We are selling the house due to job relocation now. We are h1-b visa holders. Our selling agent told me:" The title company must withhold 6% of your net proceeds plus 10% of the sales price in escrow , , which will be returned upon your filing of taxes. (The state and federal governement just want to make sure that you file taxes but then they will release the remainder to you) ". Is that correct? The house is MD. 10% of the sales price in escrow is quite a lot! US are really crazy now, beyond the GC retrogress, they have all other methods to make H1 holders life difficult!
Is that I will get them back as soon as I file the tax next year? How early I can file tax, Is feb 2006 OK? I do not want to thy hold my money (10% of sales in the escrow ) forever. I need the money to buy a new house. What if the title company is bankrupt? Can I get the money back?
Thanks a lot!