US Senate Finance Committee Unanimously Approves FIRPTA Reforms

A bill recently approved by the US Senate Finance Committee would, if enacted, make significant changes to the Foreign Investment Real Property Tax Act (FIRPTA), encouraging investment in US real estate in several ways. To help finance the changes, the bill would increase FIRPTA withholding tax and increase reporting and disclosure requirements with respect to foreign investment in Real Estate Investment Trusts (REITs) and Regulated Investment Companies (RICs). This publication describes the provisions of the bill.