According to FIRPTA regulations, the amount of tax required to be withheld cannot exceed the maximum tax liability of the Seller. Often times, the actual tax liability is far less than the required 15%. Upon receipt of the Withholding Certificate, the IRS can agree to an amount less than the standard withholding.
The IRS requires the Buyer and the Seller to have a U.S. tax ID. For an individual, this number can be an Individual Tax Identification Number (ITIN) or a Social Security Number (SSN). If you are not eligible for a SSN, FIRPTA Solutions Inc. has a team of certified agents who can confirm your identity and complete all the necessary documentation for you to obtain your U.S. ITIN for tax purposes.
If a Withholding Certificate is not for you, then the full required withholding amount must be remitted from the date of transfer. It is critical for these forms to be prepared with precision and in a timely manner. FIRPTA Solutions Inc. knows just how to handle these forms. We will track them through the system until you receive a validated receipt.