Would you ever consider buying a foreign dividend stock in an IRA even with them withholding 25-30% of the dividend? Would it matter if you had 30 years until retirement and you believed the stock could provide good stock and dividend appreciation?
There are plenty of foreign investments within countries that have U.S treaties to deflect handing over a percentage of your investment dollars. There are also agreements/programs that some companies use that benefit certain shareholders. So, the answer for me, would be a no, unless I was already invested and the said rules above changed then I would have to exit that would benefit me and my family.
Also, with a foreign tax exemption in regular brokerage accounts, why give up dollars when you can have that same investment and keep more for yourself, if you're a U.S. citizen/tax payer.
The only foreign stocks that I own in my retirement accounts are BP, RDS, and BBL. And only because of the tax treaty with the US. No point in giving away 25-30% of my dividends. Own those in a taxable account so that you get your money back when you file your taxes.
(03-30-2016, 11:56 AM)ChadR Wrote: [ -> ]The only foreign stocks that I own in my retirement accounts are BP, RDS, and BBL. And only because of the tax treaty with the US. No point in giving away 25-30% of my dividends. Own those in a taxable account so that you get your money back when you file your taxes.
We also own these in taxable IRA's.