France: Standard refund - Clarification of applicable procedure in the event of deceased beneficial owners
Following recurrent queries concerning the applicable process to reclaim tax in situations where the final beneficial owner (BO) has died, Clearstream Banking1 has clarified the requirements with the French Tax Authorities.
the tax on dividends paid to deceased beneficial owners can be reclaimed by the heirs by the intermediary of the notary (or equivalent according to the countries) in charge of liquidating the inheritance.
The following documentation must be completed and signed by the notary (or equivalent):
- Form 5000 and 5001 in the name of the deceased person who was the owner of the securities at the moment of the payment of the dividends;
- An attestation from the notary (or equivalent) indicating the names of the heirs and their percentage in the inheritance.
Note: Any Power of Attorney (POA) that was signed by the BO in favour of a third party before they have died, automatically expires with the death.
The refund is paid to the notary who will distribute the amount to the heirs based on their percentage.
The usual deadlines for reclaiming tax on French dividends remain applicable. Customers should refer to the Market Taxation Guide – France.
For further information, please contact the Clearstream Banking Tax Help Desk, Clearstream Banking Client Services or your Relationship Officer.
1. Clearstream Banking refers collectively to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248, and Clearstream Banking AG, registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany, and registered in Register B of the Amtsgericht Frankfurt am Main, Germany, under number HRB 7500.