US taxation on non-US trading vehicle?

Hi, all

Does any non-US resident here use a non-US corporate vehicle to trade futures and options (listed on both US and non-US exchanges) through a US broker?

Is the company subject to US taxes, thus having to file an annual tax return with the IRS?

Assumption: The non-US resident individual isn't a US tax resident.

Thanks for any pointers!

 

you do not need to file tax return with irs. You need to fill form w8ben-e with your broker, who will withhold any tax you own to irs

 

If you are a US-citizen you have to pay taxes on earnings, regardless of where in the world you reside. If you are a non-US citizen residing in the USA, you also have to pay the taxes. There are a few exceptions, such as residents of Puerto Rico using Act 60.

 

Thanks for your helpful reply!

It seems that, in the W-8BEN-E form, I just need to put the non-US country in "Country of Incorporation" and select "Active NFFE", and the entity can trade futures and options without having to file an annual tax return with the IRS.

 

Thanks.

Since I am neither a US citizen nor a non-US citizen residing in the USA, completing the form W-8BEN-E correctly seems to be sufficient.

 

confused, so what are you? diplomat, tourist or illegal?

 

Since illegal may have a bank account providing his ITIN, he can trade on the market and paid taxes to IRS.