The Real Cost of Delays in Withholding Tax Recovery
In today’s financial world, the time value of money is more important than ever. Waiting to recover your excess withholding tax and incurring tax which could be avoided upfront could mean missed opportunities for reinvestment and growth.
Are US RICs Suffering Excess Withholding Tax?
For US fund managers, managing cross-border investments comes with its own set of challenges, particularly regarding taxes. One of the most significant issues is withholding tax leakage on dividend and interest income from foreign investments.
Spotlight on WTax’s People and Development Department: An Interview with Nicole Lieman
At WTax, the driving force behind our success is not only our cutting-edge services but our exceptional people. Nicole Lieman, Head of People and Development, shares the story of WTax’s journey, its commitment to fostering a positive workplace, and how the company continues to attract and retain top talent.
How Withholding Tax Recovery Supports ESG-Aligned Asset Management
In today's investment landscape, environmental, social, and governance (ESG) considerations are more important than ever. Institutional investors and asset managers are expected to align their practices with these principles.
Spotlight on WTax’s Tax Technical Team: An Interview with Lelanie Marais
As the head of WTax’s Tax Technical team, Lelanie Marais is at the forefront of navigating the complex and ever-changing landscape of withholding tax (WHT) for the company’s global client base. In this interview, she shares her insights into how WTax stays ahead of industry changes, the future of WHT, and what makes WTax a leader in the field.
Portugal ECJ Claims: A Comprehensive Timeline for Investment Funds
An Introduction to ECJ Claims One method for investment funds to seek withholding tax relief is through claims based on European Court of Justice (ECJ) legal precedent. When EU Member States impose different tax treatments on domestic and comparable foreign investment funds, it results in unjustified discriminatory tax practices that contravene the EU’s principle of free movement of capital, as outlined in Article 63 of the Treaty on the Functioning of the European Union.
Germany’s Bundesfinanzhof Landmark Decision: A Victory for Foreign Investment Funds
In a pivotal ruling, Germany’s Federal Financial Court (Bundesfinanzhof) has recently declared that foreign investment funds are entitled to a refund of dividend withholding tax previously paid. This decision, which addresses a longstanding issue of discriminatory tax practices against foreign investment funds for dividends received prior to 2018, marks a significant milestone in upholding equitable treatment under EU law. With substantial sums at stake, the refunds could lead to an increase in fund basis-points, offering a long-overdue remedy for years of unfair taxation.
Unlocking Immediate Value from Withholding Tax Claims Through WTax’s Claim Monetization Solution
In the fast-paced world of asset management, time is often as valuable as capital. For many funds and institutional investors, significant capital can be tied up in foreign withholding tax (WHT) reclaims, with a waiting period that could stretch from 12 to 48 months. This delay in receiving refunds not only hampers shareholder returns but also exposes investors to risks such as inflation, which erodes value over time.