What do I do if I inherited money in Iran? - SAEI …

1 Although seemingly a difficult task, managing an inheritance in Iran can be done and done legally. With the right knowledge and a proactive approach you can successfully transfer your inheritance from Iran. What do I do if i inherited money in iran ? If it is only money you inherited , then you are permitted to bring that money to the United States and into a bank account. This is known as a non-commercial family remittance. The problem is that due to prohibitions in the Iranian Transactions Regulations wire transfers cannot occur directly from an Iranian bank to a bank. As such, the transaction must come from a non-Iranian financial institution outside of the United States and into a bank account. Therefore, transfers through businesses and/or individuals (such as the use of Havaleh or Hawala) is prohibited.

2 Keep in mind, however, that there is a great deal of risk involved when transferring money from Iran to the Thus, it is always wise to file a request for interpretive guidance with The Department of the Treasury Office of Foreign Assets Control ( ofac ) to make sure the manner in which you transferring the funds is permitted. What do I do if I inherited property in Iran? Disposing of inherited property is more problematic than merely transferring inherited funds to the In order to dispose of the property you need a specific license from ofac . In other words, it is illegal to sell your property in Iran, inherited or otherwise, without an ofac license. Once you have obtained the specific license from ofac you will be authorized to dispose of your property in Iran.

3 Make sure that you do not sell that property to any blocked parties and that none of the parties involved in the transaction are on the ofac SDN List. Can I hire a lawyer or agent in Iran to handle the sale of inherited property? No. Without a license from ofac you are not only prohibited from selling the property, but also from hiring someone in Iran to dispose of the property for you. As such, you cannot hire a lawyer, real estate agent, or even an appraiser to carry out any transactions related to the sale of the property. If you do desire to retain such persons to assist you in the sale of property make sure to include them in the license application. Remember the ofac license application is not a form; it is a written letter to ofac describing the transactions to be engaged in.

4 Therefore, the more information you include the better, as the ofac license will only cover the activities described in the license application. Can my family in Iran sell the property and then send me the money ? This area is still somewhat unsettled. There is the question of whether allowing family in Iran to sell the property would led to the facilitation of otherwise prohibited activities. Facilitation occurs when a person carries out some act which allows for foreign persons to engage in a transaction which would have been prohibited had a person been involved. For example, this could occur if someone were to execute a power of attorney in regards to the sale of property in Iran. On the other hand, if the estate was probated completely in Iran with no involvement of the person, then the transfer of that money to the would be authorized as a non-commercial family remittance.

5 What do I do if I inherited money in an account at a blocked (SDN) bank? If you inherited funds that are in an account at an SDN designated bank then you need to obtain a specific license from ofac to close that bank account and transfer the money into another bank account prior to transferring the money to the A number of banks in Iran are on the ofac SDN List. Some of the major designated banks include: Bank Mellat, Bank Sepah, Bank Saderat, and Bank Melli. persons cannot hold accounts at those banks. If you do have a bank account at one of those banks you must act immediately to apply for a specific license to have that bank account closed and the funds transferred out of it. Is the use of a Sarraafi permitted? The use of a sarraafi outside of the United States is not prohibited, however, there are major concerns if you use one.

6 Saraafs mask the identity of the true remitter. As such, they draw red flags with banks and the government. While not per se illegal, using a sarraafi could lead to the blocking of the transfer, an ofac investigation, and/or a criminal investigation. If using a sarraafi is your only choice, then make sure you file a request for interpretative guidance from ofac and inform your bank of where the funds are coming from and why the funds transfer is legal. Can I or someone else just bring over my inheritance money in cash? You could technically bring cash over to the United States without violating the Iranian Transactions Regulations. However, there may be other applicable law which would require you to report the amount of cash being brought over.

7 This might draw the suspicion of authorities however, and you could find yourself as the target of an investigation as a result. No one else can bring the cash over for you. This would amount to the provision of services and would be prohibited by the Iranian Transactions Regulations. Although many people argue that there would be no way for the government to find out, there are currently ongoing criminal investigations against a number of Iranian Americans for this type of activity. What else should I know? The Iranian Transactions Regulations like all trade sanctions are very complex and broad. Although I have laid out general answers to common questions in this article every case is different and could be interpreted differently.

8 As such, it really makes sense to have a lawyer who is experienced in dealing with ofac and sanctions to assist you in drafting the license application and/or the request for interpretative guidance. This will not only protect your interests but will save you time and allow you to legally transfer your funds to the in the most efficient manner. You generally do not need an ofac license to transfer personal funds from Iran to the United States if it is for family members or yourself. Let s say you have a personal bank account in Iran in a non-sanctioned bank in Iran ( , Parsian, Saman, Karafarin, etc.) that you have had since before you moved to the and want to bring the money here to the for personal use, such as paying your children s tuition, or buying a family home, etc.

9 Generally speaking, this does not need a license. Although as a person you certainly need a license to liquidate property and/or engage in transactions in Iran (for example, to sell a house, factory, plot of land, etc.) you generally do not need a license to transfer money sitting in the bank (unless it happens to be in a sanctioned bank like Bank Saderat or Melli) to yourself or your children, relatives, etc. for personal use. Note that the involvement of even a single entity on the Specially Designated Nationals (SDN) list (such as Bank Saderat, Bank Tejarat, Bank Sepah, etc.) in the transaction can cause your money to become blocked by the bank, and petitioning for the release of blocked funds is no easy task. Also you should still submit an affidavit to your bank in the before the wire comes in (more on that later).

10 You can submit a license application to ofac requesting a license to transfer the funds to the United States, but chances are that ofac will respond by telling you that such transfer does not need a license provided you are in compliance with all applicable laws. In other words, ofac will not issue a license, but ask that you make sure that the transfer is lawful for example, no SDNs are involved in the transfer, and the funds must constitute a non-commercial family remittance, etc. Note the above generally applies to situations in which a person is bringing his/her own funds to the , or if a person in the is receiving family remittances from somebody in Iran. It does not cover every situation involving the transfer of funds, including but not limited to, for example, a person in Iran wants to invest or deposit money in the United States for safe keeping one should always seek written guidance from ofac on issues like this.