Selling Real estate land in a foregin country

[RR53]

We are us citizens and we have a peice of land in a foreign country. It we sell it out, how can we move that money from foreign contry to USA legally?

[ElizabethW2]

Hello!

The short answer is 'yes'.

As a US citizen, all your income is reportable and taxable to the United States.  You will report the sale on your tax return, paying any applicable taxes on the gain (net sale price - adjusted cost = gain).  The proceeds are yours to do with as you see fit.

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Elizabeth W, EA

[BettieG]

Hi @RR53!  Should you sell your foreign real estate, the proceeds from the sale can be transferred by wire from your overseas account to your bank in the United States.  It would then be reported as a sale of a capital asset on IRS Form 8949 and Schedule D.  Depending on the amount ($10,000 or more), you will also likely need to report the sale and proceeds transfer to FinCen and likely file a Foreign Bank and Financial Accounts report.

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[KarenC7]

You may also be required to pay the income taxes on the gain from the sales by the foreign country. If the foreign income taxes are paid to the foreign country, you may be eligible for a foreign tax credit from U.S.

[MirthaG]

You can move the money anytime.  The sale of the real estate land has to be reported in your tax return. ( Sales price less cost  equals gain).  Any amounts deposited in a foreign bank account must be also reported when filing the return.  Foreign bank account reporting requires reporting of highest balance in accounts at any time during the  year.