UCITS Mutual Fund Tax Regime

Based on the current tax regime in accordance with article 103 of Law 4099/2012, as amended by Law 4389/2016, the act of a UCITS composition, the disposal and redemption of its shares are exempt from any tax, stamp duty, contribution, right or any other burden in favor of the State, legal entities under public law and generally third parties excluding fees and contributions to the Hellenic Capital Market Commission.

Income from securities acquired by UCITS from domestic or foreign countries are exempt from income tax in accordance with article 46 of law 4172/2013. The Management Company is obliged to pay a tax, the rate of which is set at ten percent (10%) on the current interest rate of the main refinancing operations of the Eurosystem of the European Central Bank (Reporting Rate), subtracted according to each UCITS category:

  1. For non-surcharged financial UCITS,
  2. For bond UCITS by (0.25) twenty-five centimeters per unit,
  3. For mixed UCITS, by (0.5) five tenths of a unit
  4. For the shareholding UCITS and for any other category of UCITS except the ones mentioned above, by (1) one unit.

The following amounts are deducted from the tax due:

  1. any tax proven to have been paid abroad,
  2. any tax due in accordance with the above paragraph and has been paid by other UCITS or other collective investment undertakings in the shares of which the UCITS has invested. Any credit balance from the above cases is transferred for tax deduction due with the following statements.

In case of change of the Reference Rate or the classification of the UCITS, the resulting new tax calculation basis is valid from the first day of the month following the change. The tax is calculated on the semi-annual average of the net assets of the UCITS, is counting daily and is paid to the competent Public Financial Service within the first fortnight of July and January of the following semester from its calculation. The tax is paid in the name and on behalf of the UCITS. With the tax payment, the tax liability of the UCITS and its shareholders is exhausted. Gains in the form of dividends or other benefits from the UCITS shares or in the form of added value resulting from the acquisition of units at a price higher than the acquisition price in favor of the UCITS shareholders, are exempt from any tax, finally stamp duty, contribution, right or any other burden in favor of the State, legal entities under public law and third parties in general. The investor should take into account the fact that the taxation of the income or goodwill he acquires depends on the tax legislation to which he is subject. Investors who have doubts about the tax legislation to which they are subject are advised to seek advice and / or information from their legal or tax advisor.

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