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Non-US Investing • Influence of tax on Bogleheads strategy [New Zealand Taxes]

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A 1.4% tax on holdings is probably even better than a 20% capital gains tax if you invest in an all-stock portfolio. Note, of course, that you do not have the choice of which of the two you pay unless you consider emigrating from New Zealand.
Probably the worst case is to be a US citizen resident in New Zealand. Then you owe both the capital gains tax to the US, and the 1.4% FIF/FDR to NZ. According to my tax accountant, you can't even get a foreign tax credit in the US for the 1.4% in taxes paid to NZ because they're not "like" taxes.

Statistics: Posted by aspiring_kiwi — Sun Aug 18, 2024 4:53 pm — Replies 15 — Views 2913



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