Finance
Indiana's Gross Income Tax on real property sales (FIRPTA equivalent for Indiana) generally requires:
AAll sellers to pay a 5% state tax on the sale price
BWithholding on sales proceeds when the seller is a non-resident of Indiana✓ Correct
CBuyers to pay a transfer tax at closing
DSellers to pre-pay three years of property taxes
Explanation
Indiana requires withholding on real estate sales proceeds when the seller is a non-resident of Indiana, ensuring that non-residents pay applicable Indiana income tax on gains from Indiana real estate.
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