Euroclear Bank Launches Electronic Tax Relief Service
Euroclear Bank has launched an electronic tax relief and reclaim management service, TaxGenix. The service will help market participants automate the filing for, and processing of, tax relief and tax reclaims involving international and domestic securities from 28 markets worldwide.
Holders of foreign bonds, equities and taxable Eurobonds are often subject to withholding taxes, depending on the jurisdiction of the instrument. Given the lack of harmonised tax laws and procedures across the global capital markets, successfully attaining relief or reclaims of taxes already paid in a timely manner is an administrative burden.
TaxGenix helps clients to centrally and electronically manage their ‘quick’ tax reclaim and ‘relief-at-source’ filings across a large range of securities held in Euroclear Bank. It improves processing time and back-office efficiency, and will be free of charge until mid-2011.
Catherine Delory, head of tax administration at Bank Degroof, said: “TaxGenix has great added value. From just one interface, it is possible to input tax certifications, provide tax breakdowns and consult tax reports. Furthermore, all of our pending claims are updated and accessible in real time, providing intelligence on exactly where in the lifecycle each claim is situated.”