What is FIRPTA and how does it affect me, as a Mexican Citizen, when I sell?

🇺🇸 What Is FIRPTA?

FIRPTA requires that when a foreign person sells U.S. real estate, 15% of the gross sale price must be withheld at closing and sent to the IRS as a prepayment of potential taxes.

🔒 It’s not a penalty or extra tax — it’s a withholding, similar to income tax withholding on a paycheck.

🇲🇽 How Does FIRPTA Affect Mexican Citizens Who Sell Property in Miami?

If you sell your property in the U.S. and you are not a U.S. tax resident, 15% of the sales price (not the profit) will be withheld at closing.
Example:
If you sell your Miami property for $500,000, the buyer (or escrow agent) is required to withhold $75,000 and send it to the IRS.

🧾 Can You Recover the Withholding?

Yes. After the sale, you can file a U.S. tax return to report the actual gain (if any), and you may receive a partial or full refund.

If you had little or no gain, most of the withheld amount can be returned.
You’ll need an ITIN (Individual Taxpayer Identification Number) to file.

📝 Optionally, you can apply for a Withholding Certificate before the sale closes to reduce or eliminate the 15% if you prove there will be no or low tax due.

🛡️ How to Prepare Before Selling

Plan ahead: Start your tax prep early — getting a withholding certificate takes time.
Work with a real estate agent, CPA, and closing attorney experienced in FIRPTA.
Consider holding the property in an LLC or trust structure to simplify future sales and tax handling (especially for estate planning).

⚠️ Key Takeaways

Action	Tax Impact
Selling as a Mexican citizen	15% FIRPTA withholding at closing
Filing tax return	May recover part or all of the withheld amount
Advance certificate	Can reduce or avoid FIRPTA at closing

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Antonio Aguirre

Meet Antonio Aguirre

Broker Associate | Realtor® based in Miami, FL

With over 20 years of real estate experience, Antonio Aguirre is a trusted expert helping buyers, sellers, and investors—both local and international—make smart, strategic decisions in one of the most competitive markets in the U.S.

Antonio’s career began by opening offices, recruiting, training, and mentoring agents across the U.S. and Latin America. His leadership and consistent results have earned him multiple industry recognitions, and his global perspective allows him to understand and meet the diverse needs of his clients.

Today, Antonio leads a multidisciplinary team committed to delivering comprehensive, transparent, and personalized service. Whether you’re investing in pre-construction, exploring private equity opportunities, or looking for existing properties, Antonio has the knowledge, network, and resources to help you secure the best possible deal.

A true Miamian at heart, Antonio is passionate about watersports and gastronomy—qualities that reflect his energetic, detailed, and client-centered approach to real estate.

Ready to take the next step?

📞 Schedule a private consultation: +1-786-309-1965
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