< iframe width="480" height="320" src="https://www.youtube.com/embed/cW783HmW3a4?rel=0" frameborder="0" allowfullscreen >< img style="float: left; margin:0 5px 5px 0;" src="http://ustaxreview.org/wp-content/uploads/2021/04/8I02vP.jpg"/ > https://www.goldinglawyers.com. What is FIRPTA? FIRPTA is the Foreign Investment in Real Estate Act. The purpose of FIRPTA is to guarantee foreign individuals who own U.S. Real Estate Residential or commercial property submit the required tax documents regarding the sale or transfer of the U.S. residential or commercial property. While foreign individuals who offer certain U.S. properties are not subject to capital gain on the sale( topic further to the 183-day guideline ), the very same rules do not apply to the sale or transfer of U.S. realty. Therefore, when a foreign individual offers or moves U.S. property, there are additional IRS processes and treatments the celebrations should go through to ensure tax compliance. With proper preparation( and getting the Type 8288-B necessary certificate), the tax impact may be minimized.