Irish / American Citizen

R

ryanzx10

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I am an Irish Citizen who just got an American passport after having a green card for years , I now reside back in Ireland and am opening a trading account so I can trade on the US stock exchange .Do I need to file Tax's with the Irish and US government's showing losses and gains and if so what forms do I need and where can they be got ? thank you
 
You need to determine your residency/domicile status first particularly if you have been abroad for a good while and are now settling back in Ireland. These will determine in which juristictions your tax liabilities lie. Once you know this you can plan accordingly. For people who are domiciled and tax resident in Ireland who have US based online trading accounts they would normally fill in a US IRS form (W-8BEN if I recall correctly) declaring their foreign status and exempting them from the usual witholding taxes. After that they would be liable to pay and file [broken link removed] returns in respect of any capital events and declare any dividend income as normal. Revenue allow for exchange rate information from different sources to be used when converting figures from foreign currencies to €.

Disclaimer: I am not a tax expert, and certainly not a cross-juristictional one, - although I have done the W-8BEN (?) thing myself before in respect of a Datek account - so if in doubt get independent, professional advice. :)
 
Domicile

Any idea what the situation would be if the person is non domicilied ? The gains are taxed on a remittance basis, but how are the gains calculated, espeically where the person is using funds which were accumulated before they became tax reisdent in Ireland ?

Thanks

S.
 
A newly minted Yank, eh? Well there, Sonny-boy, you must file a 1040 every year for the rest of your life. You can claim the CGT as foreign taxation, but your income anywhere in the world must be reported to Uncle Sam. And paid at his rates (ST/LT). You can reduce the US tax burden by the amount of CGT paid to the Revenue Commissioners, but you still owe in the States. You are no longer permitted to file a W-8 / W-8BEN as a US national.<!--EZCODE BR START--><!--EZCODE BR END--><!--EZCODE BR START--><!--EZCODE BR END-->YMMV (at least until the IRS catches you).
 
I now hold both an Irish and US passport, I didn't have to surrender my Irish citizenship when I got my American citizenship so I have Dual citizenship. I plan on staying in Ireland for good. As far as filing a 1040 every year I see no problem,but will I owe both Governments if I gain from my stock market adventures ,Thank's for your help
 
No. What you paid one government is offset against how much (if anything) you owe the other.

That's the whole point of tax treaties. (Some people would rather look on it another way of course)
 
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