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Standard Chartered - Only Online Trading in town with no minimum commission

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Old 10-02-2015, 06:55 AM   #3451
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I ask a question too, see who can answer.

Can one open a company for the sole purpose of purchasing shares through SCB online trading account, enjoying the cheap cheap commission and not worry about the estate tax?
What are the cost involve in doing that?

Because if the cost is a token sum a year, this would be a perfect solution for so many people who are scare of the estate tax.

And if this is possible, wouldn't people just start a company to become a sort of hedge fund and gather $$ from friends and families?
There will be corporate tax on your profit
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Old 10-02-2015, 07:50 AM   #3452
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I ask a question too, see who can answer.

Can one open a company for the sole purpose of purchasing shares through SCB online trading account, enjoying the cheap cheap commission and not worry about the estate tax?
What are the cost involve in doing that?

Because if the cost is a token sum a year, this would be a perfect solution for so many people who are scare of the estate tax.

And if this is possible, wouldn't people just start a company to become a sort of hedge fund and gather $$ from friends and families?

If you have 30 years+ more to live, you should ignore estate tax because the laws can change. In any event, it doesn't matter since you will be quite dead.

Worrying about what the tax law will be in 30+ years times is quite pointless.

In fact, its most likely that the tax regime in 30 years will be very different. Who knows what it will be.... SG Govt becomes anti-millionaire socialist party, high estate taxes and USA Govt is Tea Party, abolish all taxes.....
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Old 10-02-2015, 07:56 AM   #3453
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I ask a question too, see who can answer.

Can one open a company for the sole purpose of purchasing shares through SCB online trading account, enjoying the cheap cheap commission and not worry about the estate tax?
What are the cost involve in doing that?

Because if the cost is a token sum a year, this would be a perfect solution for so many people who are scare of the estate tax.

And if this is possible, wouldn't people just start a company to become a sort of hedge fund and gather $$ from friends and families?
If you can become a millio $$ hedge fund hor, then you wouldn't be using Scb trading platform also, probably, depend on size you can get lower than 0.15% and what is minimun $25? Even Minimun $50 also no problem lah
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Old 10-02-2015, 09:12 AM   #3454
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I ask a question too, see who can answer.

Can one open a company for the sole purpose of purchasing shares through SCB online trading account, enjoying the cheap cheap commission and not worry about the estate tax?
What are the cost involve in doing that?

Because if the cost is a token sum a year, this would be a perfect solution for so many people who are scare of the estate tax.

And if this is possible, wouldn't people just start a company to become a sort of hedge fund and gather $$ from friends and families?
Okie, here's the trade off.

When they say estate tax does not apply to companies, they are not referring to a sole proprietorship (SP). That means you have have to incorporate a company. This is because a company is considered as a separate person whereas a SP is not so in another words, if you set up a SP, you will still be subject to estate duties so you wanna set up a company.

Here's where most cost comes in when it comes to setting up a company. First you have to get a tax consultant to advice on the set up and my advice is that its not cheap. People likes to pay more on this service because they benefit even more from the tax saving. But for your case, i am not sure if it will work because you are only concern about estate duties.

Next, ACRA. You get to pay for registration fees, admin cost, audit fees, compliance cost etc. While the registration fee is a one off item, the rest are recurring.

Lasty compliance risk. Risk on compliance comes when you file your tax return to IRAS which are not in line with the laws. Non compliance will be subjected to fines or worst, jail. So you wanna get a tax agent to file your returns every year which means, additional cost.

I heard of FX traders setting up a company and get a tax agent to consult them because they earn so much that setting up a company makes sense. But since your case is only on estate duties, i doubt the benefits outweights the cost.
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Last edited by The Accountant; 10-02-2015 at 09:15 AM..
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Old 10-02-2015, 09:43 AM   #3455
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Okie, here's the trade off.

When they say estate tax does not apply to companies, they are not referring to a sole proprietorship (SP). That means you have have to incorporate a company. This is because a company is considered as a separate person whereas a SP is not so in another words, if you set up a SP, you will still be subject to estate duties so you wanna set up a company.

Here's where most cost comes in when it comes to setting up a company. First you have to get a tax consultant to advice on the set up and my advice is that its not cheap. People likes to pay more on this service because they benefit even more from the tax saving. But for your case, i am not sure if it will work because you are only concern about estate duties.

