Trying to figure out how IB calculates the accrued interest.
I believe they pay out LIBOR (5.33% currently) -0.5%, so it is around 4.8% annual, am I correct?
Let's say I have 100K on my IB acct and don't touch it all year long. There will be $4800 in the accrued interest in the end of the year (or $400/month). How will it be taxed (ball park)?
I believe they pay out LIBOR (5.33% currently) -0.5%, so it is around 4.8% annual, am I correct?
Let's say I have 100K on my IB acct and don't touch it all year long. There will be $4800 in the accrued interest in the end of the year (or $400/month). How will it be taxed (ball park)?
