RESILIENT REIT LIMITED - Dividend: Tax treatment and salient dates

Release Date: 17/08/2018 17:37
 
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Dividend: Tax treatment and salient dates

RESILIENT REIT LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 2002/016851/06)
JSE share code: RES  ISIN: ZAE000209557
Bond company code: BIRPIF
(Approved as a REIT by the JSE)
("Resilient" or "the Company")


DIVIDEND: TAX TREATMENT AND SALIENT DATES


Shareholders are referred to Resilient's preliminary audited summarised consolidated financial statements for the
year ended 30 June 2018, published on SENS on 17 August 2018, wherein shareholders were advised of the dividend
of 258,98000 cents per share for the six months ended 30 June 2018 ("the dividend").

In accordance with Resilient’s status as a REIT, shareholders are advised that the dividend meets the requirements of
a "qualifying distribution" for the purposes of section 25BB of the Income Tax Act, No. 58 of 1962 ("Income Tax
Act"). The dividend on the shares will be deemed to be a dividend, for South African tax purposes, in terms of
section 25BB of the Income Tax Act.

The dividend received by or accrued to South African tax residents must be included in the gross income of such
shareholders and will not be exempt from income tax (in terms of the exclusion to the general dividend exemption,
contained in paragraph (aa) of section 10(1)(k)(i) of the Income Tax Act) because it is a dividend distributed by a
REIT. This dividend is, however, exempt from dividend withholding tax in the hands of South African tax resident
shareholders, provided that the South African resident shareholders provide the following forms to their Central
Securities Depository Participant ("CSDP") or broker, as the case may be, in respect of uncertificated shares, or the
company, in respect of certificated shares:

      a)    a declaration that the dividend is exempt from dividends tax; and

      b)    a written undertaking to inform the CSDP, broker or the company, as the case may be, should the
            circumstances affecting the exemption change or the beneficial owner cease to be the beneficial owner,

both in the form prescribed by the Commissioner for the South African Revenue Service. Shareholders are advised to
contact their CSDP, broker or the company, as the case may be, to arrange for the abovementioned documents to be
submitted prior to payment of the dividend, if such documents have not already been submitted.

Dividends received by non-resident shareholders will not be taxable as income and instead will be treated as an
ordinary dividend which is exempt from income tax in terms of the general dividend exemption in section 10(1)(k)(i)
of the Income Tax Act. Any distribution received by a non-resident from a REIT will be subject to dividend
withholding tax at 20%, unless the rate is reduced in terms of any applicable agreement for the avoidance of double
taxation ("DTA") between South Africa and the country of residence of the shareholder. Assuming dividend
withholding tax will be withheld at a rate of 20%, the net dividend amount due to non-resident shareholders is
207,184000 cents per share. A reduced dividend withholding rate in terms of the applicable DTA may only be relied
on if the non-resident shareholder has provided the following forms to their CSDP or broker, as the case may be, in
respect of uncertificated shares, or the company, in respect of certificated shares:

      a)    a declaration that the dividend is subject to a reduced rate as a result of the application of a DTA; and

      b)    a written undertaking to inform their CSDP, broker or the company, as the case may be, should the
            circumstances affecting the reduced rate change or the beneficial owner cease to be the beneficial
            owner,

both in the form prescribed by the Commissioner for the South African Revenue Service. Non-resident shareholders
are advised to contact their CSDP, broker or the company, as the case may be, to arrange for the abovementioned
documents to be submitted prior to payment of the dividend if such documents have not already been submitted, if
applicable.
The dividend is payable to Resilient shareholders in accordance with the timetable set out below:
                                                                                                            2018
 Last date to trade cum dividend:                                                           Tuesday, 4 September
 Shares trade ex dividend:                                                                Wednesday, 5 September
 Record date:                                                                                Friday, 7 September
 Payment date:                                                                              Monday, 10 September

Share certificates may not be dematerialised or rematerialised between Wednesday, 5 September 2018 and Friday,
7 September 2018, both days inclusive.

Payment of the dividend will be made to shareholders on Monday, 10 September 2018. In respect of dematerialised
shares, the dividend will be transferred to the CSDP accounts/broker accounts on Monday, 10 September 2018.
Certificated shareholders’ dividend payments will be deposited on or about Monday, 10 September 2018.

Shares in issue at the date of declaration of this dividend: 424 954 000.
Resilient's income tax reference number: 9579269144

17 August 2018


Sponsor
Java Capital

Date: 17/08/2018 05:37:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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