August 5, 2003 - Phil Hodgen

Nonresidents need U.S. tax ID numbers: new Regulations

Effective today, nonresidents who are engaged in a variety of U.S. real estate transactions will need to get a U.S. individual taxpayer identification number.

The IRS issued Final Regulations that require taxpayer identification numbers on withholding tax returns, applications for withholding certificates, and other section 897 and 1445 notices and elections.

Translated? Anytime a nonresident buys, sells, or exchanges U.S. real estate, he or she will need a U.S. identification number.

The process takes 6 – 8 weeks. It is a pain. Start today. Use Form W-7 to apply.

Nonresidents with US Activities