Strategy to obtain US Amex

[ithongy]

Can all this be done remotely from AU?

possibly...

 

[ithongy]

I was under the impression you needed to justify to the US why you needed an ITIN if you weren't a citizen?

https://www.nerdwallet.com/banking/learn/undocumented-immigrants-bank-accounts

 

[blacksultan]

https://www.nerdwallet.com/banking/learn/undocumented-immigrants-bank-accounts

Itin

Itin is for non citizens .
Citizens get SSN.

 

[albyd]

possibly...

Thank you

 

[Waddygib]

https://www.nerdwallet.com/banking/learn/undocumented-immigrants-bank-accounts

So you still need to justify if you are a non-resident, though? Specifically why you need an ITIN to claim tax treaty benefits?

 

[DAC1]

Can all this be done remotely from AU?

I tried last year and had no luck with TD US. Not sure about TD Canada

So you still need to justify if you are a non-resident, though? Specifically why you need an ITIN to claim tax treaty benefits?

That’s not the only way. You can also lodge a US tax return reporting any nominal amount of income.

 

[Waddygib]

I'll be honest, this all sounds legally very dubious. Never a big fan of lying (well, if not outright lying, then being economical with the truth) to the US govt.

 

[DAC1]

I'll be honest, this all sounds legally very dubious. Never a big fan of lying (well, if not outright lying, then being economical with the truth) to the US govt.

Who is saying anything about lying? If you have US sourced income, then you have to lodge a US tax return.

 

[Waddygib]

If you have a business over there or property, I guess. But is that the situation being called for in this thread? If you had those, wouldn't all these workarounds be unnecessary?

 

[DAC1]

If you have a business over there or property, I guess. But is that the situation being called for in this thread? If you had those, wouldn't all these workarounds be unnecessary?

I am still not too sure what your point is.

Most of these financial institutions specifically allow accounts for non-resident aliens. That is, people who are not legally resident in the US.

ITINs are specifically for people who do not work in the US but have a need to lodge a US tax return. This includes individuals who are not resident of the US but for whatever reason have a need to file a US tax return.

Using any of these is not lying, nor is it utilising a workaround.

 

[metaphase]

Plus the IRS is getting bonus tax income (albeit a trivial amount)

 

[Waddygib]

If you say so. I would think that "need to file a tax return" is doing a lot of heavy lifting; but I guess there are folks that probably need to do that (eg if you own property over there). Personally, I wouldn't eff around with the IRS around my tax status for the sake of a few frequent flyer points, but you do you.

 

[ithongy]

If you have a business over there or property, I guess. But is that the situation being called for in this thread? If you had those, wouldn't all these workarounds be unnecessary?

Open up a brokerage account in US for investing say $100 in stocks or ETF funds.

 

[Waddygib]

I do, and I have to file an 8-BEN. They withold some tax against the dividend which gets offset in my Australian tax return. There is no US tax return to file and far as I can tell can't get an ITIN as a result.

Clearly you all think I'm naive, but is it because I don't understand the way the tax works (very likely) or is it because it is so easy to get away with that it doesn't matter ?

 

[olorinn]

I submitted mine after a spot of gambling in Las Vegas during a work trip

 

[blacksultan]

I do, and I have to file an 8-BEN. They withold some tax against the dividend which gets offset in my Australian tax return. There is no US tax return to file and far as I can tell can't get an ITIN as a result.

Clearly you all think I'm naive, but is it because I don't understand the way the tax works (very likely) or is it because it is so easy to get away with that it doesn't matter ?

No disrespect but I don’t think the purpose of this thread is to have these sort of discussion .

 

[Waddygib]

No disrespect but I don’t think the purpose of this thread is to have these sort of discussion .

Apologies, I'll make sure my questions about strategies to get a US Amex are directed to another thread.

 

[blacksultan]

Third chase closure reconsideration request declined . Short US credit history , too many requests and no public records were reasons cited .

 

[DAC1]

I do, and I have to file an 8-BEN. They withold some tax against the dividend which gets offset in my Australian tax return. There is no US tax return to file and far as I can tell can't get an ITIN as a result.

Clearly you all think I'm naive, but is it because I don't understand the way the tax works (very likely) or is it because it is so easy to get away with that it doesn't matter ?

Noting what blacksultan has said, I digress briefly (because it is really a tax law and tax treaty question and not a how to get a US amex question) to provide a brief answer. A US return is needed to pay tax on US sourced income that is not otherwise subject to some final US withholding tax or to get a refund of US withholding tax that has been overwithheld.

This is not particularly relevant to your example. The W8 is allowing you to claim the 15% dividend withholding rate under the US-Australia treaty. Dividend withholding in the US is a final US tax meaning there is no further US tax to pay, nor any need to lodge a US return. You then get a FITO in Australia for that withholding tax.

Withholding tax regimes are designed to make tax reporting and tax payments simple for passive income like interest, dividends and royalties given that these are easily earned by non-resident beneficiaries.

However, the outcomes are different in relation to active income (ie income from services) or income from real estate and real property.