Taxation of dividends to US company

Taxation of dividends to US company

Didn't find your answer?

local comany 85% owned by US comapny is declaring a dividend. I assume that tax at 10% will be deducted as normal and that this will be allowed for through any double taxation agreement

thanks
Gus Donnelly

Replies (1)

Please login or register to join the discussion.

avatar
By AnonymousUser
08th Jun 2006 06:55

US ownership...
Your local company is owned 85% by a US company. Under the US/UK treaty Article 10 paragrah 3, a company that is at least 80% owned is normally zero tax, but there are exceptions in the following paragraphs that may apply. You would need to read it yourself to see if any of the exceptions apply.

http://www.ustreas.gov/offices/tax-policy/library/uktreaty.pdf

Thanks (0)