honsiong

Here is what I understand about the amount of tax refund from your screenshot. So, kindly correct my misunderstanding, if there is any.


Dividend Withholding Tax = 30% of the Dividend

Refund Amount from Dividend Withholding Tax = 46% of Dividend Withholding Tax
Refund Amount from Dividend Withholding Tax = 46% x 30% of the dividend = 13.8% of the dividend

Thus,

Unrefunded Amount from Dividend Withholding Tax
= (100% - 46%) from Dividend Withholding Tax x 30% of the dividend = 54% x 30% of the dividend
= 16.2% of the dividend

In other words, StashAway and their broker Saxo are unable to assist in claiming back the remaining Dividend Withholding Tax (= 16.2% of the dividend), from the US tax authorities, since we Malaysians are not US tax resident.

So, we have to accept that 16.2% of the dividend is lost, and we have to reduce our dividend yield of our investment in StashAway accordingly.


Thank you for your clarification.

This post has been edited by kart: Dec 30 2018, 01:56 PM

Ok, honsiong, thanks for compiling the information, for the sake of comparison.

Your previous post said that StashAway credits refund amount from dividend withholding tax into your account in October, for the investment performed in the preceding year.


For each gov bond, was the crediting of the refund amount done in a single transaction, or multiple transactions?


Maybe, for your case, StashAway refunded 46% of Dividend Withholding Tax in the first transaction, and then credited the remaining 54% in the second transactions. Both crediting transactions were performed in October this year.


Your screenshot of your Google sheet shows that StashAway managed to refund almost all Dividend Withholding Tax (= 30% of the Dividend) automatically, and that is good.


Maybe, you just remind StashAway to refund the remaining Dividend Withholding Tax for CWB (30% - 7.09% = 20.91%), as it is rightfully your money. With that final refund, you are all good.

This post has been edited by kart: Dec 30 2018, 04:48 PM