NYSE Holdings LLC
Tel: 1 212 656 3000
Fax: 1 212 656 5725
Chairman of the Board : Mr. Jan Michiel Hessels
Chief Executive Officer : Mr. Duncan Niederauer
Types of Securities Traded
College of regulators composed by AMF, FCA, FSMA, CMVM and AFM
Securities and Exchange Commission (SEC)
Name of Clearing & Settlement Organization
Europe: ICE Clear and LCH Clearnet
US: Depository Trust and Clearing Corporation (DTCC)
Name of Central Securities Depository
InterBolsa (Portugal) Euroclear (France, Netherlands and Belgium) and Depository Trust and Clearing Corporation (US)
Commissions on Transactions levied by Exchange
Taxes on Dividends, Interests
US Citizens & Residents :
Dividends, interest and short term assets (assets held less than 12 months). Capital gains are taxed as ordinary income (up to a 39.6 % marginal rate).
Long term capital gains are taxed up to a 20 % marginal rate. State and local authorities may impose additional income taxes.
Non-Resident Aliens :
Dividend and interest income is subject to a 30 % withholding tax. This tax may be reduced of eliminated if the non-resident is entitled to the benefit of a tax treaty. Capital gains generally are not subject to income tax.
Capital gains generally are subject to corporate tax at the standard rate. The standard corporate income tax rate is 33.33%. Small or new businesses may benefit from lower rates. Ordinary losses may be carried forward indefinitely, but may be offset against taxable profit of a given year only up to an amount equal to EUR 1 million, plus 50% of the taxable result for the fiscal year. Losses may be carried one year back but only up to an amount of EUR 1 million, under certain conditions. Additional limitations apply to the deduction of capital losses on the sale of shares between related parties. A 3.3% social surcharge applies to the standard corporate income tax liability that exceeds EUR 763,000. A 5% temporary surtax applies to the standard corporate income tax liability for large companies with turnover exceeding EUR 250 million, resulting in an overall effective corporate tax rate of 35%, or 36.10% for largest companies when subject to the 3.3% social surcharge. A participation exemption on dividends applies where the recipient owns at least 5% of the shares (both by vote and value) of the distributing entity and retains the shares for at least 24 months. If the participation exemption applies, the dividends are 95% exempt, resulting in a maximum effective rate of 1.8% (5% x 36.10%). However, if an entity is merged shortly after making a distribution and the merger is within two years of its acquisition, the parent company must choose between having the distribution within the scope of the participation exemption and taking a deduction for the loss on the shares of the distributing entity. A participation exemption also applies to capital gains arising from the sales of shares that form part of a substantial investment if the shares have been held for 24 months. The gain is 88% exempt, resulting in a maximum effective rate of 4.33%.
Dividends paid by a French corporation to a nonresident shareholder are subject to a 30% withholding tax calculated on the gross dividends, unless a tax treaty provides for a lower rate or the EU parent subsidiary directive applies. Under the directive, dividends paid by a French corporation to a qualifying EU parent company are exempt from withholding tax A 3% surtax is levied on dividends distributions and deemed dividends paid by French entities subject to corporate income tax for distributions made as from 18 August 2012.
Interest paid by a French company to a nonresident lender generally is not subject to withholding tax.
Under the dividends received deduction, 95% of dividends received by a Belgian company, whether from a domestic or foreign company, is exempt from tax. The remaining 5% is subject to tax at the normal rate. To qualify for the dividends received deduction, the following requirements must be met: (1) the shareholder must hold at least 10% of the share capital of the payer company or the participation must have an acquisition value of at least EUR 2.5 million; (2) the company distributing the dividends must be subject to corporate income tax on the profits out of which the distribution is made (“subject to tax” requirement); and (3) the shareholder must continuously have (or have had) full ownership of the qualifying shares for an uninterrupted period of at least one year.
