I only buy what I need for the year.
The investment in Australia is just not compelling enough.
Not to mention the taxes are a big put off.
I can get better returns from Sg and US.

Yeah,... without the full grossed-up dividend, the returns would be lower than Sg's. On yr US equities, aren't you taxed at 30% withholding taxes too ? What I understood is that all US equities investments outside of the US would have the dividend payout tax-withheld at 30% of the amount declared.

You should find a way to claim back those franking credits, ie that 30% tax which is withheld from your Aussie dividend payouts. Then it would be very worthwhile.

You found a way to get the full dividend?

No...we are not taxed by the US tax authorities. That is what the WBEN 8 form is for. To declare that one is not a tax resident in US.
i have never been taxed for my dividends or capital gains.

Interesting... What broker are you using anyway?

Btw, how to explain this post? I am sure wben8 form was submitted to standard chartered but he still kena charge 30%. (no need to read. Just scroll down to the apple dividend part)
http://www.turtleinvestor.net/get-to-know-...ithholding-tax/

This post has been edited by Ramjade: Apr 11 2017, 01:22 AM

Prophet, the W8-BEN Form is to prove that you are a non-US Resident, and the IRS Laws say that you will not be taxed against your capital gains. However, your dividend will be taxed at a withholding rate of 30% against the dpu declared by the US payer. This 30% may be waived if your payer has a certain arrangement with the IRS, as in Manulife US REIT.

Perhaps I missed something, but where do you see that, after filling-in the W8-BEN Form saying you are a non-US Resident, you will not be taxed in both capital gains and dividend payout ?

What you have been experiencing all these years, having invested into US counters so well, ie being tax-free on both of the above is indeed very encouraging for us to invest into US counters. Can you kindly enlighten us further ?

This post has been edited by Hansel: Apr 11 2017, 01:03 AM

No, I have not.

Exactly for the bolded parts. Or else those mat sallehs who do ETFs will not try to find a way around US 30% tax by going via London/Ireland if it's really tax free.

I thought you found the Holy Grail

General Instructions For definitions of terms used throughout these instructions, see Definitions, later. Purpose of Form Establishing status for chapter 3 purposes. Foreign persons are subject to U.S. tax at a 30% rate on income they receive from U.S. sources that consists of: Interest (including certain original issue discount (OID)); Dividends; Rents; Royalties; Premiums; Annuities; Compensation for, or in expectation of, services performed; Substitute payments in a securities lending transaction; or Other fixed or determinable annual or periodical gains, profits, or income. This tax is imposed on the gross amount paid and is generally collected by withholding under section 1441. A payment is considered to have been made whether it is made directly to the beneficial owner or to another person, such as an intermediary, agent, or partnership, for the benefit of the beneficial owner. In addition, section 1446 requires a partnership conducting a trade or business in the United States to withhold tax on a foreign partner's distributive share of the partnership's effectively connected taxable income. Generally, a foreign person that is a partner in a partnership that submits a Form W-8BEN for purposes of section 1441 or 1442 will satisfy the documentation requirements under section 1446 as well. However, in some cases the documentation requirements of sections 1441 and 1442 do not match the documentation requirements of section 1446. See Regulations sections 1.1446-1 through 1.1446-6.




Note. The owner of a disregarded entity (including an individual), rather than the disregarded entity itself, must submit the appropriate Form W-8BEN for purposes of section 1446. If you receive certain types of income, you must provide Form W-8BEN to: Establish that you are not a U.S. person; Claim that you are the beneficial owner of the income for which Form W-8BEN is being provided or a foreign partner in a partnership subject to section 1446; and If applicable, claim a reduced rate of, or exemption from, withholding as a resident of a foreign country with which the United States has an income tax treaty and who is eligible for treaty benefits. You may also be required to submit Form W-8BEN to claim an exception from domestic information reporting and backup withholding (at the backup withholding rate under section 3406) for certain types of income that are not subject to foreign-person withholding at a rate of 30% under section 1441. Such income includes: Broker proceeds; Short-term (183 days or less) original issue discount (OID); Bank deposit interest; Foreign source interest, dividends, rents, or royalties; and Proceeds from a wager placed by a nonresident alien individual in the games of blackjack, baccarat, craps, roulette, or big-6 wheel. A withholding agent or payer of the income may rely on a properly completed Form W-8BEN to treat a payment associated with the Form W-8BEN as a payment to a foreign person who beneficially owns the amounts paid. If applicable, the withholding agent may rely on the Form W-8BEN to apply a reduced rate of, or exemption from, withholding at source. Provide Form W-8BEN to the withholding agent or payer before income is paid or credited to you. Failure to provide a Form W-8BEN when requested may lead to withholding at the foreign-person withholding rate of 30% or the backup withholding rate under section 3406.

https://www.irs.gov/pub/irs-pdf/iw8ben.pdf


I looked at my dividend advice from my broker again and it says:

Gross dividend USDXXXXXX

Tax: 0.000 %

Tq bro prophet,... really appreciated yr reply and yr time to furnish us with this !

Let me read a bit first,... then only will comment,... Tq again, bro,...

prophetjul, Hansel reply from those in the US threads.
prophetjul, you are damn lucky Maybe it's broker side. Which broker are you using?

Ram

I don't think 30% is a given.

If you read the IRS statement, your with holding tax agent can make an appeal for exemption.

Meaning my broker's agent may be very good at his job!

Means broker like Standard Chartered is bad as the person kena tax
So which broker are you using?

Bro,... I may have an idea where the exemption came from,... may not be from your good broker,... could be foreign-sourced dividends. What are these counters that you bought and are earning divvies from pls ? Can research a bit more,...

Citibank SG

Mining companies mostly.

So I just bought those MReits in US. Let us see whether there is with holding taxes on their divs.
Payment coming soon.

You're a star now, bro,... Please name me one ctr of yours for me to research a bit on,...

McEwen Mining Inc (MUX)

Silvercorp Metals Inc (SVMLF)

Not a call to BUY or SELL!

I own both of them

MReits in US is Mining Reits ?