Selling VWRD & AGGU - Irish ETF's

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Topic Author
Bkkkiwi
Posts: 6
Joined: Fri Jun 13, 2014 4:37 am

Selling VWRD & AGGU - Irish ETF's

Post by Bkkkiwi »

Greetings all,

4 years I purchased both VWRD & AGGU, bought through a Luxembourg Bank/Broker on the LSE. These funds are both Irish domiciled.

I am a New Zealander, but currently working in and tax resident of Thailand.

I am thinking in the near future of selling these funds (mid 6 figures), and moving the proceeds to New Zealand, where I may look to retire to.

The VWRD viewtopic.php?p=5946382#p5946382 seems to have had tax already taken out at level 1 (thanks Ted!).

The VWRD has had growth, the AGGU not so.

When selling these funds, are there things that I need to be aware of regarding tax implications ? With regard to Ireland, or Luxembourg ?

Thailand (as yet) does not tax worldwide income, although it seems that this could be a possibility in the future.

When sending the funds to New Zealand, are there any issues that I need to be aware of ?

Many thanks to all the people who have provided support ! :happy
glorat
Posts: 1066
Joined: Thu Apr 18, 2019 2:17 am

Re: Selling VWRD & AGGU - Irish ETF's

Post by glorat »

As far as I am aware, there are no tax implications from the Luxembourg/Ireland/Ireland perspective from selling 6 figures of VWRD/AGGG. I'm basing this on that I'm presently drawing down my VWRD/AGGG and for sure IBKR/Ireland/US are not taking anything away in taxes from the sale. My resident country, like Thailand, does not tax global income nor global capital gains so there is no tax there.

I don't know of any country that will tax an incoming cash transfer from another country (Luxembourg) to the new home country (New Zealand) because that would be a stupid disincentive to bring capital into a country so I think you'd be okay there.

You might need to look at whether you need to sell your ETFs either before moving to NZ or in the tax year before moving to NZ, in case NZ has some capital gains rules that could bite - you'll need some local tax advice on that. (E.g. if moving to UK, you'd want to sell ahead of time)

My guess is that the most worrisome thing that will happen is your receiving New Zealand bank will ask some KYC questions about the source of your global wealth if you try to transfer in a 6 figure some, which would be pretty easy to answer based on your global investments.
Topic Author
Bkkkiwi
Posts: 6
Joined: Fri Jun 13, 2014 4:37 am

Re: Selling VWRD & AGGU - Irish ETF's

Post by Bkkkiwi »

Thank you so much for taking the time to respond.

Seeking NZ tax advice sounds like a good idea. :happy
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