Form descriptions - Standard refund - Canadian equities
For a standard refund of withholding tax on income from Canadian equities, the documentation requirements are as follows:
For Residents of a DTT country who qualify as non-resident according to Form NR301 (General), NR302 (Partnerships) or NR303 (Hybrid entities) and Tax-exempt entities:
- Letter of Request to Clearstream Banking for Reclaim of Canadian Withholding tax;
- Request for Refund from the Canada Revenue Agency;
- NR7-R Application for Refund of Non-resident Tax Withheld;
- Beneficial Ownership Affidavit with Registered Ownership (notarised);
- Credit Advice.
Plus, for Tax-exempt entities only:
- A Withholding Tax Exemption Letter issued by the CRA.
N.B.: In order to obtain the refund, beneficial owners may be required, upon request, to provide other supporting documentation, such as CRA Form NR301, NR302 or NR303.
Form descriptions are presented according to the procedures available for relief and/or reclaim of withholding tax on income from Canadian equities.
Letter of Request to Clearstream Banking for Reclaim of Canadian Withholding Tax
This authorises Clearstream Banking to reclaim withholding tax from the Canadian Tax Authorities on the customer's behalf.
How many are provided? | One per reclaim application. |
Who completes it? | Customer. |
How often is it provided? | Per reclaim application. |
When is it provided? | At the latest, three months before the statutory deadline. |
Copy or original? | Original required. |
Request for Refund from the Canada Revenue Agency
This authorises the CRA to make the refund on Clearstream Banking’s account with its depository and it indicate the relationship between the beneficial owner, Clearstream Banking and its depository.
How many are provided? | One per reclaim application. |
Who completes it? | Beneficial owner. |
How often is it provided? | Per reclaim application. |
When is it provided? | At the latest, three months before the statutory deadline. |
Copy or original? | Original required. |
NR7-R Application for Refund of Non-Resident Tax Withheld
The Canadian Tax Authorities withholding tax refund form NR7-R is to be used for all beneficial owners eligible for a tax reclaim.
N.B.: The "Mailing address (authorised) C/O" part must be left blank for completion by Clearstream Banking.
How many are provided? | One per reclaim application. |
Who completes it? | Beneficial owner or customer under Power of Attorney. |
How often is it provided? | Per reclaim application. |
When is it provided? | At the latest, three months before the statutory deadline. |
Copy or original? | Original required. |
Beneficial Ownership Affidavit with Registered Ownership (notarised)
The affidavit is required to confirm and connect all those involved in the payment chain of the income. The document must be notarised.
How many are provided? | One per reclaim application. |
Who completes it? | The financial institution with whom the beneficial owner holds the securities. |
How often is it provided? | Per reclaim application. |
When is it provided? | At the latest, three months before the statutory deadline. |
Copy or original? | Original required. |
Credit Advice
Identifies dividend payment details including the security type, gross amount of payment, date of payment and amount of tax withheld. The credit advice must reconcile with the information in the refund form. If the beneficial owner is the customer's client, the credit advice from the customer to the beneficial owner must be provided.
How many are provided? | One per beneficial owner. |
Who completes it? | The financial institution with whom the beneficial owner holds the securities. |
How often is it provided? | Per reclaim application. |
When is it provided? | At the latest, three months before the statutory deadline. |
Copy or original? | Original required. |
Withholding Tax Exemption Letter issued by the CRA
The Certificate of Exemption indicates the tax-exempt status of the beneficial owner of the securities as granted in the letter by the Canada Revenue Agency (CRA).
Eligible beneficial owners must contact the CRA and submit an application to request recognition. Once a favourable Certificate of Exemption is issued, the original should be sent to Clearstream Banking.
Note: Each ruling from the CRA is on a case by case basis.
How many are provided? | One per beneficial owner. |
Who completes it? | The Canada Revenue Agency. |
How often is it provided? | Original once; certified copies for further reclaims. To be renewed at expiry date. Customers are responsible, at all relevant times, to monitor the expiration of such letter and either to obtain renewal of such letter or, immediately on expiration of such letter, to provide instructions to have the correct applicable Canadian withholding tax deducted and that Clearstream Banking has no responsibility or liability in this regard. |
When is it provided? | At the latest, three months before the statutory deadline. |
Copy or original? | Original or authenticated copy required. |