Sales Tax when you sell property

[sansei]

You can look up the IRS rules by searching FIRPTA on the IRS website(Form 8288(x)). You can search HARPTA on the Hawaii tax site(form n288(x)). You can also look up the exemption forms to see whether you qualify.

These are not sales taxes, they are withholdings on the (potential) gains from the sale of assets. Lief is correct that the FEDS w/h 10% and HI 5%. You can get a credit for the witholdings when you file your income tax returns just as you are credited for the withholdings on your paycheck for regular income.


Larry