Quick refund - eligibility, documentation, deadlines - Belgian debt securities (Securities held in CBF)
Who can obtain a quick refund?
Provided that the issuer or paying agent accepts the amendment of the tax rate after payment date and the tax withheld at source has not been remitted to the Belgian Treasury, a quick refund of withholding tax on interest from Belgian debt securities deposited with Euroclear Belgium is available through LuxCSD for eligible beneficial owners, 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% c | 30% |
a. Expressed as a percentage of the gross interest amount.
b. Amount of refund will be 0% if the DTT rate exceeds 30%.
c. If the securities were effectively held by the beneficial owner for the full interest year.
Important note:
Currently, there is no legal basis for a quick refund procedure under the Belgian law. LuxCSD cannot give any 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 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 status of the beneficial owner:
Residents of Double Taxation Treaty (DTT) countries:
- Form 276-Int.-Aut. (or together with a Certificate of Residence if Section IV in Form 276-Int.-Aut. is not completed);
- 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-Int.-Aut. signed by a third party);
- Power of Attorney from the LuxCSD customer (upon request);
- Per-payment Corporate Action Instruction.
Supranational or international organisations:
- Attestation individuelle;
- Full chain of original Credit Advices provided for each quick refund application by each intermediary between the final beneficial owner and LuxCSD;
- Per-payment Corporate Action Instruction.
Deadlines for receipt of documents
The deadline for reclaiming withholding tax using the quick refund through LuxCSD is three business days after the interest payment date, by 10:00 CET.
When are refunds received?
The estimated time for receiving a quick refund is one month from the date on which LuxCSD receives the certified documents.
Note: LuxCSD cannot give any guarantees about the quick refund procedure as it is based on the market practice and all applications will depend on the goodwill of the paying agent and/or the issuer. Although LuxCSD will assist customers with quick refund applications, it can only remit to customers' accounts the amounts that it receives.