On 11 December 2017, the European Commission put forward new guidelines on withholding taxes, designed to help Member States reduce costs and simplify procedures to recover withholding taxes for cross-border investors in the EU.
On 11 December 2017, the European Commission put forward new guidelines on withholding taxes, designed to help Member States reduce costs and simplify procedures to recover withholding taxes for cross-border investors in the EU. The guidelines are intended to apply to cross-border passive income (mainly dividends, interest and royalties), sourced in an EU Member State and paid to EU residents and to non-residents.
The new voluntary guidelines form part of the EU's Capital Markets Union Action Plan and contain a range of practical ways for Member States to address key issues including:
· measures to help smaller investors for whom the rules on the refund of withholding tax are overly complex
· the creation of user-friendly digital forms to apply for withholding tax relief in the case of overpayment
· a reliable and effective timeframe for tax authorities for the granting of withholding tax relief
· a single point of contact in Member State tax administrations to deal with questions from investors on withholding tax
On 11 December 2017, the European Commission put forward new guidelines on withholding taxes, designed to help Member States reduce costs and simplify procedures to recover withholding taxes for cross-border investors in the EU.
On 11 December 2017, the European Commission put forward new guidelines on withholding taxes, designed to help Member States reduce costs and simplify procedures to recover withholding taxes for cross-border investors in the EU. The guidelines are intended to apply to cross-border passive income (mainly dividends, interest and royalties), sourced in an EU Member State and paid to EU residents and to non-residents.
The new voluntary guidelines form part of the EU's Capital Markets Union Action Plan and contain a range of practical ways for Member States to address key issues including:
· measures to help smaller investors for whom the rules on the refund of withholding tax are overly complex
· the creation of user-friendly digital forms to apply for withholding tax relief in the case of overpayment
· a reliable and effective timeframe for tax authorities for the granting of withholding tax relief
· a single point of contact in Member State tax administrations to deal with questions from investors on withholding tax
