Taxes for European Investors Made Easy (do THIS before investing)

[@SatishPrabhakar1986]

Very useful video, Tom. Thanks. To help me trace based on timestamp: 00:49 Overview of the 5-step process 03:05 Overview of standard investment taxes 05:59 Tax advantaged investments 08:10 How to optimise portfolio for taxes

[@brunoband]

Best investment channel in Europe

[@alejandromoises9408]

Great teaser! It builds momentum to "So what is it then? Show me the secret!". If it helps, France gives every legal resident the right to open a PEA Account (Plan Epargne en Action) which allows you to invest in a pletorah of ETFs (Mostly European but with an ample mix of synthetic ETFs that replicate US markets), the PEA is TAX FREE if you withhold your investment for the first 5 years and has a deposits ceiling of 150K EUR.

[@civicintegration]

great video Tom .. Its 50% more informative than any other channel for european investors.. Looking forward for more ..

[@MathieuDeVinois]

Thank you. Finally someone who shows me that my frustration is not insanity. I am in Austria. Found some ETFs and stocks I like. Found some brokers. And was quite confident. Now I am on the Tax topic for a while and I am lost. It’s literally fees and taxes to pay everytime the wind directions turns. And asking didn’t help me further. It’s always „it’s easy….“ no it’s not if you want to know what you’re doing… I basically think that I got it how it works now. I just don’t want to believe it.

[@thetomcrosshill]

In Austria, using a local brokerage is helpful because they usually take care of taxes automatically.

[@danielgent6035]

As a Brit living in Spain this is gold. I've learned more from your video than possibly years of googling I love the comparisons between different countries without political judgement

[@thetomcrosshill]

Hi all! Thanks for all the lovely comments! Unfortunately I am not able to provide individual tax advice here on my channel. I do train people on investment topics in my training programs, where I cover investment taxes all across Europe. If you're interested, check out my free webinar at go.indexmasterclass.com

[@muscle2health]

Just received an ad from you and decided to check it out, I live in Portugal and I wanted to invest and earn passive income in the future, because A.I is going to take off more than ever... but I m a complete noob on the subject. Subbed.

[@Sandra_Kaye_Smith]

10:45 You can Save, Spend, Invest and Earn up to 5X investment returns (ROI), also get fast access to Personal and Business Loans (physical collateral not required for loan up to $50k) all on one platform.

[@carolinedubois-EFT]

Thank you for this information. I am very happy to be a Belgian resident even if I am often in Spain, I'll reduce my days there...

[@merilinyaridirineoreyes4739]

Your channel is so helpful and NO boring hahaha

[@eurobelas]

There are thousands of ETFs , it would be good idea to show us how to shift thru them and select other ETFs rather then the standard basic ones. thanks

[@thetomcrosshill]

I've got a video coming up on this topic that you will love! Unfortunately it's stuck in editing because of other business tasks :) but hopefully not too long!

[@rojensalditos2109]

Thank you Tom! Very helpful!

[@thetomcrosshill]

Glad to hear it was helpful!

[@DivineMeTime]

love your sense of humor

[@nastyabibi7140]

Thank you Tom! Your channel is awesome!

[@Zipsnis608]

Great job...I hate that most of investing videos are originated in US and so much less information coming from Europe. Question - I do some trading in Etoro. Should I also pay tax each year, even if I don't remove any funds from my account there? Is there any way how this income is tracked.

[@kuhim]

Thank you for great overview!

[@thetomcrosshill]

Glad it was helpful!

[@BogdanScramble]

Your videos are so inspiring We've been impressed with what you're doing and would like to partner with you!

[@barrettwave8861]

speaking facts here, when I do see someone drinking coke I most defeinitely feel like a boss

[@steveshuffle]

Tom - very cool video. Been watching a few of your videos :) You don't speak of withholding taxes here. Do you speak about it somewhere else? I still can't believe I am taxed withholding tax for dividends from EU companies - and I live in the EU!

[@thetomcrosshill]

Hi Steve! Withholding taxes are quite the complex topic! I don't have a YT video on this, although I do touch on this in some of my paid training programs. Basically, a lot of countries require companies to withhold taxes from payments made to residents (for example, in advance of their personal income tax payment). And many countries also require withholding taxes from payments made to non-residents. But this depends very much on the country in question, any tax treaties with the investor's country of tax residence, etc, etc. Also, rules differ depending on the type of company (or fund) and other factors. So in terms of making a video, it's really more of a topic for tax advisors than regular amateur investors. Every case has to be studied on its own. I hope this helps! Tom

[@steveshuffle]

@@thetomcrosshill really appreciate the thorough input! And yes, it's indeed a tricky topic. I find it that it seems rather useless to invest in stocks outside of my country, as any dividend doesn't result in only capital gains, but a withholding tax + capital gains. So I'm taxed, overall, high income tax (>40%!). Again, made very tricky & tax hefty for retail investors..

