Refunding HIRPTA funds

Technical topics regarding tax preparation.
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My Canadian clients have sold their condo in Hawaii and one of the results is that a lot of the proceeds have been withheld via HARPTA and FIRPTA. They can apply for and get about half of the HARPTA funds now. There will be no tax liability once the passive activity losses are applied, but they can't be applied on the request for refund to the state. At the federal level it looks really complicated to make the application and just might tie up the funds in a tentative request that can take up to six months to settle. Since IRS is so backlogged with getting refunds to US citizens, I'm worried that processing this type of request could also get those funds tied up in a request for a lot longer time period and it might just be better to wait to file the returns in January with refunds.

Has anyone else had experience with obtaining similar refunds for foreign persons? Is there an easy way to make the requests?
 

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