This Non-Foreign Affdavit Under Internal Revenue Code 1445 is for a seller of real property to sign stating that he or she is not a foreign person as defined by the Internal Revenue Code Section 26 USC 1445. This document must be signed and notarized.
We use cookies to improve security, personalize the user experience, enhance our marketing activities (including cooperating with our marketing partners) and for other business use.
Click "here" to read our Cookie Policy. By clicking "Accept" you agree to the use of cookies. Read less
Read more
- US Legal Forms
- Non-Foreign Person Affidavit Forms
-
Maine Non-Foreign Affidavit Under IRC 1445
Firpta Form In Maine For Llc
Instant download
Description Firpta Exemption
Free preview Firpta Certificate
Firpta Form In Maine Related forms
View Closing statement real estate without realtor
View Closing statement real estate without realtor
View this form
View Closing statement real estate without attorney
View Closing statement real estate without attorney
View this form
View Closing statement real estate without
View Closing statement real estate without
View this form
View Closing statement real estate with high
View Closing statement real estate with high
View this form
View Condemnation for real estate
View Condemnation for real estate
View this form
Related legal definitions
Viewed forms
Firtpa Form Rating
4.87
Satisfied(464)
Fripta Form popularity
Irc Maine Other Form Names
What Is Firpta Affidavit
Firpta Form In Maine For Llc Related Searches
-
maine llc forms
-
maine.gov llc
-
maine llc search
-
maine llc certificate of formation
-
maine llc act
-
maine rew-1
-
maine llc renewal
-
gb license maine llc
-
maine llc forms
-
maine.gov llc
Interesting Questions
Firpta form refers to the Foreign Investment in Real Property Tax Act form. It is a document that must be filed with the Internal Revenue Service (IRS) by a foreign person or entity selling a U.S. real estate property to ensure proper withholding of taxes.
Any LLC in Maine that sells a U.S. real estate property and has at least one foreign member or investor must complete the Firpta form to comply with the tax regulations.
The Firpta form should be completed prior to the transfer or sale of the U.S. real estate property. It is essential to allow enough time for processing and ensure compliance with the tax law.
The Firpta form requires information about the seller, such as name, address, taxpayer identification number, and ownership percentage in the LLC. Additionally, details about the buyer and the real estate property being sold are also required.
Firpta form compliance is important for an LLC in Maine to avoid penalties and legal issues. Non-compliance may lead to potential withholding taxes on the sale, which can result in financial consequences.
Failure to file the Firpta form can lead to penalties imposed by the IRS. Additionally, the buyer may be held responsible for withholding taxes if the form is not properly completed, causing potential complications in the transaction.
Yes, certain exemptions exist under Firpta regulations. For example, if the sales price is below a specified threshold (currently $300,000), the transaction may be exempt from filing the Firpta form. It is recommended to consult with a tax professional to determine eligibility for exemptions.
Yes, an LLC in Maine can complete the Firpta form on its own. However, considering the complexities of tax regulations, seeking assistance from a tax professional is advisable to ensure accurate and timely submission.
The deadline for submitting the Firpta form in Maine is typically within 20 days from the date of the property transfer. It is crucial to adhere to this timeline to avoid penalties or complications in the sale.
The Firpta form should be filed with the IRS office that has jurisdiction over the area where the U.S. real estate property is located. The IRS provides specific instructions regarding the filing address.
Trusted and secure by over 3 million people of the world’s leading companies
Firpta
Change state
To change the state, select it from the list below and press Change state.
Changing the state redirects you to another page.
Maine
Change state
-
No results found.
