if I sold my cabin (fideicomiso) and upgraded to spend a little more with that toward another home under a fideicomiso,,,,,do their laws provide for
gringo reinvesting or would I owe the capitol gains tax for non resident non citizen of any status.?Lee - 9-2-2017 at 10:20 AM
if I sold my cabin (fideicomiso) and upgraded to spend a little more with that toward another home under a fideicomiso,,,,,do their laws provide for
gringo reinvesting or would I owe the capitol gains tax for non resident non citizen of any status.?
I would think there's no penalty but don't listen to me or anyone here unless they've done this sort of transaction. You need advice from a MX
notario or attorney.gnukid - 9-2-2017 at 11:00 AM
As Lee states, the Notario must agree to accept the deal, so go to individually interview notarios about your proposal in order to choose which one to
work with who will support the transfer of residential property assets. Or you could interview agents and ask them if they have had favorable similar
experience with a notario. Other factors such as the amount of time you have in the home, utilities in your name are additional factors. Of course
actual gain is a factor as well. If there is no gain there is no issue, and there are formulas for amount to be deducted from gain based on factors
such as home much you put into it and appraised value (TBD). If you sell it for the same price you bought it there would be no issue. More than likely
it would help if you were actually a TR/PR though theoretically its up to the notario to establish residency and determine if capital gains should be
withheld, and as I read the law there is no requirement for the TR/PR to show this. It's more about time. It helps to speak the language. In a recent
transaction I witnessed with the Notario, his accountant asked to see evidence of the new home in the form of RFC persona fisica showing the new
(other) address in a constancia meaning recent updated SAT official address document which the seller had in possession and this was the final piece
that allowed no capital gains to be withheld. This is easily obtained at SAT by going in and making an appointment or doing it online if you have
electronic verified access, by showing the new address and entering it as your residency and demonstrating a cobrabante or utility bill even if it is
not in your name though generating a RFC persona fisica may or may not require a TR/PR though does require some form of id, you would have to see if
they ask you. The RFC # should be in place for at least one year though better if it is longer like 2-3 years of the sale.
The easiest thing to do to ensure success would be to become a formalized resident as TR/PR go get an RFC persona fisica at SAT and wait more than
about 18 months to sell. Go buy the new place first. Or sell for no gain. ;-)
