Online Broker (Internaxx) - What happens to dividends?

S

south_dub

Registered User
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46
Hi,

I use www.internaxx.lu to buy shares. I bought shares in bank of ireland a while back, the shares were the ones listed on the London Stock Exchange since the ISEQ is not directly available using Internaxx.

When BOI pay dividends, I presume I can expect to see the dividend paid into my account with Internaxx directly? Can anyone who uses Internaxx confirm this?

Also, woukd it be possible to contact BOI and ask them to re-invest all dividends into buying shares in BOI instead of taking the cash?

thanks.
 
How are the shares held? If you hold them in certificate form then the dividends and shareholder notices (e.g. of general meetings) should come directly to you. If they are held in a personal CREST or nominee account then you may need to contact the broker about them.
 
If there is no facility with this account to see cash dividends lodged then you probably have to chase the broker for the dividends or to find out what happens to them. Remember that dividends are assessable for income tax with a credit available for any dividend witholding tax deducted at source by the paying company. This applies even if the dividends are reinvested in further shares.
 
ClubMan said:
If there is no facility with this account to see cash dividends lodged then you probably have to chase the broker for the dividends or to find out what happens to them. Remember that dividends are assessable for income tax with a credit available for any dividend witholding tax deducted at source by the paying company. This applies even if the dividends are reinvested in further shares.
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Hi Clubman,

Does that withoholding tax aplly to all jurisdictions? I.E. If I buy a share in Germany - does the German company withold the German witholding tax , etc?
Even though I'm resident here
 
Sorry - I don't know. However I suspect that, for example, non Irish recipients of Irish company dividends may receive them net of 20% DWT which they can either get a credit for against their local taxes or else claim back if they are otherwise exempt from tax on such dividends.
 
ClubMan said:
Sorry - I don't know. However I suspect that, for example, non Irish recipients of Irish company dividends may receive them net of 20% DWT which they can either get a credit for against their local taxes or else claim back if they are otherwise exempt from tax on such dividends.
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While not entirely certain if DWT but I tend to agree with Clubman. I know from experience that the above is certainly the case with share on FTSE.

In relation to the first question. Depending on when the shares are bought they can sometimes be ex-dividend. Perhaps this is what happened in your case...?
 
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