Member Info for bluemango

What struck me also, was the projected dividend for next couple of years, estimated at 1.44c (1.044p) for YE22, and rising to a very respectable 2.42c (1.754p) in YE23. Not only would that projected dividend represent a fantastic income for anyone in at these levels, but the price would surely have to rise significantly to reflect that yield.

Have just spoken at length with HMRC on subject of SA 20% withholding tax on dividends. It's slightly convoluted, but this is my current understanding:

PAF should only deduct 10% for payment to UK residents because of our Double taxation treaty (2002, article 10, section 2c). If they deduct the full 20% we should be able to claim back the 10% direct from the SA tax office; may need proof of UK residency via a certificate of residency which HMRC can provide.

Regardless of whether they deduct 20% or the correct 10%, as a UK resident you should also use the Foreign Income section of tax return to claim Foreign Tax Relief for the 10% that should have been deducted at source. This is because our taxation is calculated based on the gross amount, so you want to reduce this by the 10% to avoid in effect being taxed twice.

Example, gross dividend £700, should have 10% deducted at source giving £630 net. If PAF have incorrectly deducted 20% that would take it down to £560 and you would be entitled to claim back £70 direct from SA tax office. Regardless, you would claim Foreign Tax Credit relief of £70 to ensure your personal UK tax calculation was based on the £630 receivable rather than the gross amount £700. In effect it would reduce your taxable income down by the 10% already taken off at source (£70 in this example).

Clear as mud?

Long term hold for me having bought at 15.46 late Sept.

With the great dividend, and talk of where gold price could end up by end of decade, holding this could be an excellent way of growing capital while drawing a decent income. Of course with gold price likely to grow faster than fixed and variable company costs, dividend is probably going to grow in coming years too. The long term benefits of gold retaining its purchasing power relative to uncertainties elsewhere, plus a cracking yield. What's not to like!

No, unfortunately they didn't refer to a specific rule - partly I suspect because it was someone in admin who had had to refer it to someone higher in the chain and was simply passing on what they'd be told. I'll update here if I can find out more.

Update from Hargreaves Lansdown: 'you can't claim back SA withholding tax if the shares are held in a SIPP'.

My next plan is to clarify with HMRC as I haven't seen this in any document.

Thanks guys.

I have a query currently in with Hargreaves Lansdown and will update if I get a definitive answer back from them. On the face of it, it looks like half (10%) of the tax can be claimed back which in my case is substantial enough to be worth pursuing.

Hello all, has anyone gone through the process of claiming back 20% SA withholding tax from the dividend? Is this something you register to do before payment, or you action it after it's paid? Can't find any documentation online. The AR refers you to Link Asset Services who look after the UK register so I guess they're the first port of call, but if anyone has successfully navigated through this process previously I'd be grateful to know. TIA.

These shares have had a very volatile history, in common with many stocks in the UK biotech sector, and PRM has a history of raised expectations but poor delivery. This situation now looks to be changing with the first diagnostic tests using Proteome's biomarkers coming on the market, (e.g. a lung cancer diagnostic test due for UK launch this year), but it has been a long while coming. If they can grab a good share of the market in diagnostic biomarkers for diseases such as Alzheimer's and cancer, then the growth in revenues and market value could be spectacular, BUT there have been many false dawns before with this company, and for most observers it is still 'believe it when I see it'. Personally I'm confident those rewards will come, possibly with many times the current share price, but it has been a long slog getting to the point of commercial revenues. Breakeven this year would be a significant achievement and could be the start of some seriously significant growth for this company BUT this is one risky share ...... so beware, and be prepared to be patient ....