Escrow & Title

A Mississippi 'FIRPTA withholding' at closing is required when:

AThe buyer is a foreign national
BThe seller is a foreign person (non-U.S. citizen/resident), requiring the buyer to withhold a percentage of the sale price for IRS remittance✓ Correct
CThe property is sold below market value
DThe transaction involves a 1031 exchange

Explanation

FIRPTA (Foreign Investment in Real Property Tax Act) requires buyers to withhold a percentage of the gross sale price (typically 15%) when purchasing U.S.

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