-
Maine
-
Alabama
-
Alaska
-
Arizona
-
Arkansas
-
California
-
Colorado
-
Connecticut
-
Delaware
-
District of Columbia
-
Florida
-
Georgia
-
Hawaii
-
Idaho
-
Illinois
-
Indiana
-
Iowa
-
Kansas
-
Kentucky
-
Louisiana
-
Maryland
-
Massachusetts
-
Michigan
-
Minnesota
-
Mississippi
-
Missouri
-
Montana
-
Nebraska
-
Nevada
-
New Hampshire
-
New Jersey
-
New Mexico
-
New York
-
North Carolina
-
North Dakota
-
Ohio
-
Oklahoma
-
Oregon
-
Pennsylvania
-
Rhode Island
-
South Carolina
-
South Dakota
-
Tennessee
-
Texas
-
Utah
-
Vermont
-
Virginia
-
Washington
-
West Virginia
-
Wisconsin
-
Wyoming
Law summary
Non-Foreign Affidavit Under IRC 1445
Description: Under Federal law, (the Foreign Investment in Real Property Tax Act (FIRPTA)(26 USC 1445) and the regulations thereunder (26 CFR Parts 1 and 602)), a buyer of real estate is required to withhold a tax from the sale of real property to a foreign person unless an exemption applies. An exemption from withholding is provided for individuals who purchase property for use as their principal residence for $300,000 or less. Principal residence is defined to mean that the buyer will reside there for more than 50% of the time in each of the next two years. If you have a duty to withhold and you fail to do so, you can be liable for an amount equal to your compensation in the transaction and in some cases for the amount of tax that should have been withheld The affidavit is needed to provide the buyer with assurance that the seller is not a foreign person.
The general rule and exemptions as stated in Sec. 1445, Withholding of tax on dispositions of United States real property interests, provides:
(a) General rule
Except as otherwise provided in this section, in the case of any disposition of a United States real property interest (as defined in section 897(c)) by a foreign person, the transferee shall be required to deduct and withhold a tax equal to 10 percent of the amount realized on the disposition.
(b) Exemptions
(1) In general
No person shall be required to deduct and withhold any amount under subsection (a) with respect to a disposition if paragraph (2), (3), (4), (5), or (6) applies to the transaction.
(2) Transferor furnishes nonforeign affidavit. Except as provided in paragraph (7), this paragraph applies to the disposition if the transferor furnishes to the transferee an affidavit by the transferor stating, under penalty of perjury, the transferor's United States taxpayer identification number and that the transferor is not a foreign person.
(3) Nonpublicly traded domestic corporation furnishes affidavit that interests in corporation not United States real property interests. Except as provided in paragraph (7), this paragraph applies in the case of a disposition of any interest in any domestic corporation if the domestic corporation furnishes to the transferee an affidavit by the domestic corporation stating, under penalty of perjury, that -
(A) the domestic corporation is not and has not been a United States real property holding corporation (as defined in section 897(c)(2)) during the applicable period specified in section 897(c)(1)(A)(ii), or
(B) as of the date of the disposition, interests in such corporation are not United States real property interests by reason of section 897(c)(1)(B).
(4) Transferee receives qualifying statement
(A) In general
This paragraph applies to the disposition if the transferee receives a qualifying statement at such time, in such manner, and subject to such terms and conditions as the Secretary may by regulations prescribe.
(B) Qualifying statement
For purposes of subparagraph (A), the term ''qualifying statement'' means a statement by the Secretary that -
(i) the transferor either -
(I) has reached agreement with the Secretary (or such agreement has been reached by the transferee) for the payment of any tax imposed by section 871(b)(1) or 882(a)(1) on any gain recognized by the transferor on the disposition of the United States real property interest, or
(II) is exempt from any tax imposed by section 871(b)(1)or 882(a)(1)
on any gain recognized by the transferor on
the disposition of the United States real property interest, and
(ii) the transferor or transferee has satisfied any transferor's
unsatisfied withholding liability or has provided adequate security to
cover such liability.
(5) Residence where amount realized does not exceed $300,000
This paragraph applies to the disposition if - (A) the property is acquired by the transferee for use by him as a residence, and (B) the amount realized for the property does not exceed $300,000.
(6) Stock regularly traded on established securities market
This paragraph applies if the disposition is of a share of a class of stock that is regularly traded on an established securities market.
(7) Special rules for paragraphs (2) and (3) Paragraph (2) or (3) (as the case may be) shall not apply to any disposition -
(A) if -
(i) the transferee has actual knowledge that the affidavit referred to in such paragraph is false, or
(ii) the transferee receives a notice (as described in subsection (d)) from a transferor's agent or a transferee's agent that such affidavit is false, or
(B) if the Secretary by regulations requires the transferee to furnish a copy of such affidavit to the Secretary and the transferee fails to furnish a copy of such affidavit to the Secretary at such time and in such manner as required by such regulations.
....................
To open this summary in a separate window for printing, Click Here.
How to Order: To complete your order of the form you have located, close this window and click on the order icon, or Member Download link if you are a Registered User.
Help: If you need help locating a form, please use the Helpline link on the main forms page.
Note: All Information and Previews are subject to the Disclaimer located on the main forms page, and also linked at the bottom of all search results.
