Stocks - Is the gain or (loss) reported on this form effectively connected with U.S. trade or business, or in result of the sale or exchange of U.S. real property?

[pragnareddye]

I have sold Vanguard S&P 500 ETF in robinhood. Is answer to this question "Yes" or "No"- Is the gain or (loss) reported on this form effectively connected with U.S. trade or business, or in result of the sale or exchange of U.S. real property?

[DDollar · Accepted solution]

You would answer that question "No".  It was not a part of your business, nor was it for the sale of real estate.

[pragnareddye]

Thank you. I am non resident, will that still apply ? Selling stock is not considered connected to U.S trade or business?

[DDollar]

Not unless buying and selling stock is a part of your business.   you would know if it was.

[pragnareddye]

Thanks a lot for your response

[DDollar]

You're welcome.  I hope you found the answer helpful!