Page 9 - FIRPTA Guide AZ

FIRPTA Checklist

Complete
YES Certification of

Non-Foreign
Is the Seller a Status

U.S. Resident
or Citizen?

Does Buyer
NO Have Definite Plans
NO
to Use the Property
as His Residence and
Sale Price Does
Is Seller Buyer not Exceed
Recognizing a NO Should Request NO $300,000?**
Gain of Less for 10%
Than 10%? Withholding

YES

YES
Complete

See your CPA or Tax Attorney Regarding buyer’s declaration
Application form 8288B for an for $300,000
IRS Withholding Certificate. Residence
Carefully Review Driggs Title’s Exemption
agreement concerning FIRPTA Form.
witholding. All Parties, including Sellers
tax professional must agree and
execute this agreement.
Escrow provides an estimated
Seller Statement.

NOTE: Escrow will withold 10% pending receipt of Witholding Certificate, unless the Parties agree otherwise.
** IRC REQUIRES: The BUYER acquires the propert for use as a home and the amount realized (sales price) is not more than $300,000. The BUYER or a member of their family, must have
definite plans to reside at the property for at least 50% of the number of days the property is used by any person during each of the first two 12-month periods following the date of transfer.
When counting the number of days the property is used, do not count the days the property will be vacant.

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