FIRPTA is the United States’ *F*oreign *I*nvestment in *R*eal *P*roperty *T*ransfer *A*ct. When a foreign national transfers real property, the IRS withholds 10% as an estimated tax payment. This estimated tax payment is withheld regardless of the individual’s annual tax liability. This withholding is applicable on every real property transaction involving a transferor (seller) who is not a United States citizen or resident, and may also apply to a Limited Liability Company (LLC) where there are non-U.S. members.
Whether you are a title or a settlement company or an individual, we can help you with FIRPTA compliance. We can relieve you of the compliance burden by preparing the FIRPTA withholding statements for you, and offering guidance and assistance with your FIRPTA questions. For individuals, we can assist you in applying for exemptions from the 10% withholding and also in getting the withholding back from the IRS prior to filing a United States tax return. We can also file your United States tax returns to report the sale for timely return of your withholding.
With over twelve years of experience with international taxation, Jorge O. Lopez, EA MST has helped individuals from nearly every country in the world who have come to the United States to work, start & operate a business, or invest in real estate. Learn how Jorge O. Lopez, P,A. can help you maximize your after-tax income and profits. We will review your unique situation and provide you with recommendations on how you can lower your tax liability.