8. Service Benefits


Introduction to Withholding Tax Recovery

Service Benefits

So why go through these complicated processes? The biggest benefit of the service is boosting portfolio performance.

When compared to an EAFE index of the 100 largest global companies, investors can add 22-55 basis points to annual portfolio performance, risk free. A visualization of these aggregate performance benefits can be found here.

It is a major differentiator that RBC offers tax recovery services, as not all banks do. To maximize the benefit, it is recommended that clients consolidate all of their holdings into their RBC account to ensure all positions are benefitting from tax reclamation.

In many instances, tax reclaim is the only way that an investor can maximize portfolio performance. Foreign tax credits are not always available. In the United States, for example, the IRS prohibits taking a tax credit for any amount recoverable through treaty mechanisms. It is recommended that clients talk to their accounts or tax specialist for more information.

All TutorialsPrivacy Policy 

©️ 2024 GLOBE TAX SERVICES, INC.