5J·

Taxation TDIV

Good morning everyone.

Can someone please enlighten me on how dividend taxation works with the $TDIV (+0,2 %) works?

I read various things, from the additional 15% withholding tax when the FSA is exceeded, but also that tax is paid immediately, in addition to the normal 18.5% withholding tax after the partial exemption.

Please clarify and thank you.

15 Commentaires

Olli@EisenEnte

Once your tax-free amount has been used up, it is even cheaper than a "normal" etf, as the withholding tax is fully credited and there is no solidarity surcharge and, if applicable, church tax.

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Oktoberfest@Oktoberfest

I could give you the details from my tax investigation in mid-June.

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Oleg@ScorpionfromBW

@Oktoberfest That would be very nice to see a concrete example instead of doing the math

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BockaufDividenden@BockaufDividenden

@Oktoberfest I would also love it if you could link me here if you have the tax calculation. I also have the ETF and I'm really interested!

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Oktoberfest@Oktoberfest

@BockaufDividenden I will :)

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Bino@WarrenWobuffet

15% QST on the full amount, then partial exemption, then German withholding tax on which the full QST is credited if FSA is used

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Stevoo@Stevoo13

@WarrenWobuffet the only correct answer

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Oleg@ScorpionfromBW

So as an example, €115 dividend, of which €-15, of the €100 that is left, then 30% partial exemption, and of the €70 again 26% German capital gains tax? Then I ask myself why this ETF is being advertised if it is not worth it at all compared to the Irish domicile

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Yieldrology@Yield-Ahead

@ScorpionfromBW it is praised because it follows a coherent index, because it offers the prospect of growing distributions and because it has performed well in recent years. Tax: also not attractive for me compared to Ireland.

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Bino@WarrenWobuffet

@ScorpionfromBW the withholding tax is fully credited against the final withholding tax. This is even better because you don't have to pay tax and withholding tax on the amount. However, if you do not use your FSA, this is a disadvantage.

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Golden Boy@randomdude

@WarrenWobuffet So, to complete the above example, the result is: 26% of 70 euros = 18.20 euros - 15 QSt = 3.20 euros KEST?
With an Irish ETF the calculation would be: 115,- * 0,7 * 0,26 = 20,93 Euro. TDIV is even cheaper. Or have I misunderstood something?

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Olli@EisenEnte

@randomdude absolutely correct. If the allowance is used up, it is actually cheaper 👍🏻

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Oleg@ScorpionfromBW

Or am I too stupid? As an example, I'll take a $VWRL that I have myself. 100€ dividend, of which a total of approx. 18.5% tax is deducted after the FSA has been exhausted. Finished

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Dividendenoldie@Dividendenoldie

I have received a letter from Flatex on this very subject....

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Dividendenoldie@Dividendenoldie

@Dividendenoldie

We have received a message from the department regarding your request to calculate the distribution for NL0011683594 dated 12.09.2024.

The gross income amounts to EUR 24.80. The foreign source state deducts its 15% withholding tax of EUR 3.72 from this before the payment is made to flatexDegiro. We have no influence on this. The withholding tax does not change the gross income, but is creditable in Germany as foreign withholding tax.

Therefore, the partial exemption is calculated on the basis of the total gross income at 30%, i.e. 30% of 24.80 EUR = 7.44 EUR. This leaves taxable income in the amount of EUR 24.80 - EUR 7.44 = EUR 17.36.

As part of the tax assessment basis, we already offset the foreign withholding tax four times against the taxable income, so that the foreign withholding tax reduces the German capital gains tax as a result (Section 32d (1), (5), Section 43a (3) sentence 1 EStG). The tax assessment basis is therefore calculated as taxable income EUR 17.36 - 4 * anr. foreign withholding tax EUR 3.72 = EUR 2.48.

The 25% capital gains tax of EUR 0.62 and the 5.5% solidarity surcharge of EUR 0.03 are calculated here.

The calculation is not objectionable. If we had not taken the partial exemption into account, the taxable income would have corresponded to the gross income of EUR 24.80. The fourfold deduction of withholding tax would have reduced the assessment basis to EUR 24.80 - 4* EUR 3.72 = EUR 9.92. This would have resulted in a capital gains tax of EUR 2.48. This corresponds to the idea that the capital gains tax amounts to 10% if foreign withholding tax is fully credited, namely 25% German tax less 15% creditable withholding tax. As we have applied the partial exemption, we have already reduced the assessment basis.

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