ESP facilitates the secure and efficient transfer of beneficial owner information throughout the custody chain, ensuring account holders receive the appropriate withholding tax rate.
SERVICE OFFERING
ESP for depositaries
Depositary banks offer depositary receipt holders the opportunity to recover over-withheld taxes on foreign investment income. Coordinating receipt of data and documentation to support international tax recovery can be complicated, requiring both expertise in filing requirements and technology to standardize incoming information.
WHAT WE DO
Coordinate with DTCC to develop Important Notices
Validate information from DTCC Participants
Allocate funds from local agents across accounts
BENEFITS OF ESP
Cost Savings
ESP helps depositaries avoid in-house tax processing expenses
Risk Reduction
The team monitors changing market requirements and offers audit support
Governance
Monthly reporting ensures that all contractual requirements are met
Updates
GlobeTax’s Recovery Roundup newsletter communicates key market changes
ESP for dtc participants
Because every market has unique rules, rates, and processes, many financial institutions struggle to help investor clients meet the ever-changing administrative requirements and receive their tax entitlements. Through ESP and ESP+, GlobeTax helps DTCC Participants efficiently manage the submission and processing of ADR elections and claim applications.
WHAT WE DO
Provide a portal for generating pre-populated documents and uploading data
Validate incoming information to ensure it meets all market requirements
Answer questions and proactively follow up with Participants when errors are identified
Generate CA Web breakdown elections for Relief at Source and Quick Refund claims
BENEFITS OF ESP
Client Satisfaction
Differentiate your firm by maximizing client portfolio performance
Minimize Expense
Features like Bulk Upload let users submit reclaims for 50,000 beneficial owners
Governance
Real-time reports provide the status of claims, payments, and events
MIDAS®
GlobeTax’s MIDAS® service manages documentation and elections for Participants seeking more support
ESP+ for dtc participants
WHAT WE DO
GlobeTax sends event announcements & Important Notices via API or SFTP
Participants submit data & receive supporting docs via API or SFTP
GlobeTax sends ISO 20022 messages to DTC & provides copy of results
Payments allocated via BO-level file with Participant’s internal reference numbers
BENEFITS OF ESP+
Increased Efficiency
Unlimited BO uploads and automated data transfer via STFP or API eliminates manual processing
Risk Reduction
Automation reduces risk of missing manual election or upload
Oversight and Compliance
Full and ad hoc reporting support good governance
Client Satisfaction
More clients receive tax entitlements, increasing portfolio performance and satisfaction
ESP Canada
Launched in 2023, ESP Canada is a premium service that supports submission of Long Form claims in Canada. With ESP Canada, DTCC Participants can file claims without establishing a process with the Canadian Revenue Agency. The service delivers hard-to-access entitlements to investors faster and more efficiently, reducing operational costs.
ESP for Transfer Agents
Working on behalf of issuers, transfer agents are responsible for identifying and tracking registered shareholders and beneficial owners to ensure tax is withheld at appropriate rates. Collecting and verifying this information from shareholders — while managing the ever-changing rules and requirements — is a time-consuming and expensive task.
WHAT WE DO
Work with market agents to determine requirements
Distribute Important Notices to communicate requirements
Collect shareholder information and documentation
BENEFITS OF ESP
Cost Savings
Transfer Agents need not perform the service in-house, minimizing expenses
Risk Reduction
The team monitors changing market requirements to ensure all information is up-to-date
Governance
Monthly reporting ensures that all contractual requirements are met
Updates
GlobeTax’s Recovery Roundup newsletter communicates key market changes
ESP for issuers
By ensuring shareholders receive the maximum return on investment through cross-border tax relief or recovery, issuers can retain existing shareholders and generate new interest in their shares. Understanding entitlement opportunities and establishing recovery process is time-consuming and administratively burdensome.
To support issuers, we liaise with the withholding agent, relevant tax authorities, and local market intermediaries to establish relief and recovery processes.
BENEFITS OF ESP
Cost Reduction
Issuers can avoid spending time and money to coordinate difficult processes
Shareholder Satisfaction
Tax recovery increases ROI, incentivizing investors to favor your securities
WHY ESP?
TRUSTED PARTNER
LEADING TECHNOLOGY
SUPPORT TEAM
