Electronic Share Trading (CREST)
Where the transfer takes place electronically through the CREST system a 1% charge also arises.
CREST
CREST is the name of an electronic system, which settles transfers of shares that are dealt with on selected exchanges.
The Companies Act, 1990 (Uncertificated Securities) Regulations, 1996 (S.I. No. 68 of 1996) gave Irish companies the option of allowing their shareholders:
- to evidence their title to shares otherwise than by a share certificate, and
- to transfer their shares electronically i.e. without a stock transfer form.
The Regulations provide that electronic transfers must be effected through an electronic system the operator of which has been approved by the Minister for Enterprise and Employment (or by a body designated by the Minister) or by the appropriate authority in another Member State of the European Union. CRESTCo Ltd which is now known as Euroclear UK & Ireland Limited, was approved to operate a system (called CREST) through which shares can be transferred electronically.
The Stamp Duties Consolidation Act, 1999, supersedes the legislation enacted in the 1996 Finance Act. Sections 68 to 78 deal with electronic transfer of shares.
Finance Act 2007
Until 1 October 2007 users of the CREST System were able to apply for exemptions such as Market-Maker and reliefs such as Broker Dealer, Closings etc. However the Finance Act 2007 removed these, and introduced new reliefs i.e. Central Counterparty Relief and Intermediary Relief.
Further information on Intermediary Relief and Central Counterparty Relief can be found in the below linked guidance notes. Please note that the introduction of automated Intermediary Relief in the Crest System on Jan 28 2008, means that Section 5.4 of the August 2007 Guidance note is no longer relevant.
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Guidance Notes - Stamp duty on transfers of Irish securities - Intermediary relief and CCP relief (PDF, 257KB)
Stamp Duty on Transfers of Irish Securities (PDF, 93KB) - Operational changes in CREST January 2008 - February 2008 Notice (This replaces the notice of January 2008)
Please read the above linked guidance notes before completing the following application form
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Application Form
to become a Recognised Intermediary (PDF, 58KB) - List of Designated Exchanges/Markets
- List of Recognised Clearing Houses
Reclaim Forms
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Application Form
to reclaim stamp duty - Intermediary Relief (PDF, 120 KB) -
Application Form
to reclaim stamp duty - No Change in Beneficial Ownership (NCBO) (PDF, 124 KB)
