IB withheld $100k as tax.

I managed a few accounts for my friends. I received API warning from IB asking the tax form of one account must be updated by the end of day,otherwise 24% tax will be withheld. My friend lives in a country with tax treaty with US, he is not required to pay US IRS. he did update his tax form that day. But the following day, 100k was deducted from his account. Anyway to reclaim the fund for him?

That's decent money in which you should have a personal professional tax account that you consult instead of seeking answers from anonymous posters that a few know already you're not telling the whole story.

wrbtrader
 
my friend sent IB a message saying the tax form was updated and asked for the refund. after 2 days, the fund returned. a lot of countries have tax treaty with US so that income would not be double charged by two governments. for some countries, the capital gain tax is fortunately very low or almost zero.
 
my friend sent IB a message saying the tax form was updated and asked for the refund. after 2 days, the fund returned.

That's what the problem was:tax form not correct or non existing.

If there would have been a problem, IB could have been held responsible for the 30% taxation by the IRS that would have followed.
 
I like how:

OP starts thread on a Thursday.

I say it’s a troll thread on a friday.

and then OP says the funds were returned two days later on that same friday.
 
I like how:

OP starts thread on a Thursday.

I say it’s a troll thread on a friday.

and then OP says the funds were returned two days later on that same friday.
You do not understand ET. It is a perfect world where problems are solved before they exits in the first place.
 
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