Dual Citizenship (US) and online trading

I note that TD Waterhouse ask in their application form if one is a U.S. citizen.
If you say yes to this and fill out the relevant forms what kind of exposure does this give to a person who like most other dual citizens living abroad (and never lived in the US) have never filed US taxes?

What are the risks of one saying no to the question of holding US citizenship?

If you are a US citizen, you have to file a tax return every year.

TD Waterhouse will submit details of those who ticked "yes" to the IRS, so they may come after you.

It's the same with opening bank accounts and investments with insurance companies. All have committed to going through all their account holders and informing the IRS of who is a US citizen.

Risks: You get audited by the IRS and get the penalties and charges if you are non compliant.

Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)

landlord said:

What are the risks of one saying no to the question of holding US citizenship?

Click to expand...

If you answer no, you will be required to fill in a W8 rather than a W9. If caught TD will either freeze your accounts or realize your positions and give you x number of day to provide them with an account number where they can transfer the funds to. From the IRS point of view it is tax fraud and visit to the US would out of the question for the foreseeable future.