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Helping You Avoid Real Property Tax Issues With Your Foreign Investments

In South Florida, more and more real property investors are coming in with cash from foreign countries and throwing their lot in with the U.S. real estate market. When individuals or businesses from outside the U.S. sell commercial or investment properties to U.S. citizens or companies, a special tax liability arises. It is important to understand your rights and responsibilities regarding this real estate tax or you may be liable for a tax you were not originally obligated to pay.

Combining International, Financial And Tax Law Knowledge For Our Clients

At Bucci Law Offices, we will work closely with you, advising you about your real estate tax responsibilities associated with all types of property transactions and guiding you to limit your potential tax liability and protect your assets. Our experienced and highly educated tax lawyers have several planning techniques that may mitigate the effects of the requirements of the Foreign Investment in Real Property Tax Act (FIRPTA).

Christin Bucci is a lawyer and certified public accountant (CPA) and holds a master's in taxation and a master's in international and comparative law from Georgetown University Law Center.

You have too much to lose. We will keep you from getting lost in the complexities of FIRPTA.

The FIRPTA Tax: What You Don't Know About U.S. Taxes May Cost You Money

  • Are you a foreigner looking to buy U.S. real estate?
  • Are you a foreigner who is selling your U.S. property?
  • Are you purchasing property from a foreigner?
  • Are you a citizen of another country who owns a vacation home or investment property in the U.S.?

The Foreign Investment in Real Property Tax Act of 1980 (FIRPTA) places a tax on foreign individuals who sell U.S. property. This includes any sale, gift or other transfer. A U.S. property interest includes everything from residential property to commercial property and any interest in a domestic corporation with U.S. real property holdings.

Dedicated Assistance With Complex Real Estate Tax Issues

At Bucci Law Offices, we provide sophisticated and customized legal assistance to international and domestic clients regarding complex tax controversies, including issues of real property transfers. Many foreign investors, as well as those who purchase real estate from a foreign seller, are in the dark when it comes to their withholding obligations.

The FIRPTA tax is on the person selling or transferring the property. However, the burden of withholding the tax is on the buyer — or recipient — of the property. If you are the buyer, it is your responsibility to determine whether the seller is foreign. If so, you are responsible for withholding FIRPTA tax — typically, 10 percent of the purchase price. Failure to do so may result in personal liability for any tax due.

For foreign investors, proper tax planning is key, especially given the complexities of U.S. tax laws. Whether you are a buyer or a seller, contact Bucci Law Offices before your closing. We will educate you about your tax obligations before you buy or sell real property to keep you from making a costly mistake.

Learn More About FIRPTA And Get The Legal Guidance You Need

The sale of U.S. property by foreigners triggers tax obligations for both the seller and the buyer. The tax attorneys at Bucci Law Offices can help you comply with the requirements of the Foreign Investment in Real Property Tax Act.

For more information about your FIRPTA responsibilities and for highly professional assistance with all taxation matters, Contact Bucci Law Offices or call 305-340-2275 in Miami, 954-900-9107 in Fort Lauderdale or toll free at 800-743-4263. We handle cases worldwide. Call us today to schedule a consultation.