Legal definition
Non-Foreign Affidavit Under IRC 1445
Description: Under Federal law, (the Foreign Investment in Real Property Tax Act (FIRPTA)(26 USC 1445) and the regulations thereunder (26 CFR Parts 1 and 602)), a buyer of real estate is required to withhold a tax from the sale of real property to a foreign person unless an exemption applies. An exemption from withholding is provided for individuals who purchase property for use as their principal residence for $300,000 or less. Principal residence is defined to mean that the buyer will reside there for more than 50% of the time in each of the next two years. If you have a duty to withhold and you fail to do so, you can be liable for an amount equal to your compensation in the transaction and in some cases for the amount of tax that should have been withheld The affidavit is needed to provide the buyer with assurance that the seller is not a foreign person.
The general rule and exemptions as stated in Sec. 1445, Withholding of tax on dispositions of United States real property interests, provides:
(a) General rule
Except as otherwise provided in this section, in the case of any disposition of a United States real property interest (as defined in section 897(c)) by a foreign person, the transferee shall be required to deduct and withhold a tax equal to 10 percent of the amount realized on the disposition.
(b) Exemptions
(1) In general
No person shall be required to deduct and withhold any amount under subsection (a) with respect to a disposition if paragraph (2), (3), (4), (5), or (6) applies to the transaction.
(2) Transferor furnishes nonforeign affidavit. Except as provided in paragraph (7), this paragraph applies to the disposition if the transferor furnishes to the transferee an affidavit by the transferor stating, under penalty of perjury, the transferor's United States taxpayer identification number and that the transferor is not a foreign person.
(3) Nonpublicly traded domestic corporation furnishes affidavit that interests in corporation not United States real property interests. Except as provided in paragraph (7), this paragraph applies in the case of a disposition of any interest in any domestic corporation if the domestic corporation furnishes to the transferee an affidavit by the domestic corporation stating, under penalty of perjury, that -
(A) the domestic corporation is not and has not been a United States real property holding corporation (as defined in section 897(c)(2)) during the applicable period specified in section 897(c)(1)(A)(ii), or
(B) as of the date of the disposition, interests in such corporation are not United States real property interests by reason of section 897(c)(1)(B).
(4) Transferee receives qualifying statement
(A) In general
This paragraph applies to the disposition if the transferee receives a qualifying statement at such time, in such manner, and subject to such terms and conditions as the Secretary may by regulations prescribe.
(B) Qualifying statement
For purposes of subparagraph (A), the term ''qualifying statement'' means a statement by the Secretary that -
(i) the transferor either -
(I) has reached agreement with the Secretary (or such agreement has been reached by the transferee) for the payment of any tax imposed by section 871(b)(1) or 882(a)(1) on any gain recognized by the transferor on the disposition of the United States real property interest, or
(II) is exempt from any tax imposed by section 871(b)(1)or 882(a)(1)
on any gain recognized by the transferor on
the disposition of the United States real property interest, and
(ii) the transferor or transferee has satisfied any transferor's
unsatisfied withholding liability or has provided adequate security to
cover such liability.
(5) Residence where amount realized does not exceed $300,000
This paragraph applies to the disposition if - (A) the property is acquired by the transferee for use by him as a residence, and (B) the amount realized for the property does not exceed $300,000.
(6) Stock regularly traded on established securities market
This paragraph applies if the disposition is of a share of a class of stock that is regularly traded on an established securities market.
(7) Special rules for paragraphs (2) and (3) Paragraph (2) or (3) (as the case may be) shall not apply to any disposition -
(A) if -
(i) the transferee has actual knowledge that the affidavit referred to in such paragraph is false, or
(ii) the transferee receives a notice (as described in subsection (d)) from a transferor's agent or a transferee's agent that such affidavit is false, or
(B) if the Secretary by regulations requires the transferee to furnish a copy of such affidavit to the Secretary and the transferee fails to furnish a copy of such affidavit to the Secretary at such time and in such manner as required by such regulations.
....................
To open this summary in a separate window for printing, Click Here.
How to Order: To complete your order of the form you have located, close this window and click on the order icon, or Member Download link if you are a Registered User.
Help: If you need help locating a form, please use the Helpline link on the main forms page.
Note: All Information and Previews are subject to the Disclaimer located on the main forms page, and also linked at the bottom of all search results.
Sorry, this device is not supported
Please open this page on your desktop computer.