Paying 30% and writing of 15% isn't the same as paying 15%.
1. Max return of capital just E26/share
2. Tax will be 30%
If you are talking about US, then your statement 2 does not make sense, sorry. It's either qualified divvie and you pay qualified divvie tax rate or it's not qualified divvie and then you pay income marginal tax rate. Maybe you are saying that it's not a qualified divvie, but then the rate will depend on your marginal tax rate and not gonna be 30%. 30% Belgian tax is mostly irrelevant to US investors, since they can write it off at tax time.
And that's not at all what happens.
Have you ever dealt with foreign qualified divvies in taxable account where foreign country taxes the divvie?
To spell out:
- You get divvie $D and are taxed X% by country Y. Amount of the tax $D*X%
- At US tax time you do two things:
- You declare $D as your divvie income and calculate US divvie tax $D*US%.
- You declare $D*X% as foreign tax paid and you get credit for it from your US taxes one-for-one. (You can also reduce your income by $D*X%, but that's bad choice and nobody does it).
So ultimately amount of X% is irrelevant. You get it all back. (And you pay US% which does matter).
There are limitations AFAIK. I've never run into them so far. Possibly because my foreign divvies and taxes on them have not been in huge amounts.