California Form 593-C - Real Estate Withholding Certificate

___YEAR___

2014

Real Estate Withholding Certificate

CALIFORNIA FORM

593-C

Part I

Seller’s Information

Return this form to your escrow company

Name (including spouse, if applicable – see instructions – type or print)

SSN, FEIN or CA Corporation no.

Address (number and street)

Private Mailbox No.

Spouse’s SSN (if jointly owned)

City

State

ZIP Code

Note: If you do not furnish your tax ID

number this certificate is void and

withholding is required.

Ownership Percentage

Property address (if no street address, provide parcel number and country)

Read the following and check the appropriate boxes. (See line-by-line instructions.)

Part II – Certifications which fully exempt the sale from withholding:

yes

Does the property qualify as the seller’s (or decedent’s, if being sold by the decedent’s estate)

principal residence within the meaning of Internal Revenue Code (IRC) Section121?

Did the seller (or decedent, if being sold by the decedent’s estate) last use the property as the

seller’s (decedent’s) principal residence within the meaning of IRC Section 121 without regard to the

two-year time period?

Will the seller have a loss or zero gain for California income tax purposes on this sale?

(To check “YES” you must complete Form 593-E, Real Estate Withholding – Computation of

Estimated Gain or Loss, and have a loss or zero gain on line 16.)

Is the real property being compulsorily or involuntarily converted and does the seller intend to

acquire property that is similar or related in service or use to qualify for nonrecognition of gain for

California income tax purposes under IRC Section 1033?

Will the transfer qualify for nonrecognition treatment under IRC Section 351 (transfer to a

corporation controlled by the transferor) or IRC Section 721 (contribution to a partnership in

exchange for a partnership interest)?

Is the seller a corporation (or an LLC classified as a corporation for federal and California income

tax purposes) that is either qualified through the California Secretary of State or has a permanent

place of Business in California?

Is the seller a partnership (or an LLC that is not a disregarded single member LLC and is

classified as a partnership for federal and California income tax purposes) with recorded title to the

property in the name of the partnership or LLC?

(If yes, the partnership or LLC must withhold on nonresident partners or members as required)

Is the seller a tax-exempt entity under either California or federal law?

Is the seller an insurance company, individual retirement account, qualified pension/profit sharing

plan, or charitable remainder trust?

Part III – Certifications which may partially or fully exempt the sale from withholding:

Escrow Officer: See instructions for amounts to withhold.

10. Will the transfer qualify as a simultaneous like-kind exchange within the meaning of IRC Section 1031

11. Will the transfer qualify as a deferred like-kind exchange within the meaning of IRC Section 1031?

12. Will the transfer of this property be an installment sale that you will report as such for California tax

purposes and has the buyer agreed to withhold on each principal payment instead of withholding

the full amount at the time of transfer?

Part IV – Seller’s Signature

Under penalties of perjury, I hereby certify that the information provided above is, to the best of my knowledge, true and correct. If conditions change, I

will promptly inform the withholding agent. I understand that the Franchise Tax Board may review relevant escrow documents to ensure withholding

compliance and that completing this form does not exempt me from filing a California income or franchise tax return to report this sale.

Seller’s Name and Title________________________________ Seller’s Signature _______________________________ Date: _____________

Spouse’s Name____________________________________ Spouse’s Signature _______________________________ Date: ______________

Seller: If you checked “YES” to any question in Part II, you are exempt from real estate withholding.

If you checked “YES” to any question in Part III, you may qualify for a partial or complete withholding exemption.

If you checked “NO” to all of the questions in Part II and Part III, the withholding will be 3 1/3% (.0333) of the total

sales price or the alternative withholding amount certified by seller in box 8 of Form 593-B.

If you are withheld upon, the withholding agent should give you two copies of Form 593-B. Real

Estate Withholding Tax Statement. Attach one copy to the lower front of your California income tax return and keep

the other copy for your records.

IF YOU DID NOT ANSWER “YES” TO ANY QUESTION ABOVE, PLEASE CONTACT YOUR ESCROW

OFFICER FOR FORM 593-B FOR ALTERNATIVE WITHHOLDING.

California Form 593-C - Real Estate Withholding Certificate - 2014

Related Articles

Related forms

Related Categories