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For you and your family
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Forms and Instructions

Individual Tax Return
Request for Taxpayer Identification Number (TIN) and Certification
Single and Joint Filers With No Dependents
Employee's Withholding Allowance Certificate

 

Request for Transcript of Tax Returns
Employer's Quarterly Federal Tax Return
Installment Agreement Request
Wage and Tax Statement

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Amend/Fix Return
Apply for Power of Attorney
Apply for an ITIN
Rules Governing Practice before IRS

Withholding of Tax on Dispositions of U.S. Real Property Interests

International Tax Gap Series

It’s no secret that foreign investors are being courted by U.S. real estate agents and other investment conduits with eye-popping deals to buy real property in the U.S. The combination of a weak U.S. dollar and low interest rates has led to a phenomenal rise in the purchase of a U.S. real property interest by foreign investors. Eventually, these real property interests will be sold; therefore, foreign investors (transferors) and buyers (transferees) need to know their U.S. tax obligations when a disposition occurs.

For more information related to the rules for proper withholding of tax on the dispositions of U.S. Real Property interest, please refer to the IRS FIRPTA Withholding page. It also clarifies who is obligated to conduct the required withholding of tax upon the foreign investor’s disposition of real property interests.

References and Links

 

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The International Tax Gap Series