Basis of Presentation and Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2020

Summary of Reconciliation Net Income (Loss) Attributable to Estimated Taxable Income

The following table reconciles net (loss) income attributable to Paramount Group, Inc. to estimated taxable income for the years ended December 31, 2020, 2019 and 2018.


	For the Year Ended December 31,
(Amounts in thousands)	2020			2019			2018
Net (loss) income attributable to Paramount Group, Inc.	$	(24,704	)	$	(36,899	)	$	9,147
Book to tax differences:
Straight-lining of rents and amortization of above and below-market leases, net		(10,462	)		(37,244	)		(48,604	)
Depreciation and amortization		62,002			79,750			92,512
Stock-based compensation		17,766			20,812			17,847
Real estate impairment loss		-			38,237			41,788
Adjustments resulting from sale of real estate		55,640			12,107			(14,381	)
Other, net		(11,095	)		12,753			(11,635	)
Estimated taxable income	$	89,147		$	89,516		$	86,674

Summary of Characterization of Dividend Distributions for Federal Income Tax Purposes

The following table sets forth the characterization of dividend distributions for federal income tax purposes for the years ended December 31, 2020, 2019 and 2018.

	For the Year Ended December 31,
	2020						2019						2018
	Amount			%			Amount			%			Amount			%
Ordinary income	$	0.210	⁽¹⁾		52.5	%	$	0.323	⁽¹⁾		80.7	%	$	0.286	⁽¹⁾		72.4	%
Long-term capital gain		0.190			47.5	%		0.062			15.5	%		0.074			18.7	%
Return of capital		0.000			0.0	%		0.015			3.8	%		0.035			8.9	%
Total	$	0.400	⁽²⁾		100.0	%	$	0.400	⁽²⁾		100.0	%	$	0.395	⁽²⁾		100.0	%

⁽¹⁾	Represents amounts treated as “qualified REIT dividends” for purposes of Internal Revenue Code Section 199A.

⁽²⁾	The fourth quarter dividends for the years ended December 31, 2020, 2019 and 2018 of $0.07, $0.10 and $0.10 per share, respectively, were paid in January of the subsequent years and are allocable to the subsequent years for federal income tax purposes.