Tax deduction and tax credit on exercise of the transparency option

(1) Where a special investment fund exercises the transparency option, the provisions of the Income Tax Act on the tax deduction from capital income apply as if the domestic equity income or the other domestic income had accrued directly to the respective investor itself. The tax certificates must state, in addition to the particulars required under section 45a of the Income Tax Act, the following: 1. the name and address of the special investment fund as recipient of payment, 2. the date of attribution of the capital income, 3. the name and address of the investors participating in the special investment fund as creditors of the capital income, 4. the total number of units of the special investment fund and the number of units of the individual investors, in each case as at the date of attribution, and 5. the individual investors' shares of the capital gains tax. The date of attribution is the day on which the respective capital income is attributed to the special investment fund; for capital income under section 43(1), first sentence, nos. 1 and 1a of the Income Tax Act, this is the day of the profit distribution resolution.
(2) Where the tax deduction is waived, or the tax is refunded, the special investment fund must pay the amounts to those investors for whom the conditions for a waiver or refund are satisfied.
(3) The capital gains tax levied on capital income within the meaning of section 43(1), first sentence, no. 1a or section 36a(1), fourth sentence of the Income Tax Act on exercise of the transparency option is credited against the income tax or corporate income tax of the investor where 1. the special investment fund satisfies the conditions for creditability under section 36a(1) to (3) of the Income Tax Act, and 2. the investor is, within a period of 45 days before and 45 days after the date of attribution, the beneficial owner of the special investment units for at least 45 uninterrupted days (minimum holding period), the investor bears, without interruption, throughout the minimum holding period, having regard to offsetting claims and claims of related persons, the full risk of a decline in the value of the special investment units, and is not obliged to remunerate the capital income attributed to it directly under section 30(1), wholly or predominantly, directly or indirectly, to other persons. Where the conditions of the first sentence are absent, three-fifths of the capital gains tax is not creditable. The first and second sentences do not apply where 1. the investor's capital income within the meaning of section 43(1), first sentence, no. 1a and section 36a(1), fourth sentence of the Income Tax Act does not exceed EUR 20,000 in the assessment period, or 2. the special investment fund has been the uninterrupted beneficial owner of the shares or profit participation certificates for at least one year as at the date of attribution, and the investor has been the uninterrupted beneficial owner of the special investment units for at least one year as at the date of attribution. A special investment fund and the investor participating in it are deemed related persons within the meaning of the first sentence and section 36a(3) of the Income Tax Act, irrespective of the extent of the holding. Where no tax deduction was made for an investor, or a tax deduction was refunded, and the conditions of the first sentence are not satisfied, the investor is obliged to 1. notify this to its competent tax office, 2. declare capital gains tax in the amount of 15 per cent of the capital income within the meaning of section 43(1), first sentence, no. 1a and section 36a(1), fourth sentence of the Income Tax Act, electronically, on the officially prescribed form, and 3. pay the declared tax. The notification, declaration and payment must be made, for taxpayers determining their profit by comparison of net assets, after the end of the business year, for investment funds after the end of the financial year, and for other taxpayers after the end of the calendar year, by the tenth of the following month. Section 42 of the Fiscal Code remains unaffected.