Last checked at 4 Jan 2018 14:10
BlackRock Frontiers Investment Trust Plc - Reversal of a provision for potential Capital Gains TaxBlackRock Frontiers Investment Trust Plc - Reversal of a provision for potential Capital Gains Tax
PR Newswire
London, January 4
BlackRock Frontiers Investment Trust plc (LEI: 5493003K5E043LHLO706)
Reversal of a provision for potential Capital Gains Tax
On 30 March 2017, the Company announced that its Net Asset Value (NAV) would include a provision for Capital Gains Tax potentially payable in Argentina in respect of investments held through ADRs. As at 2 January 2018 the accumulated provision represented 2.10% of the NAV (0.95% on unrealised gains and 1.15% on realised gains since 23 September 2013).
Following the enactment of Argentine tax reform (Law No. 27,430), effective 1 January 2018, and discussions with the Company’s advisers, it has been noted that ADRs over Argentine equity held by a non-resident purchaser will not give rise to an Argentine Capital Gains Tax liability. In addition, the law removes any liability for unpaid capital gains tax arising from transactions prior to 1 January 2018. The Board has therefore decided to reverse the accrual with immediate effect.
Kevin Mayger for and on behalf ofBlackRock Investment Management (UK) LimitedCompany Secretary
4 January 2018
Contact for enquiries:Simon WhiteKevin MaygerTel: 020 7743 3000