Equities - rates, eligibility, availability of relief etc. - Spain
Withholding Tax
| Standard rate of withholding tax: | 19% | Holding requirements / restrictions: | No |
Availability of relief
Click on the image for a larger view of the diagram showing the availability of relief at source and/or reclaim of withholding tax on income from Spanish equities.
| Eligible beneficial owners | Immediate refund | Quick Refund | Standard Refund |
| Residents of Double Taxation Treaty (DTT) countries | No | Yes | Yes |
| Supranational organisations recognised as such by Spanish law | No | Yes | Yes |
| EU/EEA pension funds and Collective Investment Vehicles (CIVs) | No | No | Yes |
Immediate refund (relief at source) of withholding tax on dividends from equities is not available in the Spanish market.
A full quick refund is available for beneficial owners that are supranational organisations recognised by Spanish law, provided that the appropriate documentation is submitted to Clearstream Banking.
A partial quick refund is available for beneficial owners that are residents of countries that have concluded a DTT with Spain, provided that the appropriate documentation is submitted to Clearstream Banking.
Note: To recover tax withheld on dividend payments, beneficial owners that are EU/EEA pension funds or CIVs must file their reclaim applications with the Spanish Tax Authorities. Consequently, the respective 0% and 1% tax rates cannot be obtained through the quick refund procedure.
A standard refund is available if a quick refund has not been obtained by an eligible beneficial owner. The customer can reclaim withholding tax on behalf of the beneficial owner through Clearstream Banking by submitting the appropriate documentation.
Residents of Spain cannot reclaim withholding tax through Clearstream Banking.