The 23rd annual DTCC Global Tax Forum, one of DTCC’s longest-running client events, featured interactive discussions, panels, and Q&As on global tax issues. With more than 120 industry experts and clients gathered at the Convene Center in New York City, the April 20th event featured speakers and panelists from DTCC, Bank of America, Citi, PricewaterhouseCoopers, GlobeTax and Ernst & Young.
Related: Supporting the industry through LIBOR cessation
“DTCC continues to contribute its expertise to evolving issues in the global tax industry, and we value this exchange of ideas with clients,” said Ellis Levy, DTCC Managing Director, Tax. “The networking and conversations we’ve had today go a long way to helping us understand our clients’ perspectives, and especially how we can work together on operational and industry initiatives to respond to tax industry challenges.”
Adjusting to New Obligations
Panelists discussed 1446(f) withholding regulations for non-U.S. publicly traded partnerships, and other tax challenges faced by clients considering new regulations. The 1446(f) regulations impose a 10% withholding tax on dispositions of U.S. partnerships by non-U.S. investors and will be the first time that brokers and custodians will have tax withholding obligations on delivery vs. payment transactions.
Expansion of the Canada Tax Relief allows Swiss and UK pension funds to be eligible to receive Canadian sourced dividends free of withholding tax. This newly streamlined process no longer mandates funds in the UK and Switzerland to endure timely and costly process to reclaim taxes from the Canada Revenue Agency (CRA). Funds will now be paid in gross on payable date going forward. Continued efforts are also underway with the collaboration of the Puerto Rico Department of Treasury to streamline tax relief processes on Puerto Rican securities.
“Staying educated on all these topics is key to providing the best possible service to clients,” said Levy. “We welcome the ongoing dialogue, and we’re already making plans for the next DTCC Global Tax Conference in 2024.”