Illinois Seller's Affidavit of Nonforeign Status

• Category: Federal - IRS
• State: Multi-State
• Control #: US-0604BG
• Format: Word; Rich Text

Description

Section 1445 of the Internal Revenue Code provides that a transferee of U.S. real property interest must withhold tax if the transferor is a foreign person. To inform the transferee that withholding of tax is not required is upon the disposition of a U.S. real property, this affidavit may be executed. The Illinois Seller's Affidavit of Nonforeign Status is a crucial document used in real estate transactions within the state of Illinois. It is designed to affirm the seller's legal status as a non-foreign individual/entity, thereby ensuring compliance with the Foreign Investment in Real Property Tax Act (FIR PTA) regulations. This affidavit serves to indicate that the seller is not a foreign person subject to withholding tax on the sale of US real property interests. The Illinois Seller's Affidavit of Nonforeign Status includes key information about the seller, property, and transaction. It typically requires details such as the seller's name, address, taxpayer identification number (Social Security Number or Employer Identification Number), and citizenship status. The affidavit also includes information about the property being sold, including the address, legal description, and sales price. By completing this affidavit, the seller confirms that they are not a foreign person under the IRS definition. It is crucial to accurately fill out this form, as any false statement can result in severe penalties. Additionally, the buyer and the closing agent may rely on the information provided in the affidavit to determine whether they need to comply with FIR PTA regulations. Although the standard version of the Illinois Seller's Affidavit of Nonforeign Status is commonly used, it's essential to note that there might be variations or additional affidavits depending on specific circumstances. Some additional types or variations may include: 1. Illinois Seller's Affidavit of Nonforeign Status — Trust or Estate: This specific affidavit is used when the seller of the property is a trust or an estate. It requires additional information such as the name and contact details of the trustee or personal representative, along with documentation validating their authority. 2. Illinois Seller's Affidavit of Nonforeign Status — Partnership or Corporation: This version of the affidavit is applicable when the seller is a partnership or a corporation. It requires information about the entity's legal structure, taxpayer identification number, and authorized representative. 3. Illinois Seller's Affidavit of Nonforeign Status — Multiple Sellers: In cases where multiple sellers are involved, this affidavit collects individual information for each seller to ensure comprehensive compliance with FIR PTA regulations. It is vital to consult with a knowledgeable real estate attorney or tax professional to ensure that the correct version of the Illinois Seller's Affidavit of Nonforeign Status is utilized and accurately completed. This will help facilitate a smooth and legally compliant real estate transaction in Illinois.

The Illinois Seller's Affidavit of Nonforeign Status is a crucial document used in real estate transactions within the state of Illinois. It is designed to affirm the seller's legal status as a non-foreign individual/entity, thereby ensuring compliance with the Foreign Investment in Real Property Tax Act (FIR PTA) regulations. This affidavit serves to indicate that the seller is not a foreign person subject to withholding tax on the sale of US real property interests. The Illinois Seller's Affidavit of Nonforeign Status includes key information about the seller, property, and transaction. It typically requires details such as the seller's name, address, taxpayer identification number (Social Security Number or Employer Identification Number), and citizenship status. The affidavit also includes information about the property being sold, including the address, legal description, and sales price. By completing this affidavit, the seller confirms that they are not a foreign person under the IRS definition. It is crucial to accurately fill out this form, as any false statement can result in severe penalties. Additionally, the buyer and the closing agent may rely on the information provided in the affidavit to determine whether they need to comply with FIR PTA regulations. Although the standard version of the Illinois Seller's Affidavit of Nonforeign Status is commonly used, it's essential to note that there might be variations or additional affidavits depending on specific circumstances. Some additional types or variations may include: 1. Illinois Seller's Affidavit of Nonforeign Status — Trust or Estate: This specific affidavit is used when the seller of the property is a trust or an estate. It requires additional information such as the name and contact details of the trustee or personal representative, along with documentation validating their authority. 2. Illinois Seller's Affidavit of Nonforeign Status — Partnership or Corporation: This version of the affidavit is applicable when the seller is a partnership or a corporation. It requires information about the entity's legal structure, taxpayer identification number, and authorized representative. 3. Illinois Seller's Affidavit of Nonforeign Status — Multiple Sellers: In cases where multiple sellers are involved, this affidavit collects individual information for each seller to ensure comprehensive compliance with FIR PTA regulations. It is vital to consult with a knowledgeable real estate attorney or tax professional to ensure that the correct version of the Illinois Seller's Affidavit of Nonforeign Status is utilized and accurately completed. This will help facilitate a smooth and legally compliant real estate transaction in Illinois.