AboutDr. Joseph de Beauchamp Expertise Blue Chips stocks, investment, return, risk, and all information on investing in blue chip stocks is a complex area. I can help answer these questions.
Experience
Past/Present clients Over 2000 of the largest public companies.
Question -------------------------All I can tell you is that around 5 years ago the Bank of Butterfield contacted me and told me no more accounts for U.S. Citizens if I didn't live on island, anymore. First investment accounts went and about a year later savings.
So the stock has never been in anything but a Cayman account, even though the certificate is now in my personal posession. Altria records show it was purchased on Grand Cayman. Do you know anything about the tax situation?
Followup To
Question -
-------------------------I'm a little confused by the first part of your answer. I purchasd the stock offshore. Grand Cayman, where I lived for 5 years, to be exact. There it sat for about 10 years until around 5 years ago when laws changed. They, then, said U.S. citizens, not living on the island, could not have on island accounts. At the time of purchase, I did live on the island and IT WAS delivered into an overseas account. Much later, 10 years, they had to send me the certificate at my U.S. home.
Followup To
Question -
I used to live outside the U.S. Now I live inside. Outside I bought stocks. Laws changed and I had to have certificates sent to me in U.S.
I would like to sell one stock. I called the company. They said to send cert. and letter stating sell. They take .15cents/share and $45 fee. Obviously, this takes time and price control out of the equation. I called some brokers, they will sell @$1.00/share + $5.00 fee, but time and price will be controlled.
Is there a most efficient way for me to go about this sell? Way to do it myself and cut out the middle man, while maintaining time/price control? What will be the tax obligations?
Answer -
If you had the delivery of the certs. into a overseas account at the time of purchase, then none of this would be important to know. Since you are here, and the records will show that you are in the USA, you need to go into a stock broker dealer and sell the stocks. You will have to report the taxes on the profit or loss on your tax returns --big $500k fines if you do not and you should seek a tax person to make sure that you do this correctly. The broker dealer costs are small compared to the control on the price to sell. I would go with a local broker dealer and set limit prices to control the price on your terms.
Dr. Joseph de Beauchamp
Answer -
Very strange, since you can have Grand Cayman overseas accounts and not live on the island. You could open up an account and then be back to where you were, starting and staying with an overseas account. I would suggest this.
Dr. Joseph de Beauchamp
Answer You should probably report the matter on your tax return. Should the profit or loss, if you completed a buy and sell on the stock. If you have not done the completion of the buy and sell, then there is nothing to report. Not report this is subject to $500k fine. You do not want to go there, and trust me on this.
