Form descriptions - Turkey
The use of the following forms is explained in relation to Turkish tax procedures:
Certificate of Residence
A Certificate of Residence, with the beneficial owner's full name, TIN and address, issued by the beneficial owner's tax authorities.
The Certificate of Residence must be in the original or an apostilled copy; it will be translated by a translation agency appointed by Clearstream's local depository and then notarised in Turkey by a notary appointed by Clearstream's local depository.
The translation agency offers translation facilities in several languages. However, additional translation costs may apply and the process may take longer if the documents are provided in a language other than English.
How many are provided? | One per beneficial owner. |
Who completes it? | Beneficial owner's tax authority. |
Copy or original? | Original or apostilled copy required. |
Specific to Tax ID request/registration:
How often is it provided? | Per Tax ID request/registration (only required for non-resident individual investors not claiming according to a DTT). |
When is it provided? | At the latest 15 business days before receipt of the securities in the customer account with Clearstream Banking. |
Certificate of Tax Residence
The Certificate of Tax Residence must be issued by the beneficial owner's tax authorities and include the following information:
- The beneficial owner's full name, TIN, date of establishment (corporates) or date of birth (individuals) and address;
- A reference to article 4 of the DTT or reference to the Double Taxation Convention between the country of residence of the beneficial owner and Turkey and may not contain phrases such as "exempt from tax" or "not liable to tax"; and
- The validity period (dd/mm/yyyy –dd/mm/yyyy)
NB: All issuers are requesting the Certificate of Tax Residence with clear validity period details. Therefore, if a local tax authority does not issue a Certificate of Tax Residence with the above format, then the certificate must as a minimum state “for the year YYYY”.
- A validity period dated in the current year will not be accepted for payments in the following year.
- The COTR must be dated in the same year that the dividend is paid but before the first relevant dividend payment date.
Important note: Should customers provide a Certificate of Tax Residence, on behalf of an underlying beneficial owner, with an “on the date” only (for example 19 January 2018), then Clearstream Banking and its custodian, TEB, will accept such a certificate and consider it valid from the “on the date” stated on the certificate until the end of the calendar year in which it is dated (for example, 19 January 2018 – 31 December 2018) under the following conditions:
- The Certificate of Tax Residence is also accepted by the paying issuer company of the dividend, to cover a payment date different from the date stated on the Certificate of Tax Residence; or
- In case of non-acceptance by the paying issuer, the customer will be able to provide another Certificate of Tax Residence on behalf of the underlying beneficial owner, covering the claimed payment date, within the issuer’s deadline, which may be within a very short time period.
- Clearstream Banking will not take any responsibility in respect to any losses, claims, penalties, taxes or interest thereon, should the paying issuer not deem such a Certificate of Tax Residence (with the “on the date” only) as valid in order to:
- prove the tax residency of the underlying beneficial owner (certain paying issuers may interpret “on the date” as if the beneficial owner was a tax resident on that specific date only); or
- apply a reduced tax rate on a Turkish dividend payment.
Such responsibility remains solely with the Clearstream Banking customer.
The Certificate of Tax Residence must furthermore be provided to Clearstream Banking in original. It will be translated by a translation agency appointed by Clearstream's local depository and then notarised in Turkey by a notary appointed by Clearstream's local depository. The translation agency offers translation facilities in several languages. However, additional translation costs may apply and the process may take longer if the documents are provided in a language other than English.
How many are provided? | One per beneficial owner. |
Who completes it? | Beneficial owner's tax authority. |
Copy or original? | Original required. |
Specific to Tax ID request/registration: | |
How often is it provided? | Per Tax ID request/registration (only required for non-resident investors claiming according to a DTT). |
When is it provided? | At the latest 15 business days before receipt of the securities in the customer account with Clearstream Banking. |
Specific to relief at source from withholding tax: | |
How often is it provided? | Annually. |
When is it provided? | No later than 09:00 CET 21 business days before the first dividend payment to which it applies. |
Certificate of Incorporation, the Articles of Association or the Prospectus (for non-individuals)
A Certificate of Incorporation, the Articles of Association or the Prospectus proves that the beneficial owner is a non-resident of Turkey. The essential items of information are the date and location of the establishment of the legal entity.
