Taxes on investments through US broker

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opexlong

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Apologies if this has already been asked and answered but I've been searching and can't find it.

I'm wondering if a person based in Ireland invests through a US-based brokerage account and then withdraws dividends and gains from that into an Irish bank account, what taxes are owed on that money?
 
None, as the dividends and gains are typically subject to Irish tax when they arise (i.e. the arising basis).

The position is different for Irish resident non-Irish domiciled individuals who are only subject to Irish tax on certain types of foreign income and gains if they are brought into Ireland (i.e. the remittance basis).
 
I am in a similar position myself.
From what I know the dividends are treated as 'Income' and have to be declared as such with Revenue on the Form 11. So Dividends earned in 2017 are declared in 2018 as income for 2017. Your US brokerage will have withheld 15% tax already if you filled in the W8 form.
Gains from shares are subject to Capital Gains Tax (CGT) at 33% on the profits. The gain is what you are left with after the purchase price (cost basis) and broker fees are subtracted. This tax has to be paid in the SAME YEAR as the gain was achieved. So if you sold shares in 2018, you have to pay this CGT to Revenue via the CGT1 payslip in 2018. There are specific dates depending on the Share sales date. But you declare it on your 2018 Tax Return in 2019.
If you are transferring a lot of USD into your Irish bank there is a whopping exchange rate fee which might be reduced if you use a currency exchange agency.
 
Can you offset brokerage fees against dividends received. If you buy shares and the fees are say €200 and you receive dividends of say €300 in the same year can you deduct the fees from the dividends and have an income of €100 ?
 
NINA88 said:
Can you offset brokerage fees against dividends received. If you buy shares and the fees are say €200 and you receive dividends of say €300 in the same year can you deduct the fees from the dividends and have an income of €100 ?
Click to expand...
No. You can use it when it comes to calculate your capital gains when you sell the shares.
 
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