Common use of FORM OF FIRPTA AFFIDAVIT Clause in Contracts

FORM OF FIRPTA AFFIDAVIT. Section 1445 of the Internal Revenue Code provides that a transferee of a United States real property interest must withhold tax if the transferor is a foreign person. For U.S. tax purposes (including Section 1445 of the Code), the owner of a disregarded entity (which holds legal title to a U.S. real property interest under local law) will be the transferor of the property and not the disregarded entity. To inform the transferee that withholding of tax is not required upon the disposition of a United States real property interest by ___________________________________________, a ______________________ (“Seller”), the undersigned hereby certifies the following on behalf of Seller:

FORM OF FIRPTA AFFIDAVIT. Section 1445 of the Internal Revenue Code provides that a transferee of a United States real property interest must withhold tax if the transferor is a foreign person. For U.S. tax purposes (including Section 1445 of the Code1445), the owner of a disregarded entity (which holds has legal title to a U.S. real property interest under local law) will be the transferor of the property and not the disregarded entity. To inform the transferee that withholding of tax is not required upon the disposition of a United States real property interest by ___________________________________________[INSERT NAME OF SELLER], a ______________________ [INSERT ORGANIZATIONAL INFO FOR SELLER] (“Seller”), the undersigned Seller hereby certifies the following on behalf of Sellerfollowing: