Quick refund - eligibility, documentation, deadlines - Belgian equities (Securities held in CBF)
Who can apply for a quick refund?
A quick refund of withholding tax on dividends from Belgian equities is available through LuxCSD for beneficial owners who did not obtain relief at source, as follows:
| Eligible beneficial owners | Effective rate of tax after refund | Tax refund available a |
Residents of Double Taxation Treaty (DTT) countries | Tax treaty rate or 30%, whichever is lower | 30% minus the tax treaty rate b |
Supranational or international organisations | 0% | 30% |
Foreign companies holding “qualifying” participation | 0% | 30% |
a. Expressed as a percentage of the gross dividend amount.
b. Amount of refund will be 0% if the DTT rate exceeds 30%.
Important note:
Currently, there is no legal basis for a quick refund procedure under the Belgian law. LuxCSD can give no guarantees about the quick refund service as it is based on market practice and all applications will depend on the goodwill of the paying agent and/or the issuer. Although LuxCSD will assist its customers with quick refund applications, it can only remit to customers’ accounts the amount that it receives.
Documentation requirements
There are different documentation requirements depending on the amount of reclaim, status and residency of the beneficial owner.
For residents of Double Taxation Treaty (DTT) countries:
- Form 276-Div.-Aut. The form must be completed by the beneficial owner or its representative and stamped by the tax authorities of the beneficial owner’s country of residence;
- Full chain of original Credit Advices provided for each quick refund application by each intermediary between the final beneficial owner and LuxCSD;
- Power of Attorney from the final beneficial owner (if Form 276-Div.-Aut. signed by a third party);
- Power of Attorney from the LuxCSD customer (upon request);
- Per-payment Corporate Action instruction.
For supranational or international organisations:
- Annexe 229 - Attestation de propriété in the name of each beneficial owner concerned;
- Full chain of original Credit Advices provided for each quick refund application by each intermediary between the final beneficial owner and LuxCSD;
- Power of Attorney from the final beneficial owner (if Annex 229 signed by a third party);
- Power of Attorney from the LuxCSD customer (upon request);
- Per-payment corporate action instruction.
For foreign companies holding “qualifying” participation:
- foreign companies with minority participation claiming exemption:
- Self-declaration for exemption of dividend withholding tax art. 264/1
- Power of Attorney from the final beneficial owner (self declaration signed by a third party);
- Power of Attorney from the LuxCSD customer (upon request);
- per payment corporate action instruction.
- foreign companies with substantial participation claiming exemption
- Self-declaration for exemption of dividend withholding tax
- Power of Attorney from the final beneficial owner (if self declaration signed by a third party);
- Power of Attorney from the LuxCSD customer (upon request);
- per payment corporate action instruction.
Form descriptions are presented according to the procedures available for relief and/or reclaim of withholding tax on income from Belgian equities.
Deadline for receipt of documents
Documentation for a quick refund of withholding tax on dividends from Belgian equities must be received by LuxCSD at the latest three business days after the interest payment date, by 10:00 CET.
When are refunds received?
The estimated time for receiving a quick refund of withholding tax on Belgian securities is one month from the date on which LuxCSD receives the certified documents.
However, it should be noted that LuxCSD can give no guarantees about the quick refund procedure as it is based on market practice and all applications will depend on the goodwill of the paying agent and/or the issuer. Although LuxCSD will assist its customers with quick refund applications, it can only remit to customers' accounts the amounts that it receives.