A claimed FIRPTA exemption is not a substitute for due diligence. Learn why buyers and closing professionals should independently verify the facts before relying on an exemption from withholding.

Can FIRPTA withholding be avoided? In one recently completed case, the IRS reduced the required FIRPTA withholding to $0.00 after reviewing the taxpayers' application. Every FIRPTA transaction is unique and deserves an independent review.

Many FIRPTA problems are not caused by the transaction itself. They are caused by waiting too long to address FIRPTA requirements.

What Happens If FIRPTA Is Discovered After Closing? Most FIRPTA issues are resolved before closing. Unfortunately, not all of them are. When FIRPTA compliance problems are discovered after the transaction has closed, resolving them often becomes more complicated, more time-consuming, and more expensive. Why This Matters Under FIRPTA, the buyer is generally responsible for ensuring the required withholding is properly handled and remitted to the IRS when purchasing U.S. real e

In many FIRPTA transactions, withholding may be lawfully reduced before closing through a properly prepared and timely submitted Form 8288-B withholding certificate application. Can FIRPTA Withholding Be Reduced Before Closing? Yes—in many transactions, it may be possible. Many foreign sellers are surprised to learn that FIRPTA withholding may be reduced before closing through a properly prepared and timely submitted Form 8288-B Withholding Certificate Application. Why This M