Tax on Dividends when US Tax already deducted

R

Redmondo

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I am a PAYE worker and Irish resident and have a holding of US Shares. I recieved a dividend of $2000 last year but $500 was deducted in Federal Taxes.
Do I get any credit/exemptions for the $500 tax paid in the US or do I need to declare $1500 as a dividend in Ireland and pay tax on that. If so is that double taxation?
 
You declare the full amount and get a credit for foreign tax suffered.

But you should check the treaty as I think dividend tax withheld by America should of only been 15% but you paid 20%. If this is the case Ireland will only give a credit for the 15% and you should claim the balance back from America.
 
If you paid 25% Federal Tax it sounds like you have not registered a W8-BEN form which will entitle you to the 15% rate.
 
OK thx for that (will need to sort out the W8Ben) .... There is a Section in the Form 12 online called US Dividends on Revenue.ie but there is nowhere to enter the US Tax paid. I suppose I just enter the Gross amount and enter the Details through "MyEnquiries".. what do you think?
 
The regular US dividend withholding tax rates are 0, 15 and 30 (depending on status). It seems odd that you had a 25% deduction. Might want to query that
 
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