9% price drop today for £ATYM - anybody know why? RNS announcement about date of Q3 results but nothing else.
went ex-dividend today...
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Slowlearner
17 comments
Silver Moon
For those who do nothing the dividend will be top-sliced by the Cyprus tax authority for National Defence and Health Service budgets.
Andy Sav
Thanks Silver Moon. Also copy and pasting the very helpful note from the small cap report from Skweeka, which tells us what needs to be done to protect the divi. Many thanks both
SkweekaYesterday 1:55 pm
Atalaya Mining (LON:ATYM)
I nearly missed this so just as a heads up/reminder for other holders of Atalya Mining shares that you will need to submit a tax exemption (non Cyprus residents) before 11th November. Instructions and link below from SecNewgate in response to my email:
You should fill in the appropriate tax form on the home page of the website at this link INAUGURAL DIVIDEND - Atalaya Mining and return it to corporate@atalayamining.com. In addition, you have the option to receive your dividend in sterling or euros instead of USD but you need to inform your nominees (Broker) of your preference. If they have any issues, they should contact the company’s registrars, Computershare Investors Limited.
john2
Thanks for posting this, but I fail to see how this form is relevant to a private investor who holds his shares in a nominee account. I have sent a message to Hargreaves Lansdown asking if they intend to take measures to avoid paying this tax, but I have to say I am not optimistic.
Andy Sav
Atalaya Mining (LON:ATYM) Anyone filling in the form for tax exception on the divi and wondering where to find 2. Company Registration Number; its here: https://cyprusregistry.com/com... HE 152217
Rusty2
This seems too much hassle to me, a bit like £FXPO.
What is the tax rate rate?
What's happens if held in nominee accounts? SIPPs?
Andy Sav
hi John2, I just thought it was a similar process to the w-8 Ben form. I am also with HL (so interested in your findings) and you have to complete a w-8 Ben via the site if you have any US companies paying divis. I hold Somero Enterprises Inc (LON:SOM) and the form reduces the tax on divis to a base minimum (but unfortunately doesn't eradicate it). Thanks Andy
Rusty2
It does if the shares are in a SIPP , that’s why I hold Somero Enterprises Inc (LON:SOM) in my SIPP.
But there is no form for European shares.
john2
I hope that you are correct Andy, but I was contacted by HL to tell me that I needed to submit a w-8 Ben. They have not contacted me about my Cyprus holdings, so I suspect that they do not wish to provide this service. I will report back on this thread when I receive a reply to my query.
john2
Phew, I've had a reply from HL. It's both longer than I expected and ultimately inconclusive.
I understand you’d like some clarity in regard to the upcoming dividend from your ‘Atalaya Mining plc’ holding within your HL Stocks & Shares ISA.
In regards to the Tax requisite forms, I’m afraid we’re unable to apply for the tax exemption as the shares are held by us (HL) in nominee form.
For us to apply for reduced rates of withholding tax for the dividend, we would need to verify that all holders within our pooled nominee accounts were eligible for the reduced rates. We’re unable to do this as we cannot guarantee that all the shareholders with HL are eligible for the exemption (we also have overseas clients). I'm afraid, we’re also unable to send individual tax exemption forms for each individual client holding the stock, as we would need to send a form off for every client that holds the stock with HL.
I'm sorry for any inconvenience this may have caused.
However, I have contacted the company directly for further guidance on the withholding tax exemption for Nominee holders and they have recently got back to me with the below statement:
"The Company is seeking further clarification from its registrars in Cyprus as you quite rightly point out it is difficult to reconcile individuals with the nominee. I am hoping to get further insight on this and will pass it on as soon as I can."
Rusty2
Sounds like an excuse, I can see why they don't want to do it.
But they can do it on US and Canadian stocks but not other countries?
john2
I suspect that a far greater percentage of their clients buy American shares than buy Cypriot ones.
welwichia
Hello john2,
thanks very much for relaying this update from HL. The last presentation from Atalaya Mining (LON:ATYM) included this as one of their near term objectives:
+ Redomicile parent company to the UK
Hopefully, the current conundrum w.r.t the dividend will add further impetus to getting this proposed move completed. This in turn, should mean all the current tax withholding issues could go away for us UK holders in the not too distant future.
