REIT Tax Provisions Revision Act of 1986

[AI summary unavailable — showing source text] REIT Tax Provisions Revision Act of 1986 - Amends the Internal Revenue Code to modify the qualification requirements for a real estate investment trust (REIT) to require that the corporation, trust, or association not be closely held. Waives the partnership attribution rules for making the determination of whether the REIT is closely held. Provides that the requirements that the REIT must have the beneficial ownership of it held by 100 or more persons and that it must not be closely held shall not apply to the first taxable year for which the election for REIT treatment is made. Requires that the REIT has no earnings and profits accumulated in any non-REIT year. Permits an entity which has not been engaged in any active trade or business to change its accounting period to a calendar year without the approval of the Secretary of the Treasury if such change is in connection with the election of REIT status. Provides that a corporation which is a qualified REIT subsidiary shall not be treated as a separate corporation, and all assets, liabilities, and items of income, deduction, and credit of a qualified REIT subsidiary shall be treated as assets, liabilities, and such items (as the c…