FIRPTA
Do you know what information is needed for a property purchase
and sale transaction involving foreigners in the U.S.?
U.S. tax laws require foreign sellers to withhold 15% of the gross sale price. The closing agent must submit this amount to the IRS within 20 days of the closing date, ensuring tax compliance. We call this process FIRPTA (Foreign Investment in Real Property Tax Act).
Withholding rates may vary
– 0% for properties under $300,000, intended for residence.
– 10% for properties between $300,000 and $1,000,000, intended for residence.
– 15% in other cases.
With iConnect, you get:
Comprehensive Consulting
Expert guidance to avoid complications.
Payment Support
We assist in calculating and applying the required rates.
Compliance and Regularity
Ensuring a safe, penalty-free transaction.
Specialized Documentation
Preparing necessary documentation to minimize risks.
