Form descriptions – Relief at source – Portuguese equities – CBL
Information is provided here about the forms and their use in relation to the procedure for relief at source of withholding tax on income from Portuguese equities, as follows:
Position Breakdown Report (PBR)
The PBR is a reporting requirement to be provided before each dividend payment. It includes the position held at record date by each beneficial owner applying for tax relief.
How many are provided? | One per Clearstream Banking account. |
Who completes it? | Client. |
How often is it provided? | Per dividend payment. |
When is it provided? | At the latest, one (1) business day before the record date of the dividend payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |
Form Mod. 21-RFI
The Mod. 21-RFI contains the beneficial owner's information and the dividend payment details. It must be stamped (legal entities or legal representative) and signed by the beneficial owner. It must be accompanied by a separate COR. Box III of the form contains a tick box to mark the attachment of the COR. This is mandatory.
A Spanish version is available to the residents of Spain. For further completion guideline, refer to Completing Mod. 21-RFI.
The Mod. 21-RFI is valid for one (1) year date-to-date, unless otherwise specified on the accompanying COR.
Exception: Valid until revoked for central banks and government agencies domiciled in a country that has a DTT in force with Portugal.
Important: Clearstream Banking only requires page 1 (Copy for the entity obliged to withhold tax) and 4 of Mod. 21-RFI. It must be printed double-sided with page 4 on the reverse side of page 1.
How many are provided? | One per beneficial owner. |
Who completes it? | Beneficial owner or its legal representative under POA. |
How often is it provided? | Annually except for central banks and government agencies (once until revoked). |
When is it provided? | At the latest, one (1) business day before the record date of the first dividend payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |
Certificate of Residence
A COR signed and stamped by the beneficial owner’s local tax authorities is required as a certification of the Mod. 21-RFI.
To be valid, the COR must fulfil two conditions:
- confirm the residency of the beneficial owner for tax purposes and cover the period when the withholding tax took place; and
- confirm that the beneficial owner is subject to tax in its country of residence.
No specific guidelines were issued by the Portuguese Tax Authorities concerning the wording that should be included on the COR. Based on advice received from BNP Paribas Securities Services, a COR should be acceptable if and when it includes either the express reference “liable to income tax” (rather than subject to tax) or a reference to the article 4 of the tax treaty.
How many are provided? | One per Mod. 21-RFI |
Who completes it? | Beneficial owner’s local tax authorities. |
How often is it provided? | Per Mod. 21-RFI completed |
When is it provided? | Together with the Mod. 21-RFI. |
Copy or original? | Original. |
Per-payment instruction
The per-payment instruction must be provided per tax rate either via Xact Web Portal or Xact via Swift. It must include:
- Client account number;
- ISIN code;
- Corporate ID;
- Instructed quantity (according to the eligible balance in the account);
- Tax rate to apply: to be included in field :92A::TAXB// for Xact via Swift users or tax rate field for Xact Web Portal users;
- Beneficial owner details, to be included in the BENODET sequence (for Xact via Swift users): Name, Tax Identification Number (TIN), address, country of residence, holding.
- Client's full contact details.
For full formatting requirements of these instructions, clients should refer to:
- The MT564 Corporate action event notification;
- Tax instruction formats in the Client Handbook;
- The Xact via Swift User Guide
Additionally, the following formatting information for equities is required:
Xact via Swift | Xact Web Portal |
Sequence C: Beneficial Owner’s details – BENODET | Beneficial owner details |
:95V: OWND Beneficial Owner | The beneficial owner’s details under the “Party”. |
:94C: DOMI Country of Domicile | Country of domicile (for beneficial owner details). |
:36B: OWND Quantity per BO | Quantity per BO under the “Quantity of securities owned”. |
:70E: CETI Certification/Breakdown | Exemption code (if exemption claimed) - from 1 to 8 and name of the legal basis if code 8 selected under the “Narrative”. |
:70E: CETI Certification/Breakdown | Type of investor under the “Narrative”. |
:95S: ALTE Alternate identification for a party Respecting the following format: :95S: ALTE//TXID/PT/TIN_VALUE where PT is the ISO country code | Portuguese Tax identification number under the “TIN”. |
How many are provided? | One per account and tax rate. |
Who completes it? | Client. |
| How often is it provided? | Per interest payment. |
| When is it provided? a | At the latest, one (1) business day before the first interest payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |
Power of attorney
If the client or a third party is completing the Mod. 21-RFI on behalf of the beneficial owner, a Power of Attorney must be provided to Clearstream Banking.
