Non-US Citizens who want to buy US stocks?

[billxxx_2005]

What is the name of your state? - Texas

Hello-

What is required for wealthy non-US Citizens to invest in the US Stock market?

For example, I have a client in China, who has become wealthy due to his business, and now wants to buy US stocks and mutual funds. What does he need to do?

 

[nb367300]

To my knowledge, your client requires a Social Security number and must pay taxes to conduct financial transactions (investments) here.

 

[DrewfromCA]

Your client must apply for and receive a United States TIN, and then fill out a W-8BEN to be submitted with the other paperwork for any account. Then, once this is done, there will be a mandatory withholding done based on the international tax treaty with China. For capital gains, the withholding percentage is 30%.

I am not sure about all investment companies, but opening an account for a foreigner could also be subject to internal review and approval.