Search found 949 matches

by TedSwippet
Wed May 25, 2016 3:42 am
Forum: Investing - Help with Personal Investments
Topic: UK Passive Index Investing Advice
Replies: 6
Views: 432

Re: UK Passive Index Investing Advice

There is a wealth of UK specific information to be found in Monevator's guide to passive investing in the UK.
by TedSwippet
Tue May 24, 2016 5:50 am
Forum: Investing - Help with Personal Investments
Topic: Irish Resident - US domiciled ETFs portfolio
Replies: 61
Views: 3708

Re: Irish Resident - US domiciled ETFs portfolio

That Irish investors can do better tax-wise with US domiciled ETFs than with Ireland domiciled or UCITS ones seems entirely counter-intuitive. I am sure you've investigated it thoroughly, but the situation as you described it makes one wonder what Revenue Ireland were thinking when they came up with...
by TedSwippet
Sun May 15, 2016 8:30 am
Forum: Investing - Help with Personal Investments
Topic: Getting dividends from US ETF. Does the broker tell you?
Replies: 11
Views: 840

Re: Getting dividends from US ETF. Does the broker tell you?

... if you hold US shares through an Irish broker and die, the Irish broker can distribute the assets once they see an Irish grant of probate, and the IRS has no visibility on the inheritance of the shares and can't come looking for any tax. Even if true, for how long? From this recent article on U...
by TedSwippet
Mon May 02, 2016 1:34 pm
Forum: Investing - Help with Personal Investments
Topic: Getting dividends from US ETF. Does the broker tell you?
Replies: 11
Views: 840

Re: Getting dividends from US ETF. Does the broker tell you?

... if you buy through an Irish broker the shares are held in a nominee account. In case of death, the Irish broker doesn't need to see a US grant of probate, and the tax is not paid. According to this article a nominee account provides no protection: ... a non-resident alien is still subject to fe...
by TedSwippet
Mon May 02, 2016 11:00 am
Forum: Investing - Help with Personal Investments
Topic: Getting dividends from US ETF. Does the broker tell you?
Replies: 11
Views: 840

Re: Getting dividends from US ETF. Does the broker tell you?

... I don't know about taxes and tax withholding for foreign nationals. Someone else will have to answer that. Generally the broker withholds US tax. Be sure to send them a W-8BEN form to get the 15% US/Ireland treaty rate for dividends -- without that the broker will withhold US tax at 30% and you...
by TedSwippet
Sun May 01, 2016 2:57 am
Forum: Investing - Help with Personal Investments
Topic: Just started my Investment Portfolio.. Please advise [Singapore]
Replies: 5
Views: 393

Re: Just started my Investment Portfolio.. Please advise [Singapore]

Bogle_Feet wrote:Yeah. Invest in America. SPY

SPY is US-domiciled. Non-US persons are usually better off avoiding US domiciled ETFs.
by TedSwippet
Fri Apr 29, 2016 2:54 pm
Forum: Investing - Theory, News & General
Topic: Revisit ETF taxation for Europeans (and other NRA)
Replies: 17
Views: 1513

Re: Revisit ETF taxation for Europeans (and other NRA)

A big issue with US-domiciled ETFs in my opinion is that in case of death the US will levy up to 40% estate tax on assets over the value of $60,000 USD. ... except if you are domiciled in one of the countries with which the US has an estate tax treaty . The most common rule for non-resident aliens ...
by TedSwippet
Thu Apr 28, 2016 3:29 am
Forum: Investing - Help with Personal Investments
Topic: Expat and overseas funds
Replies: 20
Views: 1420

Re: Expat and overseas funds

sperry8 wrote:Vanguard appears to operate in Europe: https://global.vanguard.com/portal/site/home

For clarification, all of the Vanguard Europe and non-US funds referenced above will be US PFICs, making them toxic investments for US persons.
by TedSwippet
Thu Apr 28, 2016 3:21 am
Forum: Investing - Help with Personal Investments
Topic: Best way to invest in US index etf from Hong Kong
Replies: 6
Views: 531

