Canada/US structuring

Discussion in 'Professional Trading' started by cruisecontrol, Jan 1, 2024.

  1. Even though I found a broker willing to open the account, I discovered a fatal flaw in the idea of holding the account in the US: BEAT.

    https://taxfoundation.org/taxedu/glossary/base-erosion-anti-abuse-tax-beat/

    By imposing a 10% tax on profits before deductions for payments to related parties, it is not actually possible to extract all the profits at a favorable rate.

    The same scheme may still be possible using another country other than the US to hold the brokerage account.

    To be continued...
     
    #11     Jan 5, 2024