Canadians buying amercan stocks question

[Kenazo]

I've been buying only Canadian shares till now, but my possible portfolio could be a lot bigger if I had American shares too. I'm just curious if there are any taxes for doing that.

(yes I'm an accountant but I've never come across this question before)

 

[AccruedExpenditure]

Any capital gains will be taxed by your domestic government, not ours.

 

[JulesMaximus]

Withholding taxes are for earned income. This is a capital gain or loss.

 

[robothouse77]

Originally posted by: AccruedExpenditure
Any capital gains will be taxed by your domestic government, not ours.

out of curiousity, what is canada capital gain tax? do you know? isn't the US 15%?

 

[Stunt]

" The tax rate on long-term gains was reduced in 2003 to 15%, or to 5% for individuals in the lowest two income tax brackets."
Wiki

 

[Stunt]

Capital Gains Canada

first $35,595: 8%
over $35,595 up to $71,190: 11%
over $71,190 up to $115,739: 13%
over $115,739: 14.5%

Looks like the provinces take a good chunk too....😕

 

[Rudee]

Originally posted by: robothouse77

Originally posted by: AccruedExpenditure
Any capital gains will be taxed by your domestic government, not ours.

out of curiousity, what is canada capital gain tax? do you know? isn't the US 15%?

Canadian residents pay tax on 50% of the capital gain, not a specific tax.

 

[Rudee]

Originally posted by: Stunt
Capital Gains Canada

first $35,595: 8%
over $35,595 up to $71,190: 11%
over $71,190 up to $115,739: 13%
over $115,739: 14.5%

Looks like the provinces take a good chunk too....😕

Those aren't capital gains. That's taxable income calculations.

 

[jadinolf]

Originally posted by: AccruedExpenditure
Any capital gains will be taxed by your domestic government, not ours.

 

[Kenazo]

Originally posted by: Rudee

Originally posted by: robothouse77

Originally posted by: AccruedExpenditure
Any capital gains will be taxed by your domestic government, not ours.

out of curiousity, what is canada capital gain tax? do you know? isn't the US 15%?

Canadian residents pay tax on 50% of the capital gain, not a specific tax.

Correct, Canadians pay the same tax rate on capital gains as the rest of their income, but they only pay tax on 1/2 of the gain, so effectively the tax rate on capital gains is half of the regular rate.


I was just curious about if the US was going to keep a chunk first. Which it seems based on this thread doesn't happen, so thanks. 🙂