Next, ACRA. You get to pay for registration fees, admin cost, audit fees, compliance cost etc. While the registration fee is a one off item, the rest are recurring.

Lasty compliance risk. Risk on compliance comes when you file your tax return to IRAS which are not in line with the laws. Non compliance will be subjected to fines or worst, jail. So you wanna get a tax agent to file your returns every year which means, additional cost.

I heard of FX traders setting up a company and get a tax agent to consult them because they earn so much that setting up a company makes sense. But since your case is only on estate duties, i doubt the benefits outweights the cost.
Profits frm trading fx is taxable?
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Old 10-02-2015, 11:58 AM   #3456
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Profits frm trading fx is taxable?
Yes. Fx traders have multiple samiliar transactions and their holding period is short. As far as IRAS is concern, Its classed as trade income, therefore taxable with your combine income, including salary, rent etc. The tax rate can go up to 20%.

The thing is, most people are not aware since we are the one who file our own income tax. It kinda turn into a grey spot for small time Fx traders. I won't go into a discussion for this matter. Its pretty sensitive. Just give Iras a call and you will understand.
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Old 10-02-2015, 12:32 PM   #3457
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Yes. Fx traders have multiple samiliar transactions and their holding period is short. As far as IRAS is concern, Its classed as trade income, therefore taxable with your combine income, including salary, rent etc. The tax rate can go up to 20%.

The thing is, most people are not aware since we are the one who file our own income tax. It kinda turn into a grey spot for small time Fx traders. I won't go into a discussion for this matter. Its pretty sensitive. Just give Iras a call and you will understand.
Then if lose money cn claim frm them?
Thks fr the info. Always tot trading in sg ish tax free
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Old 10-02-2015, 03:15 PM   #3458
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this is a take-over bid or they just trying to buy from existing shareholders?
http://d1lge852tjjqow.cloudfront.net...5483276d6e.pdf

TRC capital is buying up to 0.15% of oustanding common stocks. You can choose to accept or reject, although the company advises you to reject the offer.
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Old 10-02-2015, 09:37 PM   #3459
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Thanks Perisher! I did search past threads.. but wasn't very clear




As this is a cash upfront type of account, the cash is already deducted immediately when the trade is done, there is a refresh purchase power thing to the right in your online trading site you can use to see roughly how much purchase power you have.

Do not be fool by the cash you see in your home page, that one will be updated a few days later.



Did you even try to search, this 4 q has been answered many times.
1. Currency exchange rate is +/-0.015 roughly. Horrendous, I know.
2. $0
3. $0
4. Yes
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Old 10-02-2015, 10:51 PM   #3460
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Thanks Perisher! I did search past threads.. but wasn't very clear
You mean post #3435 isn't clear? o well.
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Old 11-02-2015, 10:13 AM   #3461
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As this is a cash upfront type of account, the cash is already deducted immediately when the trade is done, there is a refresh purchase power thing to the right in your online trading site you can use to see roughly how much purchase power you have.

Do not be fool by the cash you see in your home page, that one will be updated a few days later.



Did you even try to search, this 4 q has been answered many times.
1. Currency exchange rate is +/-0.015 roughly. Horrendous, I know.
2. $0
3. $0
4. Yes
OH I see that sneaky button now... Was thinking why so good... THank you Sir
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Old 16-02-2015, 03:10 PM   #3462
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hmm, is SC online down today? cant seem to log in
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Old 16-02-2015, 03:22 PM   #3463
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hmm, is SC online down today? cant seem to log in
No problem at all for me. SCB online seems very much improved nowadays.
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Old 16-02-2015, 10:25 PM   #3464
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hey all, i have a very basic question to ask.

i notice there is the securities settlement account and securities trading account. am i right that to start trading my funds must be inside the settlement account? if so then what is the purpose of the securities trading account.

thanks!
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Old 16-02-2015, 10:40 PM   #3465
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hey all, i have a very basic question to ask.

i notice there is the securities settlement account and securities trading account. am i right that to start trading my funds must be inside the settlement account? if so then what is the purpose of the securities trading account.

thanks!
to see your portfolio's value.

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