Foreign Tax withholding for Canadian investing in US real estate
Hi I am Canadian investor in US real estate . Does anyone have experience with foreign tax withholding when foreigner flip and sell investing property in United States? I heard title company or escrow companies depending on the states your property is located will hold 10-15% of gross sale price. In my calculation US tax associated with my net income after flip will be far less than 10-15% of gross sale. I am not sure if I can file tax return right away when property is sold to pay exact tax amount and have access to my capital for business. I heard I can apply for something but quite not sure how it works.
Also I would like to see if this is only withholding when foreigner sell investing property or there are other things a foreigner should be aware of when flipping property?
Any thoughts will be helpful