US estate tax on cash held at IB

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followtheflo
Posts: 13
Joined: Sat Dec 26, 2020 9:22 am

US estate tax on cash held at IB

Post by followtheflo »

Hi,

It's a very specific question: does the US estate tax apply on USD held in an account opened by an NRA at an Interactive Broker foreign subsidiary?

I sort of think the answer is yes since the cash account is likely located at IB LLC which is located in the US therefore making the monies US in situ assets but I wanted to have other's opinion.

Thanks!
User avatar
galeno
Posts: 2653
Joined: Fri Dec 21, 2007 11:06 am

Re: US estate tax on cash held at IB

Post by galeno »

Yes. We keep our cash balance at IBKR below $60K at all times.
KISS & STC.
fman
Posts: 9
Joined: Thu Feb 11, 2021 12:40 pm

Re: US estate tax on cash held at IB

Post by fman »

Hi, what if the IB account is located in the US but I hold UCITS? How does(n´t) the US estate tax apply? and what is the procedure to follow?

thanks!
TedSwippet
Posts: 5181
Joined: Mon Jun 04, 2007 4:19 pm
Location: UK

Re: US estate tax on cash held at IB

Post by TedSwippet »

fman wrote: Wed Mar 17, 2021 9:31 am Hi, what if the IB account is located in the US but I hold UCITS? How does(n´t) the US estate tax apply? and what is the procedure to follow?
Welcome. You can find the answer to your question in the wiki:

Nonresident alien taxation : Are nonresident aliens at risk from US estate taxes?
fman
Posts: 9
Joined: Thu Feb 11, 2021 12:40 pm

Re: US estate tax on cash held at IB

Post by fman »

thanks TTedSwippet!
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