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SHY (iShares) / MUB (iShares) WHT Exemption

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  1. #1

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    SHY (iShares) / MUB (iShares) WHT Exemption

    Quote Originally Posted by pin
    HSBC, or any other broker that allows you to trade US shares. Buy US ETFs. BIL or SHV.
    30% WHT on US ETFs. If you do want to buy US for yield, consider MUB or VTEM (don't have this, cannot guarantee its WHT status).

  2. #2

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    Quote Originally Posted by shri
    30% WHT on US ETFs. If you do want to buy US for yield, consider MUB or VTEM (don't have this, cannot guarantee its WHT status).
    I don't think WHT applies to any government issued debt.

  3. #3

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    Buy some and find out

    I don't think the federal debt it tax exempt.


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    Quote Originally Posted by shri
    Buy some and find out

    I don't think the federal debt it tax exempt.
    I do, and don't get charged WHT!

  5. #5

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    Ok, let me put a small order in, those are monthy distributions right? SHY?


  6. #6

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    Quote Originally Posted by shri
    Ok, let me put a small order in, those are monthy distributions right? SHY?
    SHV is short term treasuries (1 year and under)

    SHY is 1-3 year treasuries

    Both monthly distribution.

    When I previously researched this it was determined that government or related bonds (such as agency, munis and US government) don't attract WHT.

  7. #7

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    When I previously researched this it was determined that government or related bonds (such as agency, munis and US government) don't attract WHT.
    Easy to confirm with monthly distributons. Will put a small order in today on SHY.

  8. #8

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    @pin - Here's the result of the test on HSBC.

    SHY - 30% WHT


    Name:  Screenshot 2019-02-13 at 4.32.05 PM.png
Views: 97
Size:  114.1 KB

    MUB - No WHT


    Name:  Screenshot 2019-02-13 at 4.34.53 PM.png
Views: 91
Size:  99.1 KB

    nivantj and pin like this.

  9. #9

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    Will keep the SHY for now, lets see how it all works out.


  10. #10

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    The iShares QII doc for 2019 shows this:

    Name:  Screenshot 2019-02-13 at 4.45.41 PM.png
Views: 91
Size:  52.4 KB

    and

    Name:  Screenshot 2019-02-13 at 4.46.05 PM.png
Views: 91
Size:  38.8 KB


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