Re: Best way to invest in US index etf from Hong Kong

I'm skeptical about it too, but the author of it mentioned that in the Form 1040NR, line 7D and line 40, you can fill in the tax exemption. The line you've given appears to be in the form section for income which is "... effectively connected with a U.S. trade or business in which you were eng...
by TedSwippet
Tue Apr 26, 2016 3:25 pm
Forum: Investing - Help with Personal Investments
Topic: Best way to invest in US index etf from Hong Kong
Replies: 6
Views: 531

Re: Best way to invest in US index etf from Hong Kong

Welcome. ... Most of you know that there is no short-term capital gain, but only 30% withholding tax on the dividend. There is also the potential for up to 40% US estate tax for the balance of holdings above $60k. Generally it is unwise to risk this, even if you do believe yourself to be immortal. M...
by TedSwippet
Mon Apr 25, 2016 12:34 pm
Forum: Personal Finance (Not Investing)
Topic: Tax owed on gift money from foreign country?
Replies: 2
Views: 238

Re: Tax owed on gift money from foreign country?

There is usually no tax to pay by gift recipients who are US persons(*). There was potentially an IRS form 3520 filing requirement to report the gift itself when received. Selling the land may create a capital gains tax liability, based on the difference between the value on gift receipt and the val...
by TedSwippet
Wed Apr 20, 2016 7:40 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Analysis Tools - Do I have enough Diversification (NRA Investor)
Replies: 18
Views: 1137

Re: Portfolio Analysis Tools - Do I have enough Diversification (NRA Investor)

If you are married or have a partner, the two of you can be on the account. The likelihood of both be gone simultaneously is ridiculous small, even in a car or airplane accident. Aside from the obvious logical flaw in this -- the likelihood may or may not be small, but the consequence is huge and y...
by TedSwippet
Wed Apr 20, 2016 3:34 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Analysis Tools - Do I have enough Diversification (NRA Investor)
Replies: 18
Views: 1137

Re: Portfolio Analysis Tools - Do I have enough Diversification (NRA Investor)

On the estate tax, there are ways around it. You can create a company and invest under the umbrella of the company. Certainly possible (though to be watertight as a non-resident alien you might actually need two trusts, one US and one not). It would be overkill for anyone wanting to hold simple ind...
by TedSwippet
Wed Apr 20, 2016 3:13 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Analysis Tools - Do I have enough Diversification (NRA Investor)
Replies: 18
Views: 1137

Re: Portfolio Analysis Tools - Do I have enough Diversification (NRA Investor)

There is something I do not understand. Why can you not buy US based ETFs. Anyone can do that, us citizens or not, and you can buy them from a broker where you live or even better (cheaper) by opening an account with a us broker, like Schweb, etc. The primary problems are the US dividend withholdin...
by TedSwippet
Tue Apr 19, 2016 11:35 am
Forum: Investing - Help with Personal Investments
Topic: Transferring Assets from Vanguard US to Interactive Brokers (IB)
Replies: 2
Views: 421

Re: Transferring Assets from Vanguard US to Interactive Brokers (IB)

Canada is one of the few countries with which the US has an estate tax treaty . This takes the point at which you might face US estate tax up from $60k to around $5.45m (that would be $5.45m in total worldwide holdings rather than US situs only; the treaty works on an apportionment basis -- may well...
by TedSwippet
Mon Apr 18, 2016 6:38 am
Forum: Investing - Help with Personal Investments
Topic: US Citizen based in Hong Kong with local wife. Which account and broker to use?
Replies: 5
Views: 636

Re: US Citizen based in Hong Kong with local wife. Which account and broker to use?

Welcome. ...My wife as a non-resident can open a US trading account with her bank (HSBC) and enjoy a lack of capital gains tax. She will however be hit by 30% withholding tax on her American dividends and also suffer from estate tax kicking in after $60,000 in case of inheritance. One thought on thi...
by TedSwippet
Sun Apr 17, 2016 5:44 am
Forum: Investing - Theory, News & General
Topic: Did the brokers just get lucky?
Replies: 16
Views: 2602

Re: Did the brokers just get lucky?

