FIRPTA tip of the day.
What about those visa holders that have been in the USA for a few years? You know NOT all visas days of presence qualify for the SPT, lets check;
Q: Is a J-1 Visa holder subject to FIRPTA?
A: It depends, there are many more details that need to be sorted out.
A J-1 Visa allows a foreign person to enter the U.S. for a short period to train, teach, observe, conduct research, go through OJT. This can last several years. J-1 Visa holder is generally considered foreign and may be subject to FIRPTA.
J-1 Visa holders may or may not be exempt from SPT, it is very fact and circumstance dependent.
If J-1 Visa holder entered US as a Student, the exemption from Substantial Presence Test may go up to 5 years subjecting J-1 Visa holder to FIRPTA.
If J-1 Visa holder entered US as a Teacher, SPT exemption is 2 years, but may be extended to 4 years which makes them foreign and subject to FIRPTA.
J-1 Visa holder may also claim a closer connection to home country which again makes them foreign and subject to FIRPTA.
But if you still have questions GIVE US A CALL, we will be glad to answer all the FIRPTA questions you may have.
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Mary Enzi
Tax Solutions – FIRPTA Consulting
Barker TX
+1 (281) 578-1040
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Original Message:
Sent: 07-17-2023 11:16
From: Mary Enzi
Subject: Quick FIRPTA tip
Hello! Happy Monday to all,
Here is the FIRPTA tip of the week...
1031 exchange does NOT exempt a foreign seller from FIRPTA withholding, FIRPTA deposit has to be sent to the IRS regardless of the seller wanting to buy another property with the proceeds from the sale.
You know you can call us if you have any questions.
Also, we can teach a FIRPTA class for Escrow via Zoom, Teams, or any other platform.
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Mary Enzi
Tax Solutions – FIRPTA Consulting
Barker TX
+1 (281) 578-1040
Original Message:
Sent: 07-13-2023 11:24
From: Mary Enzi
Subject: Quick FIRPTA tip
FIRPTA quick tip
We say EVERY REAL ESTATE TRANSACTION IS SUBJECT TO FIRPTA UNTIL YOU COLLECT A CERTIFICATE OF NON FOREIGN STATUS FROM THE SELLER
So, if the seller has ANY of the following documents, continue the process of a regular closing and FIRPTA does NOT apply
- U.S. Passport
- U.S. Birth Certificate
- U.S. Naturalization documents
- Valid and current U.S. Permanent Resident Cars (aka as "Green Card")
If seller cannot provide with any of the above mentioned, the seller(s) could still be considered a U.S. tax resident regardless of their immigration status that's when you give us a call... 281 578-1040
A social security card or a state driver's license alone do not exempt a seller from FIRPTA compliance.
There are 2 very important things you need to know in regards to FIRPTA, our company name and phone number ...... we are here to help!
Give us a call,
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Mary Enzi
Tax Solutions – FIRPTA Consulting
Barker TX
+1 (281) 578-1040
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