How many are provided? | One per Mod. 21-RFI. |
Who completes it? | Beneficial owner. |
How often is it provided? | Per Mod. 21-RFI completed. |
When is it provided? | Together with the Mod. 21-RFI. |
Copy or original? | Copy accepted. Clients must ensure that the original or a certified copy can be provided immediately upon request of the Portuguese tax authorities. |
Statement for Funds
This statement is a declaration certifying that the respective trust/fund is liable to tax in its country of residence and is not transparent. It must show a validity period and has to be certified by the BO’s local tax authorities.
How many are provided? | One per beneficial owner. |
Who completes it? | The beneficial owner and its local tax authorities. |
How often is it provided? | Annually. |
When is it provided? | At the latest, one (1) business day before the record date of the first dividend payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |
Statement for Swiss pension funds
This statement is a declaration certifying that the respective fund is 1) a pension fund in which individuals participate to secure old-age, disability and survivors' insurance and 2) is established, recognized for tax purposes and controlled under the laws of Switzerland, is liable to tax in its country of residence and is not transparent for tax purposes.
How many are provided? | One per beneficial owner. |
Who completes it? | The beneficial owner's local tax authorities. |
How often is it provided? | Annually. |
When is it provided? | At the latest, one business day before the record date of the first dividend payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |
Declaration for EU/EEA pension funds
The declaration aims at confirming that the following conditions are met:
- The pension fund grants exclusively the payment of retirement benefits (including pre-retirement or anticipated retirement), post-employment health benefits and, when provided on an ancillary basis, payment on death.
- The pension fund is managed by institutions performing Pension Plan Schemes under Directive 2003/41/EC of the European Parliament and the Council of 3 June 2003.
- The pension fund is the final beneficiary of the income.
It has to be completed and signed by the respective supervisory authority and is valid for a period of one (1) year counting from the respective date of issuance and must be received by Clearstream Banking in original.
No official template exists.
How many are provided? | One per beneficial owner. |
Who completes it? | The beneficial owner’s supervisory authority. |
How often is it provided? | Annually. |
When is it provided? | At the latest, one (1) business day before the record date of the first dividend payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |
Self-Declaration of holding period
Declaration duly completed and signed by the pension fund being the final beneficial owner, confirming since when the pension fund has been holding the Portuguese equities uninterruptedly.
No official template exists.
How many are provided? | One per beneficial owner. |
Who completes it? | The beneficial owner. |
How often is it provided? | Per dividend payment. |
When is it provided? | At the latest, one (1) business day before the record date of the dividend payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |
Self-Declaration for Tax Exemption/reduced Rates on Portuguese Bonds and Equities Beneficial Owner not Resident in Portugal
This statement is a self-certification certifying that the non-resident exempt entity is the effective beneficial owner of the dividend.
How many are provided? | One per exempt entity. |
Who completes it? | Beneficial owner. |
How often is it provided? | Per dividend payment. |
When is it provided? | At the latest, one (1) business day before the record date of the dividend payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |
Self-Declaration for Tax Exemption/reduced Rates on Portuguese Bonds and Equities Beneficial Owner resident in Portugal
This statement is a self-certification certifying that the resident exempt entity is the effective beneficial owner of the dividend.
How many are provided? | One per exempt entity. |
Who completes it? | Beneficial owner. |
How often is it provided? | Per dividend payment. |
When is it provided? | At the latest, one (1) business day before the record date of the dividend payment date to which it applies, by 10:00 CET. |
Copy or original? | Original. |