Greece: Confirmation of taxation of corporate bonds
Effective
immediately
the provision of equal tax treatment for government bonds and corporate bonds was not reinstated in the new Law 4254/2014 of 31 March 2014.
This is further to our Announcement L14002, dated 2 January 2014 and our Taxflash LT14011, dated 29 January 2014.
Impact on customers
Withholding Tax
The 15% tax rate applicable to non-resident individuals and legal entities on interest distributions from corporate bonds as foreseen in Law 4172/2013 continues to apply.
Note: Relief at source and reclaim of withholding tax on interest from Greek corporate bonds are currently not available through Clearstream Banking1.
Capital Gains Tax
We remind customers that no capital gains tax (CGT) is applied on Greek securities held in Clearstream Banking. However, final beneficial owners that are liable to CGT are responsible for declaring the gains to their local tax authorities. Beneficial owners should consult with their tax advisor on this matter.
Further information
For further information, customers may contact the Clearstream Banking Tax Help Desk on:
| Luxembourg | Frankfurt | Singapore | |
| Email: | tax@clearstream.com | tax@clearstream.com | tax@clearstream.com |
| Telephone: | +352-243-32835 | +49-(0) 69-2 11-1 3821 | +65-6597-1665 |
| Fax: | +352-243-632835 | +49-(0) 69-2 11-61 3821 |
or Clearstream Banking Client Services or their Relationship Officer.
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1. Clearstream Banking refers collectively to Clearstream Banking AG, registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500 (CBF) and Clearstream Banking S.A., 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).
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