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| {{isdasnap|2(d)(i)}}
| | #redirect[[Deduction or Withholding for Tax - ISDA Provision]] |
| ====Commentary====
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| In a {{nutshell}} Section {{isdaprov|2(d)}} does the following:
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| *'''Net obligation''': if a counterparty suffers withholding it generally doesn’t have to gross up – it just remits tax to the revenue and pays net
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| *'''Refund obligation where tax subsequently levied''': if a counterparty pays gross and subsequently is levied the tax, the recipient must refund an equivalent amount to the tax.
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| *'''{{isdaprov|Indemnifiable Tax}}''': the one exception is “Indemnifiable Tax” - this is tax arises as a result of the payer’s own status vis-à-vis the withholding jurisdiction. In that case the payer has to gross up.
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| {{isdaanatomy}}
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Latest revision as of 17:54, 29 March 2018