FAQ

• A new legislation on the taxation of savings?
  
• Why this new legislation? Resources?
  

  Before the Savings Directive, a resident of member State A could avoid or limit taxation on his savings income by investing in country B because B as a favourable tax legislation (e.g. an exemption of levy for non-residents).

  The Directive is the result of years of negotiation and strives to avoid the choice where to invest to be motivated by reasons. To achieve this goal the participating member states need to develop a regulation of« exchange of information ». Nevertheless, it is foreseen that – for the duration of the transitional period – certain participating member states (Belgium, Austria, Luxembourg) do not exchange information but develop a system of « taxation at the source ».

• Exchange of information? Taxation at the source?
  
• Which percentage will be applied as SRT? Quid with the Belgian withholding tax?
  
• How about the Bank confidentiality?
  
• Is this related to me? If yes, what does it involve?
  
• Which are the concerned investments or credit balances?
  
• On which part of the income from an investment fund does the SRT apply?
  
• How can I avoid State of residence tax?
  
• Can I recover the SRT or deduct it from other taxes?