The FASTER Directive Proposal: Towards More Efficient Withholding Tax Procedures within the EU?

On 19 June 2023, the Commission launched the legislative proposal for a Council Directive on Faster and Safer Relief of Excess Withholding Taxes (FASTER Proposal) that aims to simplify and streamline withholding tax relief processes across EU Member States, while helping tax administrations identify and target investors abusing rights under tax treaties. The Directive proposes measures for issuing a common EU digital tax residence certificate (eTRC) and setting up two fast-track reclaim procedures (in addition to the standard refund procedure), and provides rules regarding certified financial intermediaries (CFIs). On 14 May 2024, the Council of the European Union reached a political agreement on the compromise version of the Directive put forward by the Belgian Presidency. After a legal linguistic revision and the European Parliament's opinion on the compromise text, the Council of the European Union will formally adopt the Directive. National rules transposing the FASTER Directive would become applicable from 1 January 2030. This webinar aims to (i) explain the policy objectives behind the FASTER Proposal; (ii) describe the structure and scope of the Directive (Chapter II and Chapter III), highlighting the differences between the Commission's proposal and the compromise version; (iii) dive into the areas which have sparked controversy among interested parties (e.g. the definition of beneficial ownership, optional implementation of Chapter III and liability risks for CFIs); and (iv) look into challenges for parties when adapting to the new systems.

Topics Covered

  • Block 1: The FASTER Directive Proposal: Underlying problems and policy objectives
  • Block 2: Key Measures: EU Digital Tax Residence Certificate; Due diligence and reporting obligations for Certified Financial Intermediaries; Fast-track withholding tax refund procedures
  • Block 3: What will happen next?
  • Block 4: Critical issues for involved stakeholders

Learning Objectives

After watching this webinar, you will be able to: 

  • Identify the issues that the FASTER Proposal aims to address
  • Understand the key objectives and provisions of FASTER (compromise version vs. Commission's proposal); and
  • Evaluate the positive developments and challenges for different parties.

Instructors

  • Anzhela Popova, Global Head of Tax Product for Securities Services, Citi
  • Paul Radcliffe, Partner, Ernst & Young LLP
  • Angelika Xygka, IBFD (Facilitator)

Field of study

Taxes

Who should participate

The webinar is suitable for financial intermediaries and consultants, in-house tax professionals, tax lawyers and advisers, government officials and academics.

Course level and prerequisites

This is an intermediate-level webinar. Participants in this webinar are expected to be familiar with withholding tax refund procedures and the key concepts of EU law.

Interactive webinar – “Group Internet Based” (live webinar only)

During live webinars, it is possible to interact with the presenters via a chat message function. Please note that questions are answered based on relevance, order of receipt and available time. Additionally, participants in the live webinar are invited to answer poll questions. Participants will also have access to the on-demand version for a further 12 months from the live date.

Date of live broadcast: 29 October 2024

On-demand webinar

On-demand webinars are intended for individual self-study only. Unlike live webinars, they are not open to interactive participation nor do they offer the assistance of a real-time instructor. Access to on-demand webinars is granted for a period of 12 months.

Continuing Professional Education

Many accrediting organizations will grant continuing professional education (CPE) credit(s) for an IBFD audio-visual broadcast. It is advisable, however, that you check with your accrediting body as to whether this applies only to live webinars or to on-demand webinars as well. International Bureau of Fiscal Documentation (IBFD) is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of CPE on the National Registry of CPE Sponsors. State boards of accountancy have the final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org. NASBA CPE credit – 1 (only applicable to live webinar).

Webinar registration details

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