However we still have to pay .3% custodian fee to someone to hold funds on our behalf unless you have £100,000 to invest directly with Vanguard. ... See how lucky you are in the USA with people talking about figures of 0.06 or 0.10%. You give up too easily! With some finessing you should be able to...
by TedSwippet
Mon Apr 11, 2016 3:15 am
Forum: Personal Finance (Not Investing)
Topic: Resident Alien Expatriates (Unofficially)
Replies: 8
Views: 1077

Re: Resident Alien Expatriates (Unofficially)

It seems to me that since he hasn't filed any forms, he has still been subject to US income tax since 2009. Maybe in one way, maybe in another. If he filed I-407 to officially abandon the green card rather than just letting it expire, say, then his exposure to US tax on worldwide income ended on th...
by TedSwippet
Sat Mar 26, 2016 3:39 am
Forum: Investing - Help with Personal Investments
Topic: International Expat Index Investing
Replies: 6
Views: 761

Re: International Expat Index Investing

Tylenol Jones wrote:Why would you avoid US brokers?

The usual reason is US estate tax. From this document:
Non-bank deposits, such as cash accounts in U.S. brokerage firms, are likely to be subject to U.S. estate tax.
by TedSwippet
Wed Mar 23, 2016 5:09 pm
Forum: Investing - Help with Personal Investments
Topic: Heading to the UK, need to know about HMRC reporting funds [Dual US + Canada citizen]
Replies: 13
Views: 778

Re: Heading to the UK, need to know about HMRC reporting funds [Dual US + Canada citizen]

$8k CAD is about £4.3k, so nicely inside the approx £11k allowance. Stay within that and you won't have to report anything on a UK self-assessment even if you have to do self-assessment for some other reason. The tricky part is to make sure that if these are non-UK domiciled funds (aka 'offshore') t...
by TedSwippet
Wed Mar 23, 2016 1:40 pm
Forum: Investing - Help with Personal Investments
Topic: Heading to the UK, need to know about HMRC reporting funds [Dual US + Canada citizen]
Replies: 13
Views: 778

Re: Heading to the UK, need to know about HMRC reporting funds [Dual US + Canada citizen]

Be careful with terms like 'exemption' and 'allowance'. Everyone in the UK gets a capital gains tax 'allowance', currently around £11k annually, into which you can put any sales that would otherwise be subject to capital gains tax -- stocks, funds, property (excluding main residence), the Van Gogh y...
by TedSwippet
Wed Mar 23, 2016 9:33 am
Forum: Investing - Help with Personal Investments
Topic: Heading to the UK, need to know about HMRC reporting funds [Dual US + Canada citizen]
Replies: 13
Views: 778

Re: Heading to the UK, need to know about HMRC reporting funds [Dual US + Canada citizen]

I wonder if we will even need to file a self-assessment return just to say we don't owe anything? Perhaps no, you might not have to. If you operate under all the thresholds and allowances you can generally avoid self-assessment. The UK tax and employer withholding system is somewhat designed to min...
by TedSwippet
Tue Mar 22, 2016 3:57 am
Forum: Investing - Help with Personal Investments
Topic: Heading to the UK, need to know about HMRC reporting funds [Dual US + Canada citizen]
Replies: 13
Views: 778

Re: Heading to the UK, need to know about HMRC reporting funds [Dual US + Canada citizen]

From the giant HMRC list I gather there are many Vanguard US-domiciled ETFs that are acceptable. If you are able to access US-domiciled ETFs in your RRSP/RRIF (or switch to a provider who does provide such access) then that is probably the best choice (and the one that I made in taxable). That one,...
by TedSwippet
Fri Mar 18, 2016 5:11 pm
Forum: Investing - Help with Personal Investments
Topic: Is this the correct class of this Vanguard fund for a UK retail investor?
Replies: 2
Views: 229

Re: Is this the correct class of this Vanguard fund for a UK retail investor?

Welcome. The "plus" version appears to be an institutional fund, aimed primarily at large (typically corporate) pension schemes. Its OCF is 0.1%, compared to 0.15% for the standard version. For scale, that's £5/year on a £10k holding. Some brokers and platforms offer institutional funds to...
by TedSwippet
Mon Mar 14, 2016 3:27 pm
Forum: Investing - Help with Personal Investments
Topic: figuring taxes on my german brokerage account to declare on my US tax form
Replies: 6
Views: 535

Re: figuring taxes on my german brokerage account to declare on my US tax form

Do you hold only US domiciled funds through your German brokerage account? If not then I don't think you are going to like the answer to your question.

