Advance Taxation of Dividends at Interactive Brokers

[Jean@Louis]

Good morning,

Having been using PostFinance for a few years, I am fed up with being charged high transaction fees. In order not to exceed 1% of the transaction value, I have ended up making quite large purchase orders (from my point of view). In addition, in order to encourage transactions, Postfinance now charges an amount at the beginning of the year, an amount that is recovered from transaction fees later.
I am hesitant to switch to Interactive Brokers (IB) which has ridiculous fees in comparison. Before I take the plunge, I would like to know if anyone has any experience to share with this broker.

Who would have such an experience? Positive/negative points?

Is there any benefit for withholding tax on US dividends or does IB work like Swiss brokers by taking 30% from the amount paid?

Thanks in advance!

Jean-Louis

[Jerome]

Hi Jean-Louis
I have been using their services for a year and a half and I find them great. The fees are minimal.
I'm talking about it here in relation to auto signal trading, but it also applies largely to more traditional investing:

Using Interactive Brokers with Trading Auto Signal

Regarding the withholding tax, there is only US withholding since it is a company under American law. It is up to you to decide whether you still want to declare in Switzerland.
The FATCA tax information exchange was scheduled in both directions USA-CH normally for very soon but with the arrival of Trump that may well change. So we might want to take the risk.
Personally, I prefer to be fair because I think that in the long term it is difficult to escape it.

[Author]

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