The ECJ's decision in HSBC Holdings plc, Vidacos Nominees Ltd v HM Revenue & Customs was handed down this morning finding in favour of the taxpayer.

The ECJ has held that the imposition of a 1.5% charge to SDRT when securities were issued through clearance services where no charge would otherwise be imposed was a breach of the Capital Duties Directive.

For those of you that have made secondary listings involving a clearance service in EU Countries or non-EU Countries (e.g. US depositary receipt systems), you should consider making a claim for the repayment of the 1.5% SDRT charge including Compound Interest.

This is a better result than anticipated from the AG’s opinion as it seems to permit the recovery of the whole 1.5% charge and not just the excess over the 0.5% charge levied on a transfer.