Sent money to the usa.
If you are not a usa citizen, please do not buy these stocks, as you will be hit with a 30% tax. Only after conducting a little more research did I find out about this particular rule.
"A Fund may, under certain circumstances, report all or a portion of a dividend as an “interest-related dividend” or a “short-term capital gain dividend,” which would generally be exempt from this 30% U.S. withholding tax, provided certain other requirements are met. Short-term capital gain dividends received by a nonresident alien individual who is present in the U.S. for a period or periods aggregating 183 days or more during the taxable year are not exempt from this 30% withholding tax."
It means that if you are a foreign citizen, you have to pay this tax, which is simply impossible to profit from. Haha, this time consider it a lesson learned, do not blindly buy stocks without researching the background, or you will be tricked. Moreover, the price of this stock itself is designed to lure unsuspecting investors, "Wow, it has risen so much and offers such high dividends," people without financial knowledge may fall into this trap (me). Now that I know, it's too late, really, don't be like me. Wish everyone success in trading stocks, sorry for those I misled with my previous posts, I am also not responsible for your gains or losses.![]()
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Athen : Same here
Darrignazio : Curious question:
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Based on the 96.21% dividend that i see now, even after the 30% US withholding tax, wouldn't foreigners be still getting 67.347% dividend, which is still high?
Please correct me if i'm wrong
三枚筹码足以 OP Darrignazio : you will lose 30% from the dividend tax if you are not US presidential as the yieldmax dividend actually came from the stock price, it would be better if you sold it before the dividend execution data and pick back after execution as the value of stock will also decrease so you may pick it back with a cheaper price, while there is no tax on stock appreciation
Tazzin Darrignazio : I personally decided to go ahead with it because this fund has the highest payout of all US dividend stocks despite the NAV decay (essentially the others are 'not worth it after the tax', as their payout is usually 3 to 6%, and the 30% tax just kills it). YM still pays decently with the tax in effect, imo.
But my personal situation is also different from yours. I need the income now (while already having some stashed away in stable growth) and this fund may just be able to do it for me, even if I get taxed at 30%. Local stocks just don't have anything comparable to this, so this is a risk I'm willing to take. I will monitor and decide down the road if it's still worth it after some months.