Foreign citizen Purchasing property in USA

3 Replies

If a foreign citizen purchases property in USA under his/her own name & then rent it out or do a land contract and the tenant/buyer sends him a cheque which he deposits in his own country and pay taxes in his own country, how will he report it to IRS because he doesn't have a SSN or any tax #. 

Hello Haseeb

You should apply for an ITIN. I have never gone through the process on my own, but have a few investors from out of country who do this. I believe an LLC creates an issue as a Canadian resident because of a double taxation issue correct? Is this why you use your personal name instead of an llc?

@Haseeb Awan :

This is a somewhat complicated question. Here's one article from the IRS discussing this issue:

https://www.irs.gov/individuals/international-taxp...

You also will likely need to deal with VISA issues depending on what you want to do. 

I would strongly recommend that you talk to a CPA and lawyer about this. There are many factors to consider so it's difficult to give any generic advice on BP.