Realtors, are you selling a property for a foreign national? The FIRPTA withholding tax will increase from 10% to 15% effective February 16, 2016. The current FAR/BAR contract refers to a 10% withholding. An amendment changing the potential rate of withholding to 15% should be added to the contract for any closing scheduled on or after February 16, 2016. 🏡
Review H. R. 2029, section 324 for the complete changes.