Australia: Australian non-taxable debt securities : Reminder
We hereby remind customers of Clearstream Banking1 that they must provide us with the Tax File Number (TFN) or Australian Business Number (ABN) of Australian resident beneficial owners in order for such beneficial owners to be eligible for the 0% withholding tax rate on interest from Australian non-taxable debt securities.
Interest payments paid to undisclosed Australian residents for which no ABN/TFN is provided shall be subject to the maximum withholding tax rate (currently, 46.5%) according to the information made available to Clearstream Banking by the customer.
Background
Interest on the following Australian non-taxable debt securities held in Clearstream Banking is not subject to withholding tax in Clearstream Banking:
- Securities compliant with Section 128F of the Australian Income Tax Assessment Act 1936;
- Australian Commonwealth Treasury Notes;
- Global Bonds Denominated in AUD (“Matildas”).
Clearstream Banking applies 0% withholding tax by default for the above-listed securities and the interest is systematically paid gross with no action, certification or tax instruction required, from the customer or from the beneficial owner, to obtain exemption for non-resident beneficial owners.
Impact on customers
Customers holding Australian non-taxable debt securities on behalf of an Australian resident beneficial owner are requested, in order to be eligible for the 0% rate, to provide to Clearstream Banking, via a per-payment Breakdown of Holdings and no later than three business days before each payment date by 10:00 CET, the TFN or ABN of such beneficial owner.
Further information
For further information, customers may contact the Clearstream Banking Tax Help Desk on:
| Luxembourg | Frankfurt | |
| Email: | tax@clearstream.com | tax@clearstream.com |
| Telephone: | +352-243-32835 | +49-(0) 69-2 11-1 3821 |
| Fax: | +352-243-632835 | +49-(0) 69-2 11-61 3821 |
or Clearstream Banking Customer Service or their Relationship Officer.
------------------------------------------
1. Clearstream Banking refers collectively to Clearstream Banking AG, registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in the Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500 (CBF) and Clearstream Banking, société anonyme, registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Register of Commerce and Companies under number B-9248 (CBL).
| As a registered customer, subscribe to our free email alerts service to receive immediate, daily and/or weekly notification of the latest customer publications on our website. Unsubscribe at any time; we respect your email privacy. |