19.36 Transferors' Certificates

19.36.1

Certification--Individual Transferor

RE: Transfer by _____ to _____ ; Legal _____.

Section 1445 of the Internal Revenue Code provides that a transferee (buyer) of a U.S. real property interest must withhold tax if the transferor (seller) is a foreign person. To inform the transferee (buyer) that withholding of tax is not required upon my disposition of a U.S. real property interest, I, (name of transferor) , hereby certify the following:

  • I am not a nonresident alien for purposes of U.S. income taxation;
  • My U.S. tax identifying number (Social Security number) is ________ ; and
  • My home address is: ___________________________.

I understand that this certificate may be disclosed to the Internal Revenue Service by the transferee and that any false statement I have made here could be punished by fine, imprisonment, or both.

Under penalties of perjury, I declare that I have examined this certification and to the best of my knowledge and belief it is true, correct, and complete.

____________________________

Date

____________________________

Signature

Note: The transferee must retain this certification until the end of the fifth taxable year following the taxable year in which the transfer takes place. The Internal Revenue Service may require this certificate to be filed with it. This certificate is furnished for the information of the transferee; the transferee should seek legal advice as to the effect of same.

19.36.2

Certification--Entity Transferor

RE: Transfer from _____ to _____ ; Legal: _______________

Section 1445 of the Internal Revenue Code provides that a transferee of a U.S. real property interest must withhold tax if the transferor is a foreign person. To inform the transferee that withholding of tax is not required upon the disposition of a U.S. real property interest by [name of transferor] "Seller", the undersigned hereby certifies the following on behalf of Seller:

  1. Seller is not a foreign corporation, foreign partnership, foreign trust or foreign estate (as those terms are defined in the Internal Revenue Code and Income Tax Regulations);

  2. Seller?s U.S. employer identification number is _________________________________ ; and

  3. Seller?s office address is ____________________________.

Seller understands that this certification may be disclosed to the Internal Revenue Service by transferee and that any false statement contained herein could be punished by fine, imprisonment, or both.

Under penalties of perjury I declare that I have examined this certification and to the best of my knowledge and belief it is true, correct and complete, and I further declare that I have authority to sign this document on behalf of [____ name of transferor ____].

_________________________
Date

_________________________
Signature

_________________________
Title

Note: The transferee must retain this certification until the end of the fifth taxable year following the taxable year in which the transfer takes place. The Internal Revenue Service may require this certificate to be filed with it. This certificate is furnished for the information of the transferee; the transferee should seek legal advice as to the effect of same.

19.36.3

Notice To Purchaser

Notice to purchaser(s) regarding transfers of U.S. real property interest by foreign persons; sale by _______________ (seller) to ________________ (purchaser); GF# ______________ ;

property: ______________________________

(Company) hereby advises you, as Purchaser in the above referenced transaction, that the Seller may be a foreign person as defined under applicable federal law and regulations and that you may have an obligation to withhold up to 10% of the amount realized in connection with the transfer to you of the above referenced property. You should seek independent legal advice as to such matter. As Purchaser you hereby acknowledge that you have hereby been informed of this matter and that Company and Stewart Title Guaranty Company have no obligations to verify whether Seller is a foreign person and whether withholding is required nor does Company have any obligation to withhold any such funds or to file any return or funds with the Internal Revenue Service.

_____________________
Date

_____________________
Purchaser

_____________________
Purchaser