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[ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] Case of the right hand washing the left hand... Posted by Ward-CA- on February 19, 2010 at 3:20 PM In Reply to: THT Withholding Question posted by Kevin on February 18, 2010 at 2:15 PM Kevin, If you check the procedure that's involved, you'll see that the party that does the actual withholding is the escrow company. So, since they are using their own escrow company, it's no wonder to me that they aren't assessing themselves the 3.3% withholding. ----------------Ward ====================== : I recently purchased a property from a Trustee Sale buyer in CA. They are a rather large group and vest all their properties in THT's with the same corp as the trustee. From what I've learned, if you sell a property held in a THT you are NOT exempt from the CA withholding through escrow. : So....When I purchased the property from them I got to look at all the sale paperwork and the form they fill out to show they are exempt from withholding. Throughout all the sales paperwork they list the seller as "123 Property Address Trust, ABC, Inc." And on the withholding form they check the box that they are exempt because they are a Corporation. : Can you do that? How can they have it both ways? Also, they have there own Escrow Company that they use in house for all their sales. Follow Ups: Re: Case of the right hand washing the left hand... OC Broker 3:16 PM, 03/12/10 (0) Post a Followup: Name : E-Mail : Subject : Comments: : Kevin, : If you check the procedure that's involved, you'll see that the party that does the actual withholding is the escrow company. : So, since they are using their own escrow company, it's no wonder to me that they aren't assessing themselves the : 3.3% withholding. : ----------------Ward : ====================== : : I recently purchased a property from a Trustee Sale buyer in CA. They are a rather large group and vest all their properties in THT's with the same corp as the trustee. From what I've learned, if you sell a property held in a THT you are NOT exempt from the CA withholding through escrow. : : So....When I purchased the property from them I got to look at all the sale paperwork and the form they fill out to show they are exempt from withholding. Throughout all the sales paperwork they list the seller as "123 Property Address Trust, ABC, Inc." And on the withholding form they check the box that they are exempt because they are a Corporation. : : Can you do that? How can they have it both ways? Also, they have there own Escrow Company that they use in house for all their sales. [ Follow Ups ] [ Post Followup ] [ The Forum Board ] [ FAQ ] WWWAdmin 2.0a © 1997 Matt Wright and DBasics Software Company, All Rights Reserved

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