As some of you here, I have an account on a US broker (IB), dealing exclusively with US stocks and ETFs, some of which declare dividends, and which have a withholding tax of 15% thanks to the US-CH treaty.
While declaring dividends to Swiss authorities for year end taxation is pretty clear to me, I’ve some doubts about how to declare dividends to US authorities. Reading through the IRS website, I’d declare my taxes as a non resident alien (NRA) using the Form 1040NR. At the same time, they seem to state that any NRA without a gross income who’s already being submitted to a withholding tax on dividends does not need to file any form, unless the dividends are being taxed at higher rate than what’s specified on the treaty.
As an example, if my only source of income from the US are dividends from US listed stocks and they’re taxed at 15% given the treaty I don’t need to file anything. If for some reason they’re being taxed at 30%, I can file the form to claim the difference.
Does anyone have any experience with this, or has had to file a tax form as an NRA?
Thanks in advance and keep up the good work. The info in this forum is really phenomenal.