Form descriptions - Quick refund - Canadian trust instruments
For quick refund of withholding tax on income from Canadian trust instruments, the documentation requirements for residents of a DTT country who qualify as non-resident according to Form NR301 are as follows:
- One-Time Certificate - Canadian Equities and Trust Instruments;
- Per-Payment Instruction;
- CRA Form NR301 (when applicable);
and, upon request:
- List of Beneficial Owners - Canadian Securities;
- CRA Form NR301 (from customers acting as intermediary);
- Certificate of Residence.
Important note:
Customers acting as Swiss intermediary for final beneficial owners of Canadian trust instruments are required to submit a One-Time Certificate - Canadian Equities and Trust Instruments - Swiss Intermediary only.
One-Time Certificate - Canadian Equities and Trust Instruments (Own Assets, Client Assets or Own and Client Assets)
One-time certification that provides information regarding the Clearstream Banking customer, stating that it holds Canadian equities and/or trust instruments on behalf of one or more beneficial owners that are entitled to apply for a quick refund.
or, as appropriate,
One-Time Certificate - Canadian Equities and Trust Instruments – Swiss Intermediary
One-time certification that provides information regarding the Clearstream Banking customer, stating that it holds Canadian equities and/or trust instruments in its role as Swiss intermediary and confirming that it will be compliant with any of its obligations as stated in the Double Taxation Treaty (DTT) between Canada and Switzerland and in the terms of the Canadian Information Circular IC76-12.
How many are provided? | One per Clearstream Banking account. |
Who completes it? | Customer. |
How often is it provided? | Once. Valid until revoked. |
When is it provided? | When requesting the quick refund, but no later than 10:00 CET on the 5th calendar day of the year following the income payment (or the last business day before this if the 5th is not a business day). |
Copy or original? | Original required. |
Per-Payment Instruction
Customers must submit their per-payment instruction, if applicable, via an MT565 Corporate action instruction message in Xact via Swift or a Corporate action instruction in Xact Web Portal, when requesting quick refund on dividends from Canadian trust instruments; and no longer via the Clearstream BO Upload function.
The per-payment instruction must be provided for each tax rate and country of tax residence requested, if applicable, and must include:
- Your account number;
- ISIN code;
- Corporate ID;
- Total holding;
- Number of shares for which the reduced or exempt tax rate applies.
Additionally, the following formatting information is required:
Xact via Swift | Xact Web Portal |
Sequence C: Beneficial Owner’s details – BENODET | Beneficial owner details |
:94C: DOMI Country of Domicile | Country of domicile (for beneficial owner details) |
:95V: OWND Beneficial Owner Note: Only required if eligible for full tax exemption (0%). | The beneficial owner’s details under the “Party”. Note: Only required if eligible for full tax exemption (0%). |
Sequence D: Corporate Action Instruction – CAINST | Corporate action instruction |
:92a: TAXB Requested Tax Rate | Requested Withholding Tax Rate (%) |
Note: The requirement to provide a tax rate is not applicable to instructions sent for the following Corporate Action events on the Canadian market, due to specific notifications sent for these events:
Swift CA Event Indicator (CAEV) | Description | Mandatory/Voluntary Indicator (CAMV) |
DVCA | Currency Option on Dividend | CHOS |
DRIP | Dividend Reinvestment | CHOS |
DVOP | Dividend Option | CHOS |
For such events, either:
- a specific option number needs to be selected;
or
- for customers interested in the SECU option, the tax rate is available and needs to be provided in the respective field of the instruction.
For full formatting requirements of these instructions, customers should refer to the MT564 Corporate Action event notification and to the Xact via Swift User Guide.
How many are provided? | One per Clearstream Banking account. |
Who completes it? | Customer. |
How often is it provided? | Per quick refund application. |
When is it provided? | When requesting the quick refund, but no later than 10:00 CET on the 5th calendar day of the year following the income payment (or the last business day before this if the 5th is not a business day). |
Copy or original? | The per-payment instruction must be delivered via Xact via Swift (formatted MT565) or Xact Web Portal message. |
NR301 Declaration of Eligibility for Benefits under a Tax Treaty for a Non-Resident Taxpayer
Customers holding proprietary assets must submit, directly to Clearstream Banking, a Form NR301 signed by themselves as final beneficial owner qualifying for Double Taxation Treaty (DTT) relief as non-resident according to Form NR301.
Customers holding assets as intermediary must receive and retain a Form NR301 signed by the final beneficial owner qualifying for DTT relief as non-resident according to Form NR301 and must provide it promptly to Clearstream Banking upon request at any time.
N.B.: Form NR301 must be dated before the first relevant income payment.
How many are provided? | One per beneficial owner. |
Who completes it? | Beneficial owner. |
How often is it provided? | Once. Valid for three years from the end of the calendar year in which it is signed and dated by the final beneficial owner, unless there is a change in the taxpayer’s eligibility for treaty benefit, in which case a new form must be provided immediately. |
When is it provided? | (Own assets) when requesting the quick refund, but no later than 10:00 CET on the 5th calendar day of the year following the dividend payment (or the last business day before this if the 5th is not a business day). (Intermediary) upon request. |
Copy or original? | Original required. |
List of Beneficial Owners - Canadian Securities
Provides the list of beneficial owners that obtained the reduced rate at source.
Who completes it? | Customer. |
How often is it provided? | Upon request. |
When is it provided? | Upon request. |
Copy or original? | Original required. |
Certificate of Residence
A Certificate of Residence with the beneficial owner’s full name and address issued by the beneficial owner’s tax authorities.
How many are provided? | One per beneficial owner. |
Who completes it? | Beneficial owner’s tax authorities. |
How often is it provided? | Upon request. |
When is it provided? | Upon request. |
Copy or original? | Original required. |