User:LaraZP/draft article on USA investing for nonresident aliens

Since the US economy is the largest in the world and the US dollar is the de facto world reserve currency it makes sense even for investors with no ties with the U.S. to consider investing in this country.

Other countries might be better suited for people living outside the U.S. but it is not the scope of this article.

About a third of sovereign states have a tax treaty with the U.S. which leaves people living in the remaining two thirds in this situation.

EU investors should check the EU investing page.

Who is a nonresident alien?
Rules for who the IRS considers an NRA are quite complex (for more information see Taxation of Nonresident Aliens) but people living outside the U.S. with no ties to the country are certainly NRAs. The IRS publishes a Tax Guide for Aliens.

Issues affecting NRAs
Even though many issues are country specific there are many things all NRA's have in common.


 * Taxation of NRA's investments.
 * Brokerage selection: not all brokerages take non U.S. investors and most have different conditions for them.
 * Estate tax is another significant issue since the amount that a nonresident alien can exempt is fairly low at $60,000.

Taxation
Taxation is the biggest issue here as NRAs are taxed a flat 30% on dividends and nothing else which might lead to different investment strategies. No filing is necessary if your only investment is in securities.