As a member of CSA, I was hoping to get some information. I would like to rent a condo in south Florida next winter and am wondering how I can be sure that the person who is renting out the condo is the actual owner and it is not a scam. I saw his ad on a sight called www.floridavacations.com

Also what should I look for in a rental agreement? Do you have any samples? What is a reasonable security deposit? How can I be sure it is returned to me?

Thank you,
David Druzin

The only way we can suggest to confirm that an ad is honest is to contact the local Chamber of Commerce and check with them as to the agency that is advertising. There is no standard rental agreement and the amount of deposit is really between the parties and will vary with the lease length. The agreement should clearly state the refund policy on all monies ­ and the policy re: damage or security deposits is very important, as well. Florida Law provides for certain rules which must be followed before a claim can be made against a security or damage deposit. If the rules are not followed, the whole of the deposit must be returned. We have always found that the best recommendations come from someone who has actually stayed there. You should ask for such references and call them to ask about their experience.

Dear Bird Talk,

In your last publication you published an article entitled "Changes in Foreign Investment in Real Property Tax Act" and stated that if a Canadian citizen is selling U.S. property over $300,000 U.S. they must get an ITIN from the IRS. Recently, a friend has decided to sell his U.S. property in Florida and was told that he needed to have an ITIN even though his property is worth under $190,000. Is this true?

I would appreciate any information you could give us.
Fred/Diane Hayes

The article in the CSANews was only partially correct ­ one must now obtain a TIN (unless they have a U.S. Social Security Number) if one wishes to sell any property in the U.S. There is no relevance to the value of the property. As of the 3rd of November, 2003, one must have the number before the sale in order for the title company, or whoever is handling the sale, to be able to report the sale to the IRS and to remit the withholding funds.

In order to obtain a TIN the rules have also tightened ­ you must now prove that you need a TIN. If you are filing a tax return, the procedure is to send the TIN application to the TIN office along with the tax return. The TIN office assigns a number to the return, and forwards the return to the tax office. On the other hand, if one needs a TIN for a future sale, one must send a certified copy of the deed to the TIN office to justify the issuance of the TIN.

The actual procedure is detailed, and should not be completed without the assistance of either the IRS personnel at a tax office, or the use of a professional.