Spain: Impact of RD 1145/2011 on Generalitat Valenciana bonds

Further to our Announcement A11153, dated 17 October 2011, and effective

immediately

in order to comply with the provisions of Royal Decree 1145/2011 ("RD 1145/2011"), Bolsa de Barcelona, as paying agent, has confirmed the new and Quick Refund Refund tax procedures for bonds issued by the Generalitat Valenciana.

The tax procedure and disclosure obligations for Spanish residents are the same as those currently in place for public debt securities issued by the Spanish Treasury and by Autonomous Communities and paid by Bank of Spain, as described in Announcement A11153.

Specific deadlines

The deadlines for the receipt of tax information by Clearstream Banking¹ are different from the one imposed by other paying agents. According to Generalitat Valenciana and Bolsa de Valenciana requirements, the deadlines are as follows:

• For Immediate Refund: at least two business days before the respective payment, by 12:00 CET;
  
• For Quick Refund: at the latest by the twenty-fifth calendar day after the respective payment date.

We remind customers that any instruction, tax certification or amendment received after the Immediate Refund deadline will have as result the rejection of the application and the reclaim will have to be submitted via the Quick Refund procedure.

Furthermore, all declared positions must be accurate on the relevant record date (that is, one business day before payment date) at 19:00 CET. If there is a discrepancy between the declared positions and the customer’s total holding visible in the books of Clearstream Banking, the application for tax exemption will be rejected and, consequently, the maximum standard tax rate of 19% will be applied.

One-Time Certificate

The One-Time Certificate for Spanish Government Bonds, Generalitat de Catalunya Bonds, Generalitat Valenciana Bonds and Basque Bonds must be submitted (see the PDF file attachment).

Customers that have already provided a valid One-Time Certificate for Spanish Government Bonds, Generalitat de Catalunya Bonds and Basque Bonds to certify their account do not need to provide the new above-mentioned version of the One–Time Certificate.

Further information

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

or Clearstream Banking Customer Service or your Relationship Officer.

1. Clearstream Banking refers to 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).