| The following information is not to be used as tax advice, and we recommend that you consult with a qualified tax adviser. |
The Stichting entity types can be established in different ways, however this article will focus on four primary types and the documentation required by Saxo Bank for the purpose of reduced US withholding tax.
| Typical Dutch entity name | Stichting Pensioenfonds | Stichting – Charity, educational or religious | STAK – Stichting Administratiekantoor | Stichting Bewaarder |
| Type | Pension Fund | Charity | Investment Fund | Custody Company |
| Documentation required | W-8BEN-E | W-8BEN-E |
W-8IMY, WHS W-8 forms for BO´s |
W-8IMY, WHS W-8 forms for BO´s |
Please find the relevant documents on the following link
US tax exemption
Pension funds and charitable organizations may be eligible under U.S. tax rules for reduced rates on dividends if they meet the criteria outlined in Articles 35 or 36. Eligibility must be assessed by the entity and its independent tax adviser. Saxo Bank can process the applicable W‑8 form once completed by the entity. Detailed information can be found at the following link: Netherlands - Tax treaty documents | Internal Revenue Service
Pension Funds may be tax exempt on US dividends If the entity determines that it meets the requirements and are included in the register of the Dutch Central Bank: Register of pension funds | De Nederlandsche Bank
If your fund is listed, the W-8BEN-E form must be filled out by referencing the relevant treaty article.
Charities may be tax exempt on US dividends If the entity determines that it meets the requirements and have the ‘ANBI’ status in the Netherlands. This can be verified here Checking ANBI status | Tax authorities
If your charity is listed, the W-8BEN-E form must be filled out by referencing the relevant treaty article.
Stichtings classified as Investment Funds and Custody companies are not subject to tax at the entity level; instead, the tax obligations fall on the entity's beneficial owners. These foundations may be exempt from tax only if their beneficial owners themselves qualify for exemption. Saxo Bank does not assess whether any beneficial owner qualifies for reduced withholding; entities should obtain independent tax advice regarding eligibility.
If the entity determines that it meets the requirements, Saxo Bank requires submission of a W-8IMY from the entity, W-8BEN for each beneficial owner and a Withholding Statement that includes the beneficial owners' details and their ownership percentage.
Please note that U.S. dividend distributions will be taxed at the rate that the beneficial owners qualify for. Operationally, we cannot distinguish between different tax rates on a single dividend distribution. The highest applicable tax rate will apply to the dividend distribution.
The withholding statement can be accessed here. Please ensure that the statement is updated promptly in the event of any changes to ownership. Once completed, the forms must be signed and submitted through the Case Management module to the Existing Corporate Onboarding department.
Please be aware that the W8 forms and the Withholding Statement must be signed either with wet ink or digitally. For details on accepted digital signature providers, please review the Digital Signature article.
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Please note The information provided is general information only and is not financial, investment, legal, or tax advice. Always consult a qualified professional for advice tailored to your specific circumstances. |
Should you have any questions about the above, please reach out to your dedicated Account Managers by creating a case to Institutional Service through the Case Management module.
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