Hello. My specialty is focusing on YOUR Financial needs. Financial Planner/Business Owner for 20 years. CPA,PFS,QFP,GMMA.
There is no need to "report" the purchase on your US taxes nor take a credit for Mexican taxes paid.
This asset should be included in your estate for US estate tax calculations.
In addition if you ever sell it and have a gain it should be reported to the IRS.
The LEGAL answer is that since you are putting this in your grandfathers name you'll have no ownership (owner of record).
If granpa dies you can get a step up in basis, but should report this if you sell.
Hello from NJ
Please join me.
For now you have NO issues (though you should report this when you file taxes as a gift). it will reduce your estate tax credit when you die.
The IRS will consider this 600,000 as being 'moved" to avoid paying estate taxes.
well the property is actually going to be in my name. NOt my grandfathers. Essentially, my grandfather will be purchasing it and putting it in my name.
My grandfather is a Mexican national.
but you said the property will be placed in his name?
sorry. i misread
then no worries. Eventually you'll include this in your estate of if you sell at a gain or loss you should report that.
ok. I am just trying to figure out what needs to be reported and how in teh US.
nothing for now.
UPON sale, the gain or loss.
so r u saying that when I file paperwork with the IRS..i should not include it? Or when I do my taxes I dont need to disclose?
UPON YOUR death, it's to be included in the estate
do NOTHING with the IRS. there is NO NEED
Ok. that is what I thought. THank you.
There is no sense even mentioning it until sold or dead.
any entity to whom I need to report it in the U.S.? As i mentioned I know I have to pay some tax in mexico.
When you sell or die you'll use the IRS forms.
You'll file for capital gains.loss or the estate will file a return
I'll stay here if you have an y further questions
awesome. thanks for the clarification.
I'll leave you to accept and post feedback.
now I have a different sort of question. how Can I get you to anser in order to give you credit on the new question?
Just ask. No need to pay again. i'm here to try and help
You'll get two answers for the whopping single fee. LOL
LOL. well in regards XXXXX XXXXX mexican national owning property in the U.S. as long as they are paying property taxes..does the mexican national have to pay any taxes? DOes he have to file IRS forms? He doesnt work in the U.S.
Nope. As long as the mexican National pays the property taxes there are no issues.
UNLESS he sells it and has a gain or loss. Upon his death there MAY be estate taxes
If he has bank accounts in the us...with money..any other issues of reporting?
Till then we just ride along peacefully
yes. if he has interest he must file a 1040NR
I say "he should file"
some folks don't
Ok. bc..i think it may be minimal...but I think he has an account that has been in the U.S> for over 20 years..
The IRS and Homeland Security are on this because of m0ney laundering
ok...if in the future I have questions...do I just request you?
Please feel free to so so. Shawn Adamo