I have both, a German and an American citizenship but I was born and to this day live in Germany.
Now, I have some stocks with Computershare, meaning they are sitting in the States.
To my understanding, Germans would now fill out a W8 (W-8BEN) form so that the American broker becomes aware that the double tax agreement is relevant in this case and therefore Germans would only have to tax their profits from selling stock in Germany (25%).
But in my case, I guess since I have an SNN, my account has a W9 Form attached to it. I have the option to replace the W9 with a W8, but apparently, the W8 applies if you're “not a US person”, which I, as I understood, am due to my US citizenship.
Does any of you know how taxation would work in my case? Does the double tax agreement still apply to me, since I live and pay taxes in Germany, or do I also have to pay taxes to the IRS due to my US citizenship, meaning that I would have to tax my profit twice?
Also, Grammarly tells me that it is “I have both, a German and an American citizenship. Is that really correct?
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