Buy international shares in a trust

Discussion in 'Accounting & Tax' started by goponcho__, 26th May, 2020.

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  1. goponcho__

    goponcho__ Well-Known Member

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    4th Nov, 2017
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    Perth
    Hi,

    Is there much complexity in buying internationally publicly traded stocks via a trust?

    In the USA would we not just have 15% withheld, and then pay any further tax once distributed to the beneficiary?

    Would it not be very similar to buying in personal name?

    Thanks
     
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  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Trusts are very complex and international aspects make it even more complex. You would need specialist advice if the shares are traded in a foreign jurisdiction.
     
  3. goponcho

    goponcho Active Member

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    Thanks Terry. It seemed reasonably straight forward in personal name, so thought it may be the case as a trustee - guess not! Might consider keeping the international investments in personal name.
     
  4. Yann

    Yann Well-Known Member

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    QLD
    The process to purchase shares is not more complex than in personal name. Open a share trading account under the name of the trustee (person or company), and purchase the shares online directly yourself. However there could be tax implications of doing it this way. And you need to question your motivation as this set up would incur additional costs (trust bookkeeping and tax return), or your time if you were to do it yourself.
     
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