To celebrate the launch of ESP Canada, GlobeTax sat down with Changshen Chen, Senior Vice President – Product to discuss the new service and answer common user questions.
Can you summarize the service?
We have expanded our ESP platform to provide DTCC Participants access to Canadian long form withholding tax reclaims.
This is necessary because DTCC offers relief at source through CA Web elections, but doesn’t offer long form services. This left a gap for Participants who missed an election or lacked the expertise to establish a process directly with the Canadian Revenue Agency (CRA).
With the expansion, Participants will enjoy the same user experience and comparable fees/payment found in other markets while reducing the operational risk associated with missed Canadian elections or post-pay date adjustments.
Why is this service just starting now?
GlobeTax has been receiving more requests from DTC Participants to support filing long form reclaims in Canada. We originally were reluctant to offer the service, because DTCC provides a robust relief at source process with an extended period for election adjustments. Many Participants found that they wanted to make adjustments, but were unable to meet the deadlines. We felt we could leverage our expertise and popular ESP platform to solve a prevalent challenge.
How quickly does Canada pay long form reclaims?
This process is very beneficial, because Canada processes claims quickly. Investors can receive their reclaimed funds in as few as three months, depending on CRA’s processing time.