Articles on: Emma Invest 🇬🇧

If I invest in US stocks with Emma, do I need to pay tax?

You will need to pay Income Tax on any income you receive, for example, dividends, and Capital Gains Tax on any gains made if you sell some or all of your shares.

In addition, there is a withholding tax of 15% applied to dividends at source in the US, before they are paid out to you.

In the UK, there is a £1,000 annual Income Tax allowance on dividends and a £6,000 yearly Capital Gains Tax allowance. The amount of tax you will need to pay will depend on your personal tax band, and your personal circumstances.

We are not able to advise you on your particular circumstances - if you are unsure about what this means for you, please make sure to discuss this with a tax professional.

If you have any further questions, reach out to us here ✍️

Updated on: 04/05/2023

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