Foreign Investment in Real Property Tax Act Archives

Change in FIRPTA Withholding from 10% to 15%

By Cameron Combs | March 23, 2016

Change in FIRPTA Withholding from 10% to 15% Under the Foreign Investment in Real Property Tax Act (“FIRPTA”) the sale of United States real property owned by a non-resident alien is now subject to 15% withholding (10% for dispositions before February 17, 2016). Why a withholding? To prevent a non-resident alien from taking the sales…

Foreigner's Sale Subject to IRS 'Hold Back'

By Christopher Combs | September 6, 2013

Question: My wife and I are retired snowbirds from Canada who are planning to sell 10 acres of land in north Scottsdale in the near future. Even in this “down” market, the value of the land is at least $600,000. Although we originally were planning on building a home there, we decided that we did not…