Investor · Ottawa, Ontario · Member since 2016 · 225 posts · 46 votes
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 #.
@Haseeb Awan There are significant US income tax consequences for foreign investors. You should absolutely speak to a CPA / attorney about your specific facts and circumstances.
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?
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.
@Haseeb Awan There are significant US income tax consequences for foreign investors. You should absolutely speak to a CPA / attorney about your specific facts and circumstances.