How exactly does FIRPTA work when my single-member LLC sells property? Who withholds?
I own a single-member LLC in Delaware that holds a rental house in Arizona. I'm a non-resident alien from Australia. I've accepted an offer and we're heading to closing next month. The buyer's agent is asking about FIRPTA but seems confused about whether the LLC is the "seller" or I am.
Since the deed is in the LLC's name, who is the foreign person for FIRPTA purposes — the LLC or me? And does the buyer withhold based on the LLC's sale or does it somehow pierce through to me? I want to make sure this is handled correctly at closing.
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