[@c0t556]

Hi Tom, would you suggest setting up an LLC in a more tax advantageous country for investing? Maybe for capital gains and also dividend income?

[@richsuccessinvest8238]

Thank you for the video and all the information. I want to help my mum who lives in Spain to open a tax free account for her to invest but my knowledge about investing in Europe is not very extended. Any advice is welcome Thank you so much 🤗🤗

[@vredacted3125]

The government should count what you owe and send you the bill if they want to get payed.

[@erike9205]

It is like that in Estonia, five clicks and the taxes are payed

[@yasminalonso4539]

what?!! this is quality content

[@ratankunder5830]

Hi Tom, great video. When you invest in an accumulating Etf for 20 years and then at the end of 20 years you withdraw the whole investment (which has grown significantly) what type of tax is charged at that time and how to avoid it ? Resident of Netherlands by the way

[@thetomcrosshill]

Hi, Thanks for reaching out. We do not offer individual consultations but this topic is covered in our full investment training program The Index Masterclass. Have you perhaps been to one of our webinars? In the webinar, we cover the big picture of passive investing, which is especially useful for beginners. At the end of the webinar, Tom introduces our full investment training program The Index Masterclass which takes you from 0 to invested in just a few weeks if you live in Europe. You can sign up and save your spot here: go.indexmasterclass.com/ Best, Ieva from Tom's team

[@nandicarv]

If I have freedom to move, where should be the best tax residency within the EU?

[@printingproxies]

so HUNGARY is the way to go from what im understanding?

[@sectionone1111]

I'm interested in real estate investments. Robert Kiyosaki says he doesnt pay taxes on his profits. After a bit of research I found out the main tool he uses in the US is property depreciation. 3.6% per year can be deducted and that offsets his income. Is there an EU country that would let me do that?

[@sledgex9]

Do you have any insights on the tax implications of ETFs marked as UCITS? As best as I can understand it, taxes from UCITS funds based on another EU country are supposed to be treated the same as from a locally based UCITS fund. For example, capital gains from a greek-based UCITS fund are tax free in Greece. For greek citizens any capital gains from a UCITS-fund based on another eu country are supposed to be tax-free too. Do you have any info if this principle of "same treatment" of local vs other eu-country UCITS is used in other EU countries too? Does a UCITS mark carry any specific tax-implication for eu countries?

[@medikos]

Have you learned if all ucits are tax free in Greece?

[@funkesarumi762]

Thanks for the video. Can you please recommend brokerages for Europeans ? I just created an account on etoro when I stumbled on your channel

[@thetomcrosshill]

I just did a new video on best tips for choosing a brokerage if you live in Europe!

[@archive4059]

So i didnt understand, in Switzerland you have to pay taxes on capital gains or not? iam confused, because at the begining of the video you sayd no, at the end you sayd we have to pay taxes on capital gains of an accumulating ETF.

[@mhfcka]

this applies also when investing in etf for several years ?

[@douglasmacuacua6457]

Hi Tom . I am living in Portugal and I would like to start investing in ETFs and REITs that pay monthly dividends. The local broker is XTB. What advice do you give me please😊

[@thetomcrosshill]

Tell me what investing topics should I cover in the future?

[@irsaibotond736]

How to avoid paying taxes

[@rojensalditos2109]

Something easy to understand when talking about Forex and hedgings, from LT investment perspective, not trading. I really appreciate when you convert things to layman's terms. Thanks. Another thing that I would love to hear/learn from you is about UCITS. What it exactly mean to us investors. Thanks.

[@keanovandenboogaart]

Hey Tom, I got a question and was hoping you could help me. I live in the Netherlands but over here i think above a certain amount of assets (around 56.000 as an individual) you have to pas taxes over your assets even if they are in stocks/etf's or bonds (this also counts as your assets). So this means you cant pay taxes later (when you get your money out of your broker), but you pay it every year. Do you know if this is true? or am i completely wrong and do i not have to pay untill i get my money out of my broker? Thanks in Advance.

[@RobbieE33]

Its the wealth tax he's talking about. The first 57K of your combined savings and investments are exempt from taxes in the Netherlands. After that you pay like 34% (probably not the exact number) on your return on capital. This return on capital is not calculated on factual return but fictional. They calculate with 4% or 6%. I dont know the exact number. But there's a discussion right now on how to assess the return on investments and savings. They want to tax factual return instead of the fictional rates they use now. Problem is that its very hard to automate the calculations for factual/ concrete return on investments.

[@Johann75]

I am from a tax free country. If I invest in US market ETF with Irish domicile, I will need to pay 15% dividend tax at source. But if I invest in European or World ETFs, what are the source taxes?

