U.S.A.: French Financial Transaction Tax (FTT): Impact on ADRs


Further to our previous Announcements1 concerning the French law introducing a Financial Transaction Tax (FTT) (the “FTT Law”), we hereby remind customers that, as of trading date

Monday 3 December 2012

Depository Receipts, including American Depository Receipts (ADRs), that represent underlying securities that meet the taxation criteria will be in the scope of the FTT.


The FTT Law, establishing a 0.2% transaction levy, was adopted by the French Parliament and came into effect for all transactions traded and settled as from 1 August 2012.

A number of our Announcements2 provide the technical information that will enable customers of Clearstream Banking3 to report both taxable and exempted acquisitions and to fulfil their payment obligations to the French Tax Authorities.

Impacted ADRs

ADRs that represent underlying securities that meet the following criteria are impacted by the FTT Law:

  • Capital instruments (“titres de capital”) and assimilated securities (mainly equities);
  • Listed on a French or foreign regulated market;
  • Issued by companies whose:
    • Headquarters are located in France; and
    • Capitalisation exceeds EUR 1 billion on 1 December of the previous fiscal year.

Impact on customers

Please refer to our FTT Announcements, particularly A12194, which describe in detail the accountable parties, the types of transactions that are subject to tax, the standard schedule for tax payment and the declaration format.


It is the responsibility of the customer to fulfil all applicable requirements that result from the introduction of the FTT Law. In particular, customers must ensure their compliance with any applicable obligation to collect the relevant transaction data requested by the FTT Law as of 3 December 2012 for impacted ADRs as well as to proceed with the payment of the tax.

In order to comply with applicable requirements of the FTT Law, customers are strongly recommended to secure the advice and guidance of a professional tax advisor.


This Announcement is provided for information purposes only and does not aim to give any legal or tax advice. Clearstream Banking strongly recommends that customers assess whether and how their business is impacted by the FTT Law.

Clearstream Banking makes no guarantees, representations or warranties and accepts no responsibility or liability as to the veracity, accuracy or completeness of this document and under no circumstances will be liable for any loss or damage caused by reliance on any opinion, advice or statement made in this document.

Further information

The information herein provided is based on information currently available in the market and is subject to further update. The release of more information may impact the details presented herein. We will provide further details as they become available.
Specific information about the French Financial Transaction Tax is provided on the Clearstream website under Information Centre / Market Reference, as follows:

  • For ICSD, under ICSD / France / Creation Link Guide;
  • For CSD, under CSD / France.

For further information, customers may contact Clearstream Banking Customer Service or their Relationship Officer.

1. All FTT-related Announcements to date are available on our website in the Information Centre.
2. Such as A12057, D12028, D12034 and D12059.
3. Clearstream Banking refers collectively to Clearstream Banking AG, registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in the Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500 (CBF) and Clearstream Banking, société anonyme, registered office at 42, avenue John F. Kennedy and registered with the Luxembourg Register of Commerce and Companies under number B-9248 (CBL).

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