From Thun Financial: Why Americans Should Never Own Foreign Mutual Funds.
by TedSwippet
Tue Mar 08, 2016 8:08 am
Forum: Investing - Help with Personal Investments
Topic: Newbie investing start (Eastern Europe)
Replies: 7
Views: 475

Re: Newbie investing start (Eastern Europe)

Have you seen this wiki page on US tax traps for non-resident aliens holding US domiciled ETFs?

You may be better off using Ireland domiciled ETFs rather than US ones. Vanguard offers a decent range of Irish domiciled ETFs.
by TedSwippet
Sun Mar 06, 2016 3:26 pm
Forum: Investing - Help with Personal Investments
Topic: [UK/intl] Medium term investments in US; international relocation
Replies: 1
Views: 152

Re: [UK/intl] Medium term investments in US; international relocation

One potentially interesting idea is that some Vanguard funds (including VTI and BND, as well as non-Vanguard products) have UK reporting status ( https://www.gov.uk/government/publications/offshore-funds-list-of-reporting-funds ), which means the UK government will treat them as onshore funds for t...
by TedSwippet
Sat Feb 27, 2016 7:03 am
Forum: Local Chapters and Bogleheads Community
Topic: Roll Call for the Retirement Class of 2016!
Replies: 138
Views: 13532

Re: Roll Call for the Retirement Class of 2016!

Please add me. Last day was yesterday, out at age 55. Thanks.
by TedSwippet
Tue Feb 23, 2016 6:40 am
Forum: Investing - Help with Personal Investments
Topic: International Expat Index Investing
Replies: 6
Views: 761

Re: International Expat Index Investing

Welcome. Folks with an international lifestyle have reported general success and satisfaction with Interactive Brokers. No connection or direct experience, just repeating what I've read. Once you have the account opened, make sure that you are aware of the many tax traps that await US 'non-resident ...
by TedSwippet
Fri Feb 19, 2016 10:19 am
Forum: Investing - Help with Personal Investments
Topic: Help with portfolio: Lazy 2/3 fund portfolio [Singapore]
Replies: 47
Views: 3116

Re: Help with portfolio: Lazy 2/3 fund portfolio [Singapore]

RandomWalking wrote:
TedSwippet wrote:Presumably you meant 'trading fee' rather than 'stamp duty' here?

... So NO stamp duty for Ireland-domiciled ETFs from my experience.

Ah, got it. Thanks for clarifying. (Lesson for me: don't reply to postings before the first coffee of the day!)
by TedSwippet
Fri Feb 19, 2016 6:19 am
Forum: Investing - Help with Personal Investments
Topic: Help with portfolio: Lazy 2/3 fund portfolio [Singapore]
Replies: 47
Views: 3116

Re: Help with portfolio: Lazy 2/3 fund portfolio [Singapore]

I think the 1% stamp duty is waived or not applied for Irish domiciled ETFs. There is a web page on LSE website that mentions this but I cannot recall the link. Perhaps this page : "[ETFs are] free of UK stamp duty when traded on the secondary market." Also the Irish perspective : "I...
by TedSwippet
Fri Feb 19, 2016 4:04 am
Forum: Investing - Help with Personal Investments
Topic: Investor from Europe
Replies: 25
Views: 1837

Re: Investor from Europe

btasko wrote:This leaves me just one tax to worrie about...inheritance tax. But until I don't reach $60000 i don't need to worrie about it. Right?

Right. Remember that this is $60k in aggregate over all US holdings, not per holding.
by TedSwippet
Fri Feb 19, 2016 4:01 am
Forum: Investing - Help with Personal Investments
Topic: Help with portfolio: Lazy 2/3 fund portfolio [Singapore]
Replies: 47
Views: 3116

Re: Help with portfolio: Lazy 2/3 fund portfolio [Singapore]

I don't think you'd have to pay Irish stamp duty on Ireland-domiciled ETFs. UK investors certainly don't, and as far as I know ETFs are excluded from stamp duties overall (because they would pay them internally on any shares owned). I'd check this with your broker. Also, a lot of synthetic replicati...
by TedSwippet
Thu Feb 18, 2016 4:00 am
Forum: Investing - Help with Personal Investments
Topic: Investor from Europe
Replies: 25
Views: 1837

