Escrow & Title

FIRPTA requires withholding on the sale of U.S. real property by a foreign seller at a rate of:

A5%
B10%
C15%✓ Correct
D20%

Explanation

Under the Foreign Investment in Real Property Tax Act (FIRPTA), the buyer must withhold 15% of the gross sales price when purchasing U.S. real property from a foreign seller.

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