Double taxation agreement with the USA

US withholding taxes / Qualified Intermediary
Double taxation agreement and limitation on benefits

  • If a bank with Qualified Intermediary status such as UBS AG has clients that are not individuals (i.e. companies, legal entities, corporate clients in the wider sense etc) but hold US securities and wish to apply for the 30% reduction of US withholding tax on dividends or interest on the tax rate permissible under US double taxation agreements (DTAs), it is obliged under Section 5.03 of the Qualified Intermediary Agreement to advise them of the terms of the double taxation agreements that govern the limitation on benefits.

  • In order to benefit from such a reduction under the DTAs, these clients (companies, legal entities, corporate clients in the wider sense) must expressly confirm to the QI on relevant forms that they meet the requirements under the 'limitation on benefits' terms.

  • Listed below are the 'limitation on benefits' terms of the double taxation agreements between Switzerland and the USA as well as a selection of those between major neighbouring countries and the USA. The list also contains the relevant texts for any protocols or memorandums of understanding that form an integral part of the DTA or serve as an explanation.

  • For any other US double taxation agreements not listed below, please consult the US Internal Revenue Service's website. The URL calls up the texts of the current 54 US double taxation agreements with associated protocols and memorandums of understanding.

  • Clients confirm on UBS's internal form 61535 'Tax form US withholding tax, legal entities, declaration of non-US status' that they have been advised by UBS AG of the terms of the limitation on benefits of the relevant double taxation agreement and have consulted this website to find out about the provisions. We would expressly point out that it is exclusively the client's responsibility to decide whether it meets the relevant material provisions for taking advantage of the benefits under these terms. If in doubt, we advise you to contact a professional tax advisor.

Double taxation agreement Switzerland - USA

See Article 22 and additions to Article 22 in the protocol and memorandum of understanding

Double taxation agreements in other countries

See Article 28 and additions to Art. 28 in the protocol and memorandum of understanding

See Article 16 and additions to Art. 16 in the memorandum of understanding

See Article 30

See Article 26, memorandum of understanding and Notes Exchange (protocol)