kennykent 1calvin gao:
The Internal Revenue Service (“IRC”) has issued a new regulation under United States Code (“IRC”) section 1446 (f) that mainly affects non-US persons investing in US PTP securities. Starting January 1, 2023, non-US persons will incur the following US taxes when they hold/sell, trade, or transfer US PTP securities:
1. A 10% withholding tax is levied on the total proceeds from the sale, trade, or transfer of US PTP securities 2. A 37% withholding tax is levied on the amount of dividends/interest distributed.
Given the complexity of withholding taxes, Tiger Securities Singapore will take the following actions:
1. As of December 1, 2022, Tiger Securities Singapore will stop accepting requests to open positions and share transfer requests from US PTP Securities; 2. By December 28, 2022, existing clients holding such US PTP securities can choose to sell their US PTP securities to avoid these additional tax deductions. On the other hand, clients can choose to hold their US PTP securities after December 31, 2022, but be aware that any transactions after that will be subject to additional withholding taxes.
kennykent 1 : How to calculate the dividend next year? I'm in Singapore
西方石油破千之旅OP : Dividends are paid out every quarter. They will smoke 25%.
kennykent 1 西方石油破千之旅OP: I heard that it will smoke 37%.
西方石油破千之旅OP : 25%
calvin gao 西方石油破千之旅OP: 25%
kennykent 1 calvin gao: The Internal Revenue Service (“IRC”) has issued a new regulation under United States Code (“IRC”) section 1446 (f) that mainly affects non-US persons investing in US PTP securities. Starting January 1, 2023, non-US persons will incur the following US taxes when they hold/sell, trade, or transfer US PTP securities:
1. A 10% withholding tax is levied on the total proceeds from the sale, trade, or transfer of US PTP securities
2. A 37% withholding tax is levied on the amount of dividends/interest distributed.
Given the complexity of withholding taxes, Tiger Securities Singapore will take the following actions:
1. As of December 1, 2022, Tiger Securities Singapore will stop accepting requests to open positions and share transfer requests from US PTP Securities;
2. By December 28, 2022, existing clients holding such US PTP securities can choose to sell their US PTP securities to avoid these additional tax deductions. On the other hand, clients can choose to hold their US PTP securities after December 31, 2022, but be aware that any transactions after that will be subject to additional withholding taxes.
jonatan1312 kennykent 1: Sorry, a newbie question. what is PTP?
calvin gao : thanks
kennykent 1 jonatan1312: Additional taxes (with dividends) and US corporate equity funds will be withheld...