Upcoming Payments and Market Updates: Q2 2024
Upcoming Payments
Upcoming Statutory Deadline
Telefonica S.A.
American Depositary Shares (ADSs)
CUSIP / ISIN: 879382208 / US8793822086
ADS Payment Date: July 17, 2020
The statutory deadline in Spain for reclaiming withholding tax is four years following the Ordinary Share dividend payment date. Hence, a deadline of May 20, 2024 applies to the Ordinary Share dividend paid on July 3, 2020.
The local tax representative and reclaim agent’s (Banco Bilbao Vizcaya Argentaria, SA or “BBVA”) deadline is one month prior to the statutory deadline, which makes it June 3, 2024.
Please be advised that Acupay will be employing a deadline prior to BBVA’s deadline to ensure timely submissions. The Acupay deadline is May 20, 2024, as stated in the DTC Important Notice published on June 17, 2020.
Please note that any documentation received after BBVA’s deadline will be processed on a reasonable commercial effort basis, and BBVA will charge a non-refundable late fee of EUR 200 per reclaim, which will be agreed upon with clients prior to BBVA processing such late reclaims.
Tax Treaty Changes
Hong Kong/Mauritius
The 2022 tax agreement between Hong Kong and Mauritius that entered into force on 23 June 2023 will be applicable in Hong Kong with respect to Hong Kong tax for any year of assessment beginning on or after 1 April 2024. In Mauritius, the tax agreement has been applicable since 1 July 2023.
For dividends, this treaty will allow companies that hold at least 10% of the capital of the payer company for a 365-day period to be paid at a withholding tax rate of 0% (see Footnote below for additional information). Apart from that, a 5% withholding tax rate will apply.
For interest and royalties, a 5% withholding tax rate will apply.
Nothing on this page is intended to constitute financial, legal, or tax advice.
Footnote: The interest payment date must be included in the 365-day holding period. When determining the period, changes in ownership directly resulting from a corporate reorganization of the company that holds the shares or the payer company will not be taken into account.