MiKaDiv compliance, automated end to end
From 1 January 2027, every German company listed on a regulated EU market must report shareholder identification data to the Federal Central Tax Office (BZSt) with every dividend distribution. Proxymity’s MiKaDiv Compliance Solution streamlines the full reporting lifecycle, giving issuers confidence that their obligations are met accurately and on time.
2,000+
intermediaries connected
BZSt-accredited
Authorised software vendor for MiKaDiv submissions via the DIP interface
Leading data provider
in SRD II markets
All in one user-interface
Intuitive portal for monitoring, managing and report submission
Proxymity makes MiKaDiv compliance simpler
Unmatched connectivity
- Connected to Clearstream Frankfurt, Tier 1 custodians globally and more than 2,000 intermediaries, covering the full custody chain from CSD to beneficial owner to ensure complete data reporting. Disclosure Regimes, including the EU, U.K, Ireland, Australia, Hong Kong, Malaysia and Singapore.
Automated reconciliation at every level
- Proxymity’s reconciliation engine normalises identifiers across BIC, LEI and proprietary references, compares positions at each level of the custody chain, and surfaces discrepancies directly in the platform before anything is submitted to the BZSt.
MiKaDiv-compliant format
- Converts shareholder identification data into the required XML format and submits directly to the BZSt.
Audit-ready transparency
- Full status monitoring, downloadable reports and archived BZSt receipts for internal and regulatory audit purposes.
Future-proof infrastructure
- Designed in line with the EU FASTER directive, so your infrastructure is ready for the next phase of European withholding tax reform from 2030.
Highest security standards
- Proxymity is SOC2 certified, compliant with GDPR and meets all regulatory requirements pertaining to shareholder transparency in every applicable market.
MiKaDiv reporting cycle: example submission timeline
The Proxymity flow: transparent, secure & accurate
Benefits to your organisation
- Meet your MiKaDiv obligations accurately and on time with a BZSt-accredited solution with DIP interface connectivity
- Minimise the risk of penalties, client compensation claims and reputational damage from incorrect or incomplete reports
- Automate the entire reporting process from DSCL request to BZSt submission and significantly reduce manual effort
- Automated matching, plausibility checks and discrepancy detection give issuers certainty over the data submitted to the BZSt
Frequently asked questions (FAQs) about MiKaDiv compliance
What is MiKaDiv?
MiKaDiv stands for Mitteilungsverfahren Kapitalertragsteuer auf Dividenden aus Aktien und Hinterlegungsