transfer was made under a         of the 4th month following the close of 
binding contract in effect on that date).  
File a separate Form 8831 for each  
transfer of a residual interest.  

Form 8831 (Rev. 4-2018)                                                                                                         Page  4 

  You can apply for a PTIN online or by      The present value of the excess             Line 14. The IRS will refund the amount  
filing Form W-12, IRS Paid Preparer Tax      inclusions expected to accrue is            on line 14 if you owe no other taxes. 
Identification Number (PTIN) Application     determined by discounting all remaining     Privacy Act and Paperwork Reduction 
and Renewal. For more information            excess inclusions expected to accrue on     Act Notice. We ask for the information 
about applying for a PTIN online, visit the  the residual interest from the end of       on this form to carry out the Internal 
IRS website at www.irs.gov/PTIN.             each calendar quarter in which those        Revenue laws of the United States. We  
                                             inclusions are expected to accrue to the    need it to figure and collect the right  
Interest and Penalties                       date the disqualified organization          amount of tax. This form is used to 
Interest. Interest is charged on taxes       acquired the residual interest. The         determine the amount of taxes you owe  
not paid by the due date. Interest is also   discount rate to be used in this            as imposed by section 860E. Section  
charged on certain penalties. The            computation is the applicable federal       6011 requires you to provide the  
interest charged is figured at a rate        rate under section 1274(d)(1) that would    requested information if the tax is  
determined under section 6621.               apply to a debt instrument issued on the    applicable to you. Section 6109 requires  
                                             date the disqualified organization          you to provide your identification 
Late filing penalty. Generally, a penalty    acquired the residual interest and with a   number. Routine uses of this information 
of 5% a month or part of a month, up to      term that ends on the last day of the last  include giving it to the Department of 
a maximum of 25%, is imposed on the          quarter in which excess inclusions are      Justice for civil and criminal litigation and 
net amount of tax due if the excise tax      expected to accrue for the interest.        to cities, states, and the District of 
return is not filed when due. 
                                             The REMIC must furnish the                  Columbia, and U.S. commonwealths and 
Late payment penalty. Generally, the         information needed to figure the amount     possessions for use in administering 
penalty for not paying tax when due is       on line 4 upon your request. The            their tax laws. We may also disclose this 
1/2 of 1% of the unpaid tax, up to a         information must be furnished within 60     information to other countries under a 
maximum of 25%, for each month or            days of the request. The REMIC may          tax treaty, to federal and state agencies 
part of a month the tax remains unpaid.      charge a fee for this information.          to enforce federal nontax criminal laws, 
Blended tax rate for fiscal year filers.     Line 6. Enter the amounts reported on       or to federal law enforcement and 
Effective for tax years beginning after      Schedule Q (Form 1066), Quarterly           intelligence agencies to combat 
December 31, 2017, a corporation’s tax       Notice to Residual Interest Holder of       terrorism. If you fail to provide this 
is figured by multiplying taxable income     REMIC Taxable Income or Net Loss            information in a timely manner, you may 
by 21%. However, under section 15,           Allocation, line 2c, to the disqualified    be subject to penalties.
corporations with fiscal tax years           organization for the period it held the     You are not required to provide the  
beginning before January 1, 2018, and        residual interest.                          information requested on a form that is  
ending after December 31, 2017, figure                                                   subject to the Paperwork Reduction Act  
and apportion their tax by blending the      Part II                                     unless the form displays a valid OMB  
rates in effect before January 1, 2018,                                                  control number. Books or records  
with the rate in effect after December 31,   Line 9. Enter the amounts reported on  
2017.                                        Schedule Q (Form 1066), line 2c, for the    relating to a form or its instructions must  
                                             tax year of the pass-through entity that    be retained as long as their contents  
                                             are allocable to all disqualified           may become material in the  
Specific Instructions                        organizations that held an interest in the  administration of any Internal Revenue  
                                             entity.                                     law. Generally, tax returns and return  
Name and Address                                                                         information are confidential, as required  
                                             Line 10. In general, deduct the amount      by section 6103. 
Enter the name shown on your most            on line 10 to figure the ordinary income  
recently filed federal income tax return.    of the pass-through entity. For example,    The time needed to complete and file  
Include the suite, room, apartment, or       a real estate investment trust deducts      this form will vary depending on  
other unit number after the street           the tax to figure its real estate           individual circumstances. The estimated  
address. If the Post Office does not         investment trust taxable income under       average time is: Recordkeeping, 4 hr.,  
deliver mail to the street address and       section 857(b)(2). However, an electing     32 min.; Learning about the law or the  
you have a P.O. box, show the box            large partnership excludes the amount       form, 1 hr., 29 min.; Preparing, 
number instead of the street address.        subject to tax (line 9) instead of          copying, assembling, and sending the 
                                             deducting the tax (line 10) from its        form to the IRS, 1 hr., 37  min. 
Identifying Number                           income.                                     If you have comments concerning the  
If you are an individual, enter your social                                              accuracy of these time estimates or  
security number. Other filers, enter your    Part III                                    suggestions for making this form  
employer identification number.              Line 12. If you filed Form 7004, enter      simpler, we would be happy to hear  
                                             the amount paid, if any, when you filed     from you. You can send comments 
Part I                                       that form.                                  through www.irs.gov/FormComments. 
                                                                                         Or you can write to: 
Line 4. The excess inclusions expected       Line 13. You must pay the full amount  
to accrue must be determined as of the       reported on line 13. You may make your      Internal Revenue Service                  
date the residual interest is transferred    payment using the Electronic Federal        Tax Forms and Publications Division     
and must be based on events that have        Tax Payment System (EFTPS). To do so,       1111 Constitution Ave. NW, IR-6526  
occurred up to the time of the transfer,     you must be enrolled in EFTPS. To enroll    Washington, DC 20224
the prepayment and reinvestment              in or get more information about EFTPS,     Although we cannot respond 
assumptions adopted under section            visit www.eftps.gov.                        individually to each comment received, 
1272(a)(6) (or that would have been                                                      we do appreciate your feedback and will 
adopted if the REMIC’s regular interests     You may also send us a check or 
had been issued with original issue          money order. If so, make your check or      consider your comments as we revise 
discount), and any required or permitted     money order payable to “United States       our tax products.  Do not send the tax 
clean-up calls, or required qualified        Treasury.” Write your name, address,        form to this address. Instead, see Where 
liquidation provided under the REMIC’s       identifying number, and “Form 8831” on      To File, earlier.
organizational documents.                    the check or money order.