Re: Investor from Europe

But IB is US domiciled broker, isn't it? Do I get taxed (inheritance...) even if I buy Irish domiciled ETFs? IB should only apply US tax to dividends based on you sending them a completed W-8BEN . This means US treaty rates on all US stocks you hold (any direct US stocks and any US domiciled ETFs),...
by TedSwippet
Wed Feb 17, 2016 3:55 pm
Forum: Investing - Help with Personal Investments
Topic: Investor from Europe
Replies: 25
Views: 1837

Re: Investor from Europe

Ok, and there is this 40% inheritance tax. But that can be ''fixed'' if I ''upgrade'' my account to Joint Tenants with Rights of Survivorship (If one of the owners dies, the surviving owner(s) retain ownership of all assets in the account). In that case, if I die, my wife won't be taxed 40%, right?...
by TedSwippet
Sat Feb 13, 2016 2:21 pm
Forum: Investing - Help with Personal Investments
Topic: US law forces investors to cash ETF dividends? Non residents.?
Replies: 12
Views: 1088

Re: US law forces investors to cash ETF dividends? Non residents.?

...and that capital gain must be distributed to all shareholders at least once per year. Worth noting that this is particular to US mutual funds and ETFs. UK and (as far as I know) other European UCITS funds and EU domiciled ETFs never 'distribute' capital gains to fund holders. Any investor-level ...
by TedSwippet
Wed Feb 10, 2016 10:18 am
Forum: Investing - Theory, News & General
Topic: Buy US ETF as a non-US investor?
Replies: 6
Views: 698

Re: Buy US ETF as a non-US investor?

...Regarding the US estate taxes, I plan to invest less than $60 000 USD in US ETF so I should be fine. As a resident of France you would probably be okay even if over $60k. France is one of just a handful of countries with a decent US estate tax treaty . If the worst happens your heirs will have s...
by TedSwippet
Mon Feb 08, 2016 1:00 pm
Forum: Personal Finance (Not Investing)
Topic: Please share examples where earning an extra $1 can cost more in taxes than income.
Replies: 49
Views: 6224

Re: Please share examples where earning an extra $1 can cost more in taxes than income.

US ' expatriation tax ', applies to departing citizens and green-card holders when net worth exceeds $2m. At the threshold you can bounce in and out with stock market gyrations, home valuations, and so on. Going $1 over could cost you 39.6% of your retirement savings, in addition to possible MTM tax...
by TedSwippet
Sat Feb 06, 2016 4:23 am
Forum: Investing - Help with Personal Investments
Topic: Newly-retired Canada/US ctzn seeking feedback on invstmnt plan
Replies: 2
Views: 299

Re: Newly-retired Canada/US ctzn seeking feedback on invstmnt plan

Welcome. The following detail leapt out at me from your post: ...US citizen living in Canada; ... 20% Canada (VCE.TO) Because you are a US citizen, holding VCE.TO or any other non-US domiciled fund or ETF is a huge US tax sinkhole. For why see here and here . You should also avoid TFSAs and - - alth...
by TedSwippet
Wed Feb 03, 2016 11:24 am
Forum: Investing - Help with Personal Investments
Topic: What to do with Japanese wife's yen while living in the U.S.
Replies: 5
Views: 854

Re: What to do with Japanese wife's yen while living in the U.S.

...As an American (which your wife is also for tax purposes if you file jointly), ... Just to clarify this, OP's wife is a 'US person' for tax purposes both under the 'green card test' (has LPR) and very likely also under the 'substantial presence test' (lives in the US). Whether or not she is incl...
by TedSwippet
Fri Jan 29, 2016 3:28 am
Forum: Investing - Help with Personal Investments
Topic: Help with Newbie's asset allocation (Singapore)
Replies: 19
Views: 1084

Re: Help with Newbie's asset allocation (Singapore)

