Share Dealing On London Stock Exchange As An Expat

[hatrick]

I am having problems finding an online broker as an expat. I left UK a few years ago and am technically a Thai taxpayer. So far all the UK brokers want a UK address..HSBC International replied " I regret that customers who reside in Thailand cannot hold a Sharedealing account due to Thailand's rules and regulations. Any information would be helpful

[jayinoz]

www.interactivebrokers.com generally accept anyone with the bucks- however it makes it easier to give a Farang based address, whether your homeland is USA, UK, Aussie, Germany, etc. Many can be reluctant due to money laundring reasons if you ONLY give a Thai address.

Many expats trade any market in the world from Thai over the interent... does not matter where you live yet an address in Farang based country helps. Even if it is not yours...

As they would wish to track you down especially if you took out margin loans and they needed to call in the margin loan. I.B do not have an address in Thai. Go through the IB broker in your homeland....

I would not go through a Thai broker as I do not trust them as much PLUS the rates are triple the rates we get from homeland brokers. Personally use a broker from your homeland, give a family address (Sister, brother, parents, etc) then get cheaper trades and no issue trading from Thai.

If you need to go through a Thai broker- then KIM ENG trades on most markets. Every BUY or SELL is double to quadruple our homeland rates however- which adds up if you trade a fair bit.

Cheers JAY

[Chivas]

Just open a spread trading account with IG Index, City Index or Tradefair and make life easy !!

Only restriction is that you can't trade from the USA.

[hatrick]

Jay. Thanks for the reply. Do i declare my legal residence to be Thailand or Uk with a UK address (tax is 3 times as much in uk!)?

[hatrick]

Thanks .. just had a look at it and there are no restrictions.. slightly different from the traditional way of buying and selling shares tho....am i missing something or is it all done on a per point basis (I'm new at this!)

[jayinoz]

No problem- glad to help out.... I still declare a residence in Aussie yet trade the world. Your tax deductions can be very high when you travelling the world trading. As long as you dropping in to chat with Directors. So tax wise not much of an issue unless you plan on 1000% gains. Then they will want their slice of your pie. UK allow more deductions. In reality of you trading all over the place then have a couple of brokers in seperate accounts, even names if wish (Like spouse name) to save on tax. Yet you really need a trusted spouse to spread this out. Not sure how cashed up you are... less than a couple of Mil would not worry about claiming high deduction in UK on any Cap gains.

Naturally consult a tax account in UK for best advice. In know Aussie not UK.

Be careful of the brokers here in Thai whom charge 7% VAT + take tax out automatically- I hear it happen to some and cost them big time. Stick to what you know and whom you know. UK best IMO for you. Claim expenditure here as directly deductions- yet if very cashed up get serious advice.

Cheers JAY

[hatrick]

No problem- glad to help out.... I still declare a residence in Aussie yet trade the world. Your tax deductions can be very high when you travelling the world trading. As long as you dropping in to chat with Directors. So tax wise not much of an issue unless you plan on 1000% gains. Then they will want their slice of your pie. UK allow more deductions. In reality of you trading all over the place then have a couple of brokers in seperate accounts, even names if wish (Like spouse name) to save on tax. Yet you really need a trusted spouse to spread this out. Not sure how cashed up you are... less than a couple of Mil would not worry about claiming high deduction in UK on any Cap gains.

Naturally consult a tax account in UK for best advice. In know Aussie not UK.

Be careful of the brokers here in Thai whom charge 7% VAT + take tax out automatically- I hear it happen to some and cost them big time. Stick to what you know and whom you know. UK best IMO for you. Claim expenditure here as directly deductions- yet if very cashed up get serious advice.

Cheers JAY

Thanks all done.... next question... how do i mae a million ($)? lol

[wordchild]

there should be no issue dealing in UK shares from Thailand. I do it myself as do others that i know.The problem can be with the initial a/c opening.

For UK brokers dealing with new overseas customers, esp those who look to open online dealing a/cs, the issue is how do they satisfy the "know your customer" requirements, when they do not have a bona fide UK address. It is easier if you had a relationship with a broker before moving to Thailand and i would guess it would also be easier opening a "full service" a/c where you can actualy talk to someone and get their help as to what you need to do. I know for example Charles Stanley have no problem with overseas based a/cs as long as you can prove an address (say in Thailand) with at least one utility bill. The alternative,as others have said, is to use a proxy UK address.

There is no tax to pay on UK dividends for non residents. CGT is slightly more complex, but effectivly there is no CGT to pay on any gains taken while non-res for shares aquired while non res.

Edited May 20, 2011 by wordchild

[hatrick]

there should be no issue dealing in UK shares from Thailand. I do it myself as do others that i know.The problem can be with the initial a/c opening.

For UK brokers dealing with new overseas customers, esp those who look to open online dealing a/cs, the issue is how do they satisfy the "know your customer" requirements, when they do not have a bona fide UK address. It is easier if you had a relationship with a broker before moving to Thailand and i would guess it would also be easier opening a "full service" a/c where you can actualy talk to someone and get their help as to what you need to do. I know for example Charles Stanley have no problem with overseas based a/cs as long as you can prove an address (say in Thailand) with at least one utility bill. The alternative,as others have said, is to use a proxy UK address.

There is no tax to pay on UK dividends for non residents. CGT is slightly more complex, but effectivly there is no CGT to pay on any gains taken while non-res for shares aquired while non res.

Thank you for a very informative reply... are there any share clubs in Chiang mai.. start one??

[wordchild]

there should be no issue dealing in UK shares from Thailand. I do it myself as do others that i know.The problem can be with the initial a/c opening.

For UK brokers dealing with new overseas customers, esp those who look to open online dealing a/cs, the issue is how do they satisfy the "know your customer" requirements, when they do not have a bona fide UK address. It is easier if you had a relationship with a broker before moving to Thailand and i would guess it would also be easier opening a "full service" a/c where you can actualy talk to someone and get their help as to what you need to do. I know for example Charles Stanley have no problem with overseas based a/cs as long as you can prove an address (say in Thailand) with at least one utility bill. The alternative,as others have said, is to use a proxy UK address.

There is no tax to pay on UK dividends for non residents. CGT is slightly more complex, but effectivly there is no CGT to pay on any gains taken while non-res for shares aquired while non res.

Thank you for a very informative reply... are there any share clubs in Chiang mai.. start one??

i think share clubs are a great idea , sadly i am not Chaing Mai, but get one started and i am sure you will get some interest

Edited May 20, 2011 by wordchild