### Question
How does REAL ESTATE INVESTMENT TRUSTS define qualified REIT subsidiary?


### Answer
Under *26 U.S.C. § 856*, **qualified REIT subsidiary** is defined as:

> any corporation if 100 percent of the stock of such corporation is held by the real estate investment trust

#### Citation:
  - *26 U.S.C. § 856*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter M-Regulated Investment Companies and Real Estate Investment Trusts > PART II-REAL ESTATE INVESTMENT TRUSTS**

