Information on Dividend Payment and Tax Deduction
MAINZ, Germany, 01. August 2022 (GLOBE NEWSWIRE) -- BioNTech SE (Nasdaq: BNTX, „BioNTech“) was informed that in the course of the taxation of the special dividend, an inconvenience was caused to some holders of American Depository Receipts (ADR). This is because the process for reimbursement of double taxation by custodian banks is being handled very differently. As such, it also leads to the fact that in some cases no detailed overview of the deductions originating from the double taxation has been provided in the context of the dividend payment or the process for reimbursement is not automatically initiated. In these cases, the ADR holders have to ask their German custodian banks to request and provide them with individual tax certificates by the Bank of New York (BNY) Mellon (“BNY Mellon”). This will allow them to obtain a refund of the double tax burden as part of the tax return for the year 2022.
BioNTech can understand the frustration of its shareholders. To make this process easier, BioNTech has summarized the most important information below and provides a sample form for the application for an individual tax certificate.
Cause of the double taxation : The double taxation is a result of legal requirements. BNY Mellon is responsible for passing on the dividend paid by BioNTech SE to ADR holders. BNY Mellon passes on the dividend to the custodian banks of the respective ADR holders. Both BNY Mellon, as depositary for the shares of BioNTech SE, as well as the German custodians, who ultimately pay out the dividend to the ADR holders, are required to deduct tax at a rate of 26.375 percent. Thus, the tax burden of the ADR dividend for customers of German banks is initially 52.75 percent.
Rights of ADR holders : BioNTech would like to draw the attention of its investors to the fact that the second tax deduction by the German custodians can be subsequently reclaimed from the tax office and credited to the ADR holders via their income or corporate tax return. To do so, the German custodians must request individual tax certificates from BNY Mellon as proof of the initial tax deduction and forward them to the ADR holders. This process should typically be initiated automatically by the German custodians.
Application for individual tax certificate: Should the process for reimbursement not be initiated automatically by the depository banks, the ADR holders must ask their German custodians to submit an application for an individual tax certificate to BNY Mellon. BioNTech has provided an example form for the application for an individual tax certificate: ADR Example Form (GER only) . In order for the application to be successful, the details of the beneficial owner (name and address) and the affected number of ADRs are required.
In the case of tax-exempted individuals, a single tax deduction of 26.375% will also be made. Here, too, the German custodians must request an individual tax certificate for the initial tax deduction from BNY Mellon. After receiving the tax certificate from BNY Mellon, the ADR holders will be able to request the refund via their income or corporate tax return.
BioNTech hopes to have helped ADR holders with this information.
Biopharmaceutical New Technologies is a next generation immunotherapy company pioneering novel therapies for cancer and other serious diseases. The Company exploits a wide array of computational discovery and therapeutic drug platforms for the rapid development of novel biopharmaceuticals. Its broad portfolio of oncology product candidates includes individualized and off-the-shelf mRNA-based therapies, innovative chimeric antigen receptor T cells, bi-specific checkpoint immuno-modulators, targeted cancer antibodies and small molecules. Based on its deep expertise in mRNA vaccine development and in-house manufacturing capabilities, BioNTech and its collaborators are developing multiple mRNA vaccine candidates for a range of infectious diseases alongside its diverse oncology pipeline. BioNTech has established a broad set of relationships with multiple global pharmaceutical collaborators, including Genmab, Sanofi, Genentech, a member of the Roche Group, Regeneron, Genevant, Fosun Pharma and Pfizer. For more information, please visit www.BioNTech.com.
Sylke Maas, Ph.D.
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