Wrong Witholding Tax stated

can you let us know the outcome @B.E because a couple of those will impact my dividend investments too. even though visual, i rely on the accuracy of the data T212 provides for my analysis.

Would be nice if this information was on the export feature as well.

Hi all,
I would like to ask about an issue I have noticed.
Both January and April dividends from Kirkland Lake Gold (NYSE:KL) have been qualified as Return of Capital.
obraz
obraz

Dividends announced by company were $0.188 per share:

That being said, Transaction History exported to CSV and the above screens show, that 15% of tax was actually taken and paid ($0.28 of difference, which is 15%), but it still shows 0. If I use that history for taxation issues, I will have to pay a double tax. My country has a tax tready with both US and Canada (paying 15%).

KL is not a MLP company to pay returns of capitals.
Can you please advise? If I have to pay over 30% of taxes, because it’s showing incorrect values, I may consider selling it to not pay 1/3 of taxes.

You should be able to use the company website to prove the gross/net distributions but agree would be useful if the 212 statement was correct.

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Novo Nordisk ADR (NYSE: NVO) is the same situation.
On ADR’s page we can see that basically 27% tax has been withheld.


And T212 screen showing the final amount, lowered by the ADR fee and withheld tax:
obraz
however, based on that data, I could pay another tax in my country (19%) as 0% tax means I have to make a full payment here. I don’t really want to save all evidences for tax purposes for different stocks.

@B.E

Besides Brookfield Asset Management (BAM) mentioned on the OP, also labelled as “Return of capital” with 0 % Witholding Tax:

  • Brookfield Infrastructure (BIP)
  • Brookfield Renewable Partners (BEP)

They appeared both on History and on CSV Export file also with withhold tax = 0 USD.

How can we know the tax amount that was withhold?

We have to do the calculations on our own (with some error probability) because Trading 212 made some “visual errors” 9 days ago and still didn’t correct them?!

Trading 212 have a duty to correct your mistakes, 0% Withhold Tax and 0 USD Withhold Tax are wrong, if we pay taxes, you must correct yours errors ASAP.

We shouldn’t have to do due diligence if you pay correctly or not. Time is money. We don’t work for Trading 212.

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Yes. But we shouldn’t have to be the T212 cop, analyzing every transaction to see if T212 have done it correctly. And customers shouldn’t have to spent their free time to check T212 work. Time is money.

This kind of mistakes hurts customer trust.

It is safe to say all canadian companies listed on T212 have this issue. :wink:

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It seems like that, but there is also a Danish traded in US in the same kind of errors:

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@Team212 could you please explain why EPD dividend is payed as Return on Capital:
image

while at the company’s Investor site they clearly define the dividend as Cash Distribution (thus, from my understanding, a normal dividend):
image

What am I missing/getting wrong here?

Hello! Two examples from yesterday! Hopefully the team manages to keep up! :slight_smile:
Apple (from Deutche Borse) actually got taxed on 15%, insted of US stock rate of 10%. And BTI, again actually taxed - not just visual bug (in the screenshot)

US stocks with W8BEN, the tax rate is 15%.

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Looks like two correct examples of tax to me.

BTI listed on the NYSE is an American Depositary Receipt.

These are generally treated as a US security so 15%, but can sometimes be treated with different WHT rates based on the country of the underlying stock.

Tax can be tricky in these instances so worth checking.

It really depends on country of origin for the individual, afaik Bulgaria or Romania have lower then 15%, I believe as OP spoken 10%.

But at @carez have you checked math if indeed there is Witholding, as it might be visual bug like we had with Canadian corps.

I have had BTI crusade some time ago:

So in any case, first thing of order, do math on dividend, if indeed tax was applied. You need to open ticket and push for resolution, I know it took me several rejections etc.

Persistency is the key.

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It seems that the tax residency of the T212 investor is irrelevant. It matters the tax residency of the investor, that is T212.

There are examples in the forum, and T212 have confirmed that T212 is considered as the owner, an UK owner, so the taxes are withhold according to that. (Although we are the final beneficiary.)

This is only true for EU shares/dividend.

For US/Canadian shares/dividend, Country of Investor is what matters.

I personally get 30% WTH for US dividend. Due to Croatia not having Tax treaty with US.

There are several wrong issues about the last dividends from Euronext (ENX) paid May 21st, as seen in the CSV file and in the History tab:

  • Wrongly categorized as “Return of capital”, in the reality they are “Dividend (Ordinary)

  • Euronext announced 1.47 EUR gross dividend per share, but T212 says its only 1.25 EUR per share as gross dividend per share, this difference is 0.22 EUR per share or the equivalent of a 15% tax rate

  • T212 says that ENX didn’t had withholding tax, but in reality T212 have withhold 15% tax, despite showing a 0% tax rate. T212 have withhold 0.22 EUR per share.

Bottom-line, T212 shows the net dividend as gross dividend, withhold tax but says no withholding tax and says that the tax rate is 0%

https://www.euronext.com/en/investor-relations/financial-information/regulated-information-and-investor-news/euronext-186

With similar T212 errors and still to be corrected since April 6th (almost 2 months). T212 withhold taxes but wrongly states that none paid:

→ Please correct these questions, so there isn’t any problem with the tax authorities.

@Team212 ; @Y.M ; @B.E ; @Hris.M

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@Bogi.H as you closed my thread and move it to here, there is any feedback? Or it is just “cleaning” the forum?

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Hey @RLX :wave: ,

I have just sent you a DM.

Any feedback on my question, @Bogi.H / @Team212 ? Company processes a Regular Distribution of Dividend, and T212 processes it as Return on Capital… how is this?