Note that the US is not the only country that imposes taxes on dividends going abroad. Perhaps not. But the way that it extends this treatment to ETFs domiciled in the US, but which may themselves hold only non-US equities , make it a uniquely poor domicile for ETFs that non-resident aliens might w...
by TedSwippet
Thu Jan 28, 2016 3:18 am
Forum: Investing - Help with Personal Investments
Topic: Does anyone know this offer from a filipino bank?
Replies: 9
Views: 1089

Re: Does anyone know this offer from a filipino bank?

hnzw rui wrote:From my research, there's no distributions coming from the funds so taxes will not be a problem until I sell.

http://thunfinancial.com/why-americans-should-never-ever-own-shares-in-a-non-us-incorporated-mutual-fund/
by TedSwippet
Mon Jan 25, 2016 8:11 am
Forum: Investing - Help with Personal Investments
Topic: Overwhelmed on what to do/invest - Dual citizen (US & EU)
Replies: 11
Views: 1025

Re: Overwhelmed on what to do/invest - Dual citizen (US & EU)

It saddens me to no end that I have to do this in order to live a life where I can invest MY money that I earned in another country AND already payed taxes on. ACA has been promoting the idea of a ' same country exception ' to reporting for several years now, but with no visible progress. There is ...
by TedSwippet
Sun Jan 24, 2016 4:04 pm
Forum: Investing - Help with Personal Investments
Topic: Overwhelmed on what to do/invest - Dual citizen (US & EU)
Replies: 11
Views: 1025

Re: Overwhelmed on what to do/invest - Dual citizen (US & EU)

Lots of points to note here. I'll try to pick off just a few. But, let's say I would give up my citizenship and want to move to the US for some reason. That would still be possible, even though it would be more hassle, right? You would be in the same situation as any other non-resident alien. Gainin...
by TedSwippet
Fri Jan 15, 2016 3:14 pm
Forum: Personal Finance (Not Investing)
Topic: Caught in a bind - transferring stocks from the UK to a US account.
Replies: 10
Views: 704

Re: Caught in a bind - transferring stocks from the UK to a US account.

Nosca wrote:...its purely for regulatory reasons they wont make a direct transfer from the UK to the US, ...

In all likelihood the culprit here is FATCA.
by TedSwippet
Wed Jan 13, 2016 12:02 pm
Forum: Investing - Help with Personal Investments
Topic: Help with my first investment [Non-resident alien]
Replies: 5
Views: 519

Re: Help with my first investment [Non-resident alien]

Thanks Ted, very valuable information. What if I registered a company and did all of my investments through that company? Will the danger of those taxes remain? It helps with some but not all. And unless you plan some exotic US investments I can't see it being a win for you overall. Examples: 1. Ho...
by TedSwippet
Wed Jan 13, 2016 4:09 am
Forum: Investing - Theory, News & General
Topic: New investor questions (UK, London)
Replies: 34
Views: 1958

Re: New investor questions (UK, London)

1/ Scenario 1: I buy today 50k in VWRL and 50k in IWRL. I paid 100 per share of VWRL and 200 per IWRL. March 1st of 2016 are both up 5%. 105 and 210. I sell all (50k) VWRL, and buy 50k IWRL at 210 per share. Do the shares that I had (200) get mixed with the ones that cost 210? In this way making al...
by TedSwippet
Tue Jan 12, 2016 4:54 pm
Forum: Investing - Theory, News & General
Topic: New investor questions (UK, London)
Replies: 34
Views: 1958

Re: New investor questions (UK, London)

1/ How can how much income you have impact your capital gains rate. Could you put an example please? 18% for UK basic rate taxpayers, 28% if you're in higher rate tax (or above). More here . 2/ Could I change VWRL for VUSA (the same day) to avoid the 30 days as well? (I ask this because both are st...
by TedSwippet
Tue Jan 12, 2016 11:13 am
Forum: Investing - Theory, News & General
Topic: New investor questions (UK, London)
Replies: 34
Views: 1958

Re: New investor questions (UK, London)

1/ Scenario 1: I dont work in a job. I get 21000GBPs from rent a year from London, 11000EUROs rent from Spain. I own 200kGBPs in stocks in VWRL and this went up a 5% this year (+10kGBPs). Should I cashout 200kGBPs and wait for 30 days to cash it in again? Since even with 200kGBPs I don't get to 11k...

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