[@recon5500]

do us europeans have witholding taxes on bonds income and divideds? I have apple stock and usa charge me 30% witholding taxes on my dividends and I want to invest in european companies if they don't have this tax on income. waiting for your answer thank you

[@mj-sl2wg]

Any tax advantaged investment channels in austria ?

[@Taoikonomika_einai_polycool]

Hi Tom, Nice video. I have a question though. Are you aware of UCITS ETFS? I think they are tax free if you are in a citizen of EU member country

[@thetomcrosshill]

UCITS ETFs are pretty much the only ETFs available to European investors, and in most European countries they are not tax free at all! From what I know, such a tax exemption applies in Greece. There are also a few other countries where it's possibly to invest essentially tax free, but that's not the case across most of Europe.

[@lmtr0]

What about foreign investors?

[@roseannetalavera3913]

Hi Sr. Im new here in your vlog. im interested in investment. Im working as a nanny. i want to try investment. i dont have a lot of money but i want to try. I want to know which investment is good in spain which more taxable. I dont want to have problem in goverment. I just want to try I'm really curious about investment i hope you can help me thank you😊

[@Chinedu311]

If you buy an ETF periodically let's say you dedicate an amount per month to investing. How do you track your gains since the value will vary each time you buy. How can you track the gain for tax purposes

[@hamzabouchoucha4303]

the brokers application shows u the gains

[@thetomcrosshill]

It's a good question and it can get a bit tricky - the exact way you track it depends from country to country depending on the accounting approach used (FIFO, LIFO, weighted average). We discuss this in our training program. Usually it boils down to having a good spreadsheet and doing some math or paying a good accountant (or in some countries your broker takes care of the calculations for you).

[@deisyvivianasarmientogarzo2007]

Is including Norway in these European coutries?

[@thetomcrosshill]

Yes, Norway included! Best Ieva from Tom's team

[@ciaran4060]

Thanks for the Video Tom, I've a tricky one!! I'm Irish I'm married to a Lithuanian we live in Qatar since 2020 and intend to stay here for 10 more years, I'm about to start investing in Etfs but since learned that Etfs, Irish domiciled (vuaa) are taxed 41%in Ireland every 8 years, but does this still apply to me??

[@thetomcrosshill]

While I can't give you individual tax advice, generally that Irish taxation applies to Irish residents (who often prefer to invest through pension wrappers because of this).

[@ciaran4060]

@@thetomcrosshill thanks for the reply, much appreciated 👍

[@Vartikas.illustrations]

Hi Tom. I’ve been watching your videos since months but I’m still extremely confused. I’m an immigrant living in France from India and wish to do investments here but I’ve just not been able to find a way to do so. Can you help?

[@thetomcrosshill]

Hi! I do help people figure this out, but it takes a bit of training. Come to my free webinar at go.indexmasterclass.com if you'd like to get started!

[@Master.Baiting_to_you]

What about the trading tho? If i am from EU the tax is when i pull out of the broker or it have to be on each trade?

[@thetomcrosshill]

That differs from country to country! The most common solution is that you are taxed on each trade which generates a profit, but there are different rules in some countries.

[@edwilljohannes4599]

investment is really complicated

[@thetomcrosshill]

Join the free webinar (link in the description) because it gets easier once you know what to do.

[@gabrielefusta6859]

Thank you Tom! Great video! I am considering checking your programs now! 1 quick question though: I live in Denmark and I bought accumulative ETF while I was resident there. Now I am moving to a Italy where capital gain tax is way lower. Are there any exit tax in Denmark? Will I only pay tax in the country where I will sell the ETFs?

[@thetomcrosshill]

Hi Gabriele! I can't really give individual tax advice. In our training program we give people the skills to understand taxes on their own + briefings on key tax factors in countries across Europe. As to analyzing a situation where you move between countries, we teach people how to do that analysis, but it's a bit of a process and in more complex cases you may need to consult a tax advisor in one or both countries. It's not really suited for a KZbin comment. You have to consider the tax rules in country A and in country B. Depending on that, you then decide how best to proceed with existing investments. The answer to your question about where you will pay tax depends on the combination of countries - in some cases if you are not careful there is actually a risk of having to pay tax in both countries, but usually that is not the case. And if that risk does exist, there are ways to solve the problem.

[@arturakhmerov1359]

why did you single out the Cyprus' physical presence test? it's exactly like you explained - you should be in Cyprus for 183 days of the calendar year, and nothing else. am I missing something?

[@thetomcrosshill]

There is a "60 day rule" also in effect for Cyprus: taxsummaries.pwc.com/cyprus/individual/residence

[@robertmelia4161]

In Ireland will I have to pay 40% on all of my investment profits?

[@thetomcrosshill]

While I can't provide Irish tax advice, in general ETF taxes are fairly high in Ireland (that said, ETFs have so many advantages that many investors still prefer them to other investors). One interesting opportunity in Ireland is to buy ETFs as part of self directed pension accounts which have a much better tax treatment!