<prompt> Human: Hey everybody,Lets say hypothetically that I can max out both a Roth IRA and put a few thousand into a taxable. Since REIT dividends are taxed as normal income, and the IRA defers all taxes from dividends and gains, is there any downside to making my IRA entirely full of REITs and using the taxable for regular stocks?  <response>: IRA entirely full of REITs and using the taxable for regular stocks?You probably dont want your IRA entirely full of REITs for balance purposes of course; but yes, placing REITs entirely in your tax-advantaged accounts note the different meaning is a good thing. 