TAX .... dividend .. do you declare

[Alpha78]

yes i do know

 

but what I am trying to get at is

 

dividends are taxed upfront

 

I am thinking of declaring it to I can reclaim part of the upfront tax on dividend

 

but not sure of the consequences

 

knowing the irs has lots of staff and probably nothing better to do

 

dont want to open a can of worms

 

actually I have declared everything

 

the only consequence to my not declaring is that i am paying more upfront tax on dividend than I should be if I declared

 

Bro, if you have dividends that are taxed upfront through CDP, they are auto-included in your assessment. These credits will go towards offsetting your final tax bill. If your dividends withheld by IRAS is more than the tax you need to pay, IRAS has to pay you the balance. Simple as that.

 

That said, new rules are coming. Taxable dividends will soon not be withheld upfront, but will be autoincluded in your income and then taxed at the rate you need to pay.

[Meecar]

thanks but this is only true if you lodged your stocks with cdp

 

but if it is lodge with a bank or broker this becomes difficult

 

thanks

[Alpha78]

If it's local tax witheld upfront, there must be some way to include and document it in your tax returns. If you provide the correct documentation, there's no reason for them not to use the witheld tax to offset your personal income tax. It's your money, don't let them have it.

[Meecar]

I have been stupid for many years already