Buyer certification of FIRPTA exemption for estate with Canadian beneficiary?
This question is about FIRPTA withholding for the sale of a US Real Property Interest when the seller is an estate, and the beneficiary of the estate (the heir of the deceased) is Canadian. The buyer / transferee is a married couple, both US citizens. The sale price is less than $300K. The buyer is willing to certify that - buyer is acquiring the property for use as a residence, and - buyer has 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. Would such buyer certification exempt from FIRPTA withholding the transfer to the estate of the net proceeds from the sale? Does the answer depend on whether the estate is domestic (US) or foreign (non-US)?
