witholding for foreign resident

I January I took this year's required distribution from one of my pension accounts. In going over papers last week, I noticed they didn't deduct the witholding. I brought this up with one of the plan adminstrators, who said it was correct (they also always put domestic postage on my letters). When I file next year, of course the entire tax will be taken. In the meantime, do I have to do anything further.

Are you a US citizen? If so you should have filed a W-4P to set up your withholding., if not you file a W8-BEN

You can claim no withholding if you live in the US or are a non-resident alien with an appropriate treaty claim, but if you are a US citizen and have an overseas address you cannot claim no withholding.

How much you owe to the IRS next year will depend on your citizenship, residency and the amount of tax you pay to the UK that you can take credit for on you US tax return.

yes, i'm a usc resident in the UK. The plan switched over from Prudential (who did take the witholding) to Fidelity last year. Fidelity should have taken the witholding but the administrator didn't want to hear about it. So other than rectify it for the next distribution, I can't see that I can do any more now.

yes, i'm a usc resident in the UK. The plan switched over from Prudential (who did take the witholding) to Fidelity last year. Fidelity should have taken the witholding but the administrator didn't want to hear about it. So other than rectify it for the next distribution, I can't see that I can do any more now.

So what does it say on your W-4P?

Unless this is a ROTH in your situation there should be some withholding; 10% min on non-periodinc payments eg payments from an IRA.

Look at this thread for an example of how to calculate the tax payable to HMRC and IRS and I'd talk to Fidelity again about your W-4P and make sure they understand that you are non-resident and the payments are going outside the US.

http://talk.uk-yankee.com/index.php?topic=74347.0