ADRs, American Depository Receipts
American Depositary Receipts (ADRs)
Not registered in the United States, so the U.S. government typically does not impose the standard 30% withholding tax on dividends they pay out. Since the company represented by an ADR is incorporated overseas, if you hold an ADR and qualify for a dividend, the dividend withholding tax will be withheld according to the tax laws of the country where the company is incorporated.
ADR Dividend Tax
The tax rate depends entirely on the country where the issuing company is originally incorporated and how much tax that country levies on foreign investors.
Example: Taiwan ADRs (such as TSMC, TSM.US): typically subject to a 21% Taiwan dividend income tax withholding.
Is there a Hong Kong stock and U.S. ADR conversion function or service? For example, Alibaba (9988.HK BABA.US), which is listed in both Hong Kong and the U.S. as an ADR.
Hong Kong stock and U.S. ADR conversion function or service is not supported.