Capital gains derived by a corporation on the disposal of tangible and intangible assets are regarded as business income and subject to tax at the ordinary corporate tax rate. Tax deferral is possible subject to certain conditions. Gains derived from shareholdings in other companies are exempt if (1) the shares meet the subject tax requirement for application of the dividends received deduction; and (2) have been held for an uninterrupted period of at least one year. No participation requirement applies. Shares sold within the one-year period are taxed at a rate of 25.75% (including the surtax). The net amount of fully exempt capital gains derived from shareholdings in other companies is subject to a 0.412% separate tax (including the surtax).
Losses may be carried forward indefinitely for corporate tax purposes, but may not be carried back. Restrictions apply in the case of a tax-free reorganization (e.g. merger, demerger or contribution) or a
change in control that is not justified by legitimate financial and economic needs. The concept of control (i.e. legal control, factual control or joint control) is defined under Belgian company law.
The general rate of corporate income tax is 33%. Small and medium-sized companies (SMEs) with income of less than EUR 322,500 are subject to a reduced rate if certain conditions are satisfied.
A surcharge of 3% is imposed on the adjusted corporate income tax liability,
Under Belgium’s implementation of the EU parent-subsidiary directive, no tax is withheld on dividends paid to a company established in Belgium or another EU member state that holds at least 10% of the company paying the dividends, provided the participation is held for an uninterrupted period of at least one year. The same rule applies to dividends paid to shareholders resident in a country that has concluded a tax treaty with Belgium where the treaty contains an exchange of information clause. Where no exemption or reduced rate (under a tax treaty) applies, the default rate is 25% (or 15% for dividends from residential real estate investment companies and 10% for liquidation dividends). Interest paid to a nonresident generally is subject to a 25% withholding tax (or 15% for interest from certain specific government bonds and interest from regulated savings deposits exceeding certain thresholds), unless reduced under a tax treaty or exempt under the EU interest and royalties directive or domestic law. Interest paid by finance companies and holding companies, interest paid to financial institutions in treaty countries and certain other forms of interest are not subject to withholding tax under Belgian domestic law under certain conditions.
The tax rate applicable to interest and dividend payments made to beneficial owners who are individuals, whether resident or not in Portugal for tax purposes, and who have disclosed their identity and holdings is of 28%.
The withholding tax rates applicable as of 1 January 2013 are as follows:
- 25% for disclosed beneficial owners that are legal entities (resident or non-resident);
- 28% for disclosed beneficial owners that are individuals (resident or non-resident);
- 35% for undisclosed positions and for beneficial owners that are resident in tax-haven countries;
- 0%/reduced rate for certified beneficial owners based on Portuguese domestic legislation or applicable treaty rates.
Operating losses incurred by resident companies, or by a branch of a non-resident company, may be carried forward to set off against taxable profits for five years. However, companies are only allowed to deduct tax losses up to 75% of the taxable profits in any given period. No deduction is allowed in the following two situations:
(a) where the nature of the activity has changed substantially compared to when the losses were incurred
(b) the ownership of 50% or more of the share capital has changed, compared to the year in which the losses were incurred.
Basic rate taxpayers – Dividend income at or below £34,370 is payable at 10%
Higher rate taxpayers – Dividend income at or below the £150,000 is payable at 32.5%
Additional rate taxpayers – Dividend income above £150,000 is payable at 42.5%
No distinction is made between capital gains and other income for corporations . For 2013, the standard corporate tax rate is 25%. A tax rate of 20% applies to the first €200,000 of taxable income. In certain cases, capital gains are exempt or a rollover is available based on case law or under the reinvestment reserve.
The standard withholding tax rate for dividends is 15%. However, several exemptions and reductions, can apply. Under the extensive Dutch treaty network, the Dutch dividend withholding tax rate is typically reduced to a rate as low as 0%. Under the participation exemption or within a Dutch fiscal unity, dividends paid by resident companies to other resident companies are usually exempt from dividend withholding tax.
2013 Share ownership thresholds (%)
Short selling (Yes / No)
Short selling conditions (if any)
Europe: Short Selling Regulation and ESMA Guidelines on Short selling
As stipulated by SEC Regulation SHO.