This Non-Foreign Affdavit Under Internal Revenue Code 1445 is for a seller of real property to sign stating that he or she is not a foreign person as defined by the Internal Revenue Code Section 26 USC 1445. This document must be signed and notarized.
Roseville California Non-Foreign Affidavit Under IRC 1445: A Detailed Description If you are involved in real estate transactions in Roseville, California, it is important to understand the concept of Non-Foreign Affidavit Under IRC 1445. This legal requirement, mandated by the Internal Revenue Code (IRC) Section 1445, ensures that sellers who are not considered "foreign persons" can provide proof of their U.S. residency or citizenship to the IRS. The Non-Foreign Affidavit serves as a declaration under penalty of perjury, affirming that the seller is not a "foreign person" as per the IRS definitions, thereby exempting the buyer or other withholding agents from withholding a certain percentage of the sale proceeds for tax purposes. The Roseville California Non-Foreign Affidavit Under IRC 1445 typically includes the following information: 1. Seller's Identification: This includes the seller's name, address, social security number or taxpayer identification number. 2. Property Information: Detailed description of the property being sold, including address, parcel number, and legal description. 3. Citizenship or Residency: The affidavit will require the seller to indicate their citizenship or residency status. If the seller is a U.S. citizen or resident alien, they will need to provide supporting documentation such as a valid U.S. passport or a U.S. government-issued identification document. It is worth noting that there may be different types of Roseville California Non-Foreign Affidavit Under IRC 1445, depending on the specific circumstances of the transaction. Some possible variations include: a) Individual Seller Affidavit: Used when the seller is an individual who is not considered a "foreign person" as per IRS definitions. b) Trust Seller Affidavit: Applicable when the seller is a trust and the beneficiaries or granters are U.S. citizens or resident aliens. c) Corporate Seller Affidavit: Used when the seller is a corporation that is not considered a "foreign person" as per IRS definitions. d) Partnership Seller Affidavit: Applicable when the seller is a partnership, and all partners are U.S. citizens or resident aliens. e) LLC Seller Affidavit: Used when the seller is a limited liability company (LLC) and all members are U.S. citizens or resident aliens. It is crucial to consult with a knowledgeable attorney or tax professional to determine the right type of Roseville California Non-Foreign Affidavit Under IRC 1445 for your specific situation. Failing to comply with this requirement can result in penalties or non-compliance issues in the real estate transaction. In conclusion, the Roseville California Non-Foreign Affidavit Under IRC 1445 is a vital document that ensures compliance with federal tax regulations during real estate transactions. It establishes the seller's status as a U.S. citizen or resident alien, exempting the buyer from withholding a portion of the sale proceeds. Understanding the different types of affidavits and seeking professional guidance can help streamline the process and mitigate any potential legal or financial risks.
