Hi,
I'm an Australian citizen living in Australia and have been following the US stock market for years. With significant amounts of money to invest, I was just curious what is the capital gains tax rate for me when I sell my US shares after a year (so assume i'm a long term investor). Is it a flat rate? Does it count as income? Is there some sort of tax discount?
2007-04-07 01:45:03 · 2 answers · asked by mr_kelvintan 1 in Business & Finance ➔ Taxes ➔ United States
28 %
2007-04-14 03:33:05 · answer #1 · answered by Mon-chu' 7 · 0⤊ 0⤋
Most investment accounts held by non-resident aliens are taxed at the source. The rate varies between 20% and 30%. That's actually a premium over what residents and citizens pay, normally 15% for gains on assets held over 1 year.
IRS Pub 519, available from http://www.irs.gov will explain it all -- good luck with the prose, though.
2007-04-07 10:13:59 · answer #2 · answered by Bostonian In MO 7 · 1⤊ 0⤋