Exchange Data International (EDI) has signed a co-marketing agreement with GlobeTax to provide withholding tax data and services to its subscriber base.
The two parties says the deal (which was signed in New York) will allow EDI to meet market demand from researchers, brokers and custodians for withholding tax information on real and expected investment income for use in portfolio planning.
“This agreement is fundamental to our business growth strategy,” says Jonathan Bloch, Managing Director and founder of EDI. “GlobeTax is the world’s largest and most successful outsource tax recovery firm and we’re delighted to have such a partner. Our first new product, e-TaxData Online will be available by subscription on the world-wide web and will offer a sophisticated searchable matrix of data points of withholding and treaty rate information including permutations of type of income, beneficial owner status, residency and year of distribution. This data is valuable because its predominantly not just theoretical desk research, these data have been used successfully to recover tax. Together with the on-line assessment services that GlobeTax will be providing in the product and the existing demand we have from clients, we’re confident that it will be a great success.”
GlobeTax says it posted a 70% increase in business in the last twelve months, taking its tax recovery operations to over one million reclaims a year.
Martin S. Foont, President and CEO of GlobeTax, says he is equally delighted to be EDI’s exclusive partner for tax reclaim outsourcing. “Even with our successful history, there is a great deal of un-recovered tax out there and we must take every opportunity to educate and inform investors and intermediaries, to arm them with the information and tools they need to achieve the maximum return from their investments,” he says. “In addition to the tax information matrix as a research resource, e-TaxData Online will also include functionality to allow investors and intermediaries to enter individual income or portfolio data and receive a return analysis of how much tax they may be entitled to recover. A single click from that point engages GlobeTax on their behalf to actively recover the tax. As an ASP type solution, this effectively makes a seamless STP solution for the investment community thus avoiding the need for expensive software.”
GlobeTax provides outsourced withholding tax services. It claims to process over 87% of all tax reclaims on American Depositary Receipts.