Estate tax considerations for non-US persons owning US real estate
Editor: Mo Bell-Jacobs, J.D. Non–U.S. persons face complicated and often surprising tax and compliance issues when acquiring or holding real estate located in the United States. Challenges include transfer tax (i.e., estate, gift, and generation–skipping taxes) and income tax regimes as well as the compliance burdens associated with those regimes. The following discussion primarily addresses transfer tax considerations and planning while touching on a few income tax implications. For purposes of this item, the terms “non–U.S. person” and “nonresident nondomiciliary individual” (NRND individual) denote an individual who is neither a...