SaveTax Tax Reclaim

...Increase client satisfaction by providing the services for reclaiming tax withheld on income generated by foreign assets
...Improve the performance of your clients’ assets.

SaveTax TaxReclaim is the solution for financial institutions who want to increase client satisfaction by providing the services for reclaiming tax withheld on income generated by foreign assets and thus improving the performance of their clients’ assets.

Context

Dividends and interest are generally taxed twice – first in the country where the security was issued, then in the country of residence of the beneficiary of the income. Most countries have double taxation treaties (DTT) allowing part of the withheld tax to be reclaimed.
SaveTax TaxReclaim is a software solution that automates the tax reclaim process. SaveTax TaxReclaim is developed and delivered by Ucronik Solutions SA.

Challenge

The tax reclaim process is not only difficult and time-consuming but also requires specialized knowledge of:

The various tax regulations in force and their impact on instrument scope depending on the country where the security was issued.
The format of the forms to be filed and the process to reclaim the taxes depending on the beneficiary’s country of residence.

Banks rarely offer this service to their clients. In Switzerland, an estimated CHF 350 million of annual withheld taxes are never reclaimed.

Solution

Via an interface, SaveTax TaxReclaim extracts client related data and all the data that is required to calculate the amount of tax that may be reclaimed.
SaveTax TaxReclaim identifies the instrument scope and applies the appropriate calculation method, then automatically fills in the ad hoc form depending on the client’s country of residence and instrument’s country of issue.

Advantages

A new range of services to offer
Automation of difficult, time-consuming processes
Improvement of client portfolio performance
Possibility of either outsourcing operations (ASP) or integrating the application, depending on the bank’s technological and commercial strategies
Profitable business solution
Guaranteed updating of tax rules

Operations

SaveTax TaxReclaim operations can be outsourced, meaning that the infrastructure, the application, the data, the operations and producing the outputs are handled by Ucronik. Alternatively, SaveTax TaxReclaim can be integrated into the bank’s software system.