Maine Notification to Buyer(s) of Withholding Tax Requirement
Extracted from PDF file 2023-maine-rew-4.pdf, last modified November 2021
Notification to Buyer(s) of Withholding Tax RequirementClear Print Form REW-4 Maine Revenue Services Income/Estate Tax Division - REW Tel. 207-626-8473 Notification to Buyer(s) of Withholding Tax Requirement 36 M.R.S. § 5250-A provides that every buyer of real property in Maine must withhold tax in an amount equal to 2.5% of the consideration. Any buyer who fails to withhold the tax is personally liable for the tax. The withholding required by § 5250-A must be transmitted to the State Tax Assessor with the appropriate REW-1 form within 30 days of the transfer of the real property. A buyer is not required to withhold tax if: (a) The seller furnishes the buyer with a certificate stating that, under penalty of perjury, as of the date of the transfer, the seller is a resident of the State of Maine; (b) The seller or the buyer has received from the State Tax Assessor, a certificate stating that no tax is due on the gain from the transfer or that the seller has provided adequate security to cover the liability; (c) The consideration from the transfer of the property is less than $100,000; (d) Written notification of the withholding requirements of 36 M.R.S. § 5250-A has not been provided to the buyer; (e) The seller is the State or an agency or a political subdivision of the State, the federal government or an agency of the federal government, an organization exempt from income taxes pursuant to the Internal Revenue Code, § 501(a), an insurance company exempt from Maine income taxes or a subsidiary of an insurance company described in 24-A M.R.S., § 1157 (5)(B)(1) that is exempt from Maine income taxes; or (f) The property is being transferred via a foreclosure sale. Foreclosure sale means a sale of real property incident to a foreclosure and includes a mortgagee’s sale of real estate owned property of which the mortgagee, or third-party entity, retained or took ownership as the result of an unsuccessful attempt to sell the property at the time of a previous foreclosure auction. The undersigned buyer(s) acknowledge(s) receipt of this notification of the withholding tax requirements of 36 M.R.S. § 5250-A. Buyer: Real estate escrow person: Name: _________________________________ Name: _________________________________ Signature: ______________________________ Signature: ______________________________ Date: __________________________________ Title: __________________________________ Buyer’s Spouse (if applicable): Date: __________________________________ Name: _________________________________ Signature: ______________________________ Date: __________________________________ Note: The buyer, or real estate escrow person, must retain a signed copy of this document. Revised: December 2021
More about the Maine REW-4 Individual Income Tax TY 2023
This form is used by the seller to notify the buyer of property in Maine who must withhold tax in an amount equal to 2.5% of the consideration. Anyone who fails to withhold the tax is personally liable for the tax.
We last updated the Notification to Buyer(s) of Withholding Tax Requirement in February 2024, so this is the latest version of REW-4, fully updated for tax year 2023. You can download or print current or past-year PDFs of REW-4 directly from TaxFormFinder. You can print other Maine tax forms here.
Other Maine Individual Income Tax Forms:
|Income Tax Instructions
|Form 1040ME Instructions
|Minimum Tax Worksheet for Schedule B
|Vouchers and Instructions for Estimated Tax Payments
|Income Modifications / Pension Income Deduction Worksheet
|Income Modification Subtractions
Maine usually releases forms for the current tax year between January and April. We last updated Maine REW-4 from the Revenue Services in February 2024.
About the Individual Income Tax
The IRS and most states collect a personal income tax, which is paid throughout the year via tax withholding or estimated income tax payments.
Most taxpayers are required to file a yearly income tax return in April to both the Internal Revenue Service and their state's revenue department, which will result in either a tax refund of excess withheld income or a tax payment if the withholding does not cover the taxpayer's entire liability. Every taxpayer's situation is different - please consult a CPA or licensed tax preparer to ensure that you are filing the correct tax forms!
Historical Past-Year Versions of Maine REW-4
We have a total of two past-year versions of REW-4 in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:
While we do our best to keep our list of Maine Income Tax Forms up to date and complete, we cannot be held liable for errors or omissions. Is the form on this page out-of-date or not working? Please let us know and we will fix it ASAP.