Sweden: Relief at source and quick refund available on dividend withholding tax for investment funds

Further to our Announcement A12028, dated 6 February 2012, and effective

immediately

qualifying funds (as described below) are exempt from Swedish withholding tax on dividends and are eligible for relief at source via Clearstream Banking.

As a consequence, the following beneficial owners could benefit from relief at source from Swedish withholding tax on dividends:

• Funds established in accordance with the UCITS directive (2009/65/EC); and
• Non-UCITS funds that are authorised by the Swedish Financial Supervisory Authority to market and sell units in the fund in Sweden.

Eligibility

Eligible funds are those that qualify as "fund undertakings" (fondföretag) as defined in the Swedish Investment Funds Act (lag om investeringsfonder) and are domiciled as follows:

• Within the European Economic Area EEA; or
• In a state with which Sweden has entered into a tax treaty that contains an article on exchange of information; or
• In a state with which Sweden has entered into an agreement on the exchange of information in tax matters.

Impact on customers

The impacts on customers with regard to the relief and reclaim procedures are described in the following sections.

Relief at source

To obtain relief at source, customers should provide:

• A One-Time Certificate for Swedish Equities (as attached below), submitted before the first applicable interest payment date; and
  
• A List of Beneficial Owners to be received one business day after the record date of each dividend payment; and
  

• For funds established in accordance with the UCITS directive (2009/65/EC), a certificate issued by the local tax authorities stating that the fund is so established; or
  
• For Non-UCITS funds authorised by the Swedish Financial Supervisory Authority to market and sell units in the fund in Sweden, a certificate from the Swedish Financial Supervisory Authorities stating that the fund is so authorised.

Quick refund

Within six weeks from the record date, customers can apply for a quick refund by providing Clearstream Banking with the same documentation as for applications to obtain relief at source.

Standard refund

Currently, standard refund is available, for eligible qualifying funds only, directly via the Swedish Tax Authorities.

Further information

We continue to monitor the situation for any new developments and will provide more information as it becomes available.

For further information, please contact the Clearstream Banking¹ Tax Help Desk on:

or Clearstream Banking Customer Service or your Relationship Officer.

1. 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, L-1855 Luxembourg, and registered with the Luxembourg Register of Commerce and Companies under number B-9248 (CBL).