What taxes do I need to pay on CUSP Wealth?

For most CUSP investors, returns are largely tax-efficient. Here's a simple breakdown of how taxes apply.

0% tax. Neither the UAE nor the US taxes capital gains for non-US individual investors. When your investments grow in value and you sell, the full profit goes to your cash balance. Note: depending on your country of tax residency, your home country may apply its own capital gains tax. We recommend checking with a local tax advisor if you're unsure.

For example, in the UAE, there is no personal income tax on dividend income for individual investors. This means that after the U.S. withholding tax is applied, no additional local tax is due on those dividends.

The US applies a 30% withholding tax only on dividends paid to non-US investors. This is a US federal requirement that applies to all non-US investors worldwide—not a CUSP fee.

Here's how it works in practice: The U.S. withholding tax is automatically deducted at the source by CUSP Wealth’s U.S. brokerage partner, Alpaca. Investors do not need to take any action, as the tax is withheld before the dividends are credited to their accounts.

No forms, no action needed; it's handled entirely in the background. Your monthly statement will provide a clear breakdown of total dividends paid, tax withheld, and net amounts credited to your account.

US stocks and ETFs held by non-US investors are subject to US Estate Tax above a $60,000 threshold — at rates of up to 40% — only in the event of the holder's death. This applies regardless of platform or nationality. If your portfolio approaches this threshold, consider speaking with a qualified tax or estate advisor.

Note: This is general information, not tax advice. Tax rules vary by country and can change; consult a qualified advisor for your specific situation.