How does FIRPTA apply to a multi-member LLC taxed as a partnership? Two foreign owners selling property.
My business partner and I (both non-resident aliens from France) own a 50/50 multi-member LLC in Florida that holds a commercial property. We're planning to sell the property next year. I understand FIRPTA applies, but I'm confused about the mechanics.
Does the partnership withhold on itself? Does the buyer withhold on the partnership or on us individually? What forms are involved? This seems more complicated than a single-member LLC situation.
Related Questions
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 i...
What exactly is FIRPTA and how does it affect me as a foreign LLC owner with U.S. real estate?
I'm a Canadian citizen who owns a single-member LLC in Wyoming. I bought a rental condo in Phoenix through the LLC last year. My accountant mentioned something called FIRPTA that could hit me with a b...
I'm selling my interest in a U.S. LLC that owns real estate — does FIRPTA apply to the sale of my LLC membership interest?
I own a 30% membership interest in a Florida LLC that holds two apartment buildings. I want to sell my interest to another investor (who is a U.S. person). The LLC itself isn't selling the properties ...
Does FIRPTA apply to my rental income, or only when I sell the property?
I own a rental property in Atlanta through my foreign-owned LLC. I've been collecting rent for 3 years. Nobody has mentioned FIRPTA for the rental income, only when I eventually sell. But a friend tol...
I'm selling a property through my LLC — does the buyer withhold on the LLC or on me personally?
Quick question. I'm a Mexican citizen selling a house in San Diego that's titled in my Wyoming single-member LLC. The buyer's escrow company is asking for my personal ITIN to process FIRPTA withholdin...
My LLC has two foreign members and is taxed as a partnership — is it still FIRPTA when it sells?
Our US LLC is owned by two foreign people and we file a partnership return for it. We're selling the US property the LLC holds. Everything I read about FIRPTA assumes a single-member disregarded LLC. ...
IRC 1445 FIRPTA withholding — does the buyer really hold back 15% of the entire sale price when I sell my U.S. property?
I'm a Mexican citizen and I'm selling a condo in Arizona that I hold through my LLC. The title company said they need to withhold 15% of the gross sale price under IRC 1445. The condo is selling for $...
Does FIRPTA treat commercial real estate differently from residential property?
I own a small strip mall in Texas through my foreign-owned LLC and I'm thinking about selling. Most of the FIRPTA information I find online talks about houses and condos. Are the rules different for c...
My LLC owns U.S. real estate — what is FIRPTA under IRC 897 and how does it affect me when I sell?
I'm a French citizen with a Wyoming LLC that holds a rental property in Texas. I'm thinking about selling the property next year. My real estate attorney mentioned FIRPTA and IRC 897, saying the buyer...
I'm buying a property from a foreign-owned LLC — what are MY obligations as the buyer for FIRPTA?
I'm a U.S. citizen buying a house from someone who I think is a foreign national (they have a foreign-sounding name and the property is in a Wyoming LLC). I'm not sure if FIRPTA applies or what I need...
Have a similar question?
ForeignLLCTax members get expert answers with IRS citations. One CPA consultation costs $200+. Full access is $9.99/month.
Become a Member — $9.99/moDisclaimer: All content on ForeignLLCTax.com is created by a tax professional and is provided for general educational and informational purposes only. It does not constitute tax, legal, or accounting advice, and should not be relied upon as such. Every tax situation is different — for advice specific to your circumstances, please consult a licensed CPA, Enrolled Agent, or tax attorney. By using this website, purchasing a subscription, or accessing any tools or services, you acknowledge that no client-professional relationship is established between you and ForeignLLCTax.com or its operators. This website is not affiliated with the IRS.