For sub-funds, the address of the managing company is accepted but the date of establishment must be that of the sub-fund, especially when this is different from that of the managing company. The prospectus of the sub-fund is accepted as an evidence.
The Certificate of Incorporation, the Articles of Association or the Prospectus must be in the original and apostilled; it will be translated into Turkish, either by the Turkish Consulate in the home country of the beneficial owner or by a translation agency appointed by Clearstream’s local depository, and then notarised in Turkey by a notary appointed by Clearstream’s local depository.
The translation agency offers translation facilities in several languages. However, additional translation costs may apply and the process may take longer if the documents are provided in a language other than English.
How many are provided? | One per beneficial owner. |
How often is it provided? | Per Tax ID request/registration. |
When is it provided? | At the latest 15 business days before receipt of the securities in the customer account with Clearstream Banking. |
Copy or original? | For a new tax ID request, the original, apostilled; for registering an existing TIN, a copy. |
Identity card copy (for Turkish residents)
An identity card copy (Turkish Resident ID card, driving licence or passport) containing the Turkish national ID number (Türkiye Cumhuriyeti Kimlik Numarası).
How many are provided? | One per Turkish national ID registration request. |
Who completes it? | Customer. |
How often is it provided? | Per Turkish national ID registration request. |
When is it provided? | At the latest 15 business days before receipt of the securities in the customer account with Clearstream Banking. |
Copy or original? | Copy required. |
Name change Instruction via free-format message
If there is a change in the beneficial owner’s name, legal status or incorrect tax has been applied etc., the customer is requested to provide Clearstream Banking's Tax Department with an Instruction (and other supporting documents) notifying Clearstream. Clearstream will then forward the instruction to its local depository, who in turn will notify the Turkish Tax Authorities accordingly.
How many are provided? | One per Tax ID or national ID number registration. |
Who completes it? | Customer. |
How often is it provided? | Per change of name, legal status or incorrect tax has been applied for a Tax ID or national ID number. |
When is it provided? | When the change of name, legal status or incorrect tax has been applied takes place. |
Copy or original? | Via SWIFT MT599. |
One-Time Certificate for Turkish Securities
The One-Time Certificate must be submitted before the customer can request a new Turkish Tax ID or register an existing Turkish Tax ID or Turkish national ID for its proprietary account and for any underlying beneficial owners.
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? | At the latest 15 business days before receipt of the securities in the customer account with Clearstream Banking. |
Copy or original? | Original required. |
Passport copy (for individuals)
The passport copy must be apostilled; it will be translated into Turkish by a translation agency appointed by Clearstream’s local depository. No notarisation is necessary.
How many are provided? | One per beneficial owner. |
How often is it provided? | Per Tax ID request/registration. |
When is it provided? | At the latest 15 business days before receipt of the securities in the customer account with Clearstream Banking. |
Copy or original? | Copy (apostilled) required. |
Request for Allocation of a New Turkish Tax ID
To obtain a Tax ID for their proprietary account and/or for any underlying beneficial owners, customers must submit a Request for Allocation of a New Turkish Tax ID.
How many are provided? | One per Tax ID request. |
Who completes it? | Customer. |
How often is it provided? | Per Tax ID request. |
When is it provided? | At the latest 15 business days before receipt of the securities in the customer account with Clearstream Banking. |
Copy or original? | Original required. |
Request for Registration of an Existing Turkish Tax ID or national ID number
To register an existing Tax ID or national ID number, customers must submit a Request for Registration of an Existing Turkish Tax ID or national ID number.
How many are provided? | One per Tax ID or national ID number registration. |
Who completes it? | Customer. |
How often is it provided? | Per Tax ID or national ID number registration. |
When is it provided? | At the latest 15 business days before receipt of the securities in the customer account with Clearstream Banking. |
Copy or original? | Original required. |