How to invest in Frankfurt stock exchange?
Question:
How is the tax for investing in Germany (capital gain tax, dividend, any other tax)?
Answer:
You need an account with a broker that offers trading on the Frankfurt stock exchange. As Germany is one of the three large financial centres in Europe most national brokers should be able to buy and sell German shares for you. You don't need to open an account with the Frankfurt exchange, the broker should already have one.
Germany has taxation treaties with most major countries in the world, including the US. Therefore you shouldn't have to worry about things like German capital gains tax, providing your broker registers you as a foreign investor. You may find the dividend is taxed before you receive it and you are unable to claim back but the German authorities will let you keep most of your gains.
Please bear in mind that if you buy German stocks you will be investing in Euros. Any movement in the Dollar/Euro exchange rate before you sell will affect your profits.
Call Deutsche Börse in Chicago at (312) 544-1100
You don't have to pay any taxes to the German Government.
NOTE: I asume you are not German.
More Questions & Answers...