Why would anyone trade under a PTP that resides outside the country? Why anyone trade under PTP in general now a days, The tax liabilities is too steep foreign characters of any kind can now trade US and UK securities in their respective countries via online brokers. If you wanted to get a little more creative you’ll go on Craigslist (US) and hire an admin as an agent or if you can afford it, hire a lawyer to be a limited PO, If you’re moving or acquiring blocks. But if you’re moving under 1 million usd equivalent an international brokerage in your respective country will hedge that 1446(f) tax easily
It depends on your strategy. If you are a manual trader, you possibly do not trade ptp.But for systematic traders, they try to diverse as much as possible on all stocks with signal. Then ptp problem kicks in
Ah I see, when it comes to self directed trading, taxes is at end of the path your strategy leads you
Hi guys, I am very disappointed. I have been charged this 10% withholding tax on the sale of IEP shares without any information about this tax given to me until I noticed the charge on my TradeStation statement. Is there anything I can do? Thank you
You probably needed to avoid anything that was called a "LP" = Limited Partnership (i.e. a type of PTP) It does appear to be on Tradestation's list of MLPs/PTPs, but it's terrible they didn't warn you: https://uploads.tradestation.com/uploads/MLP-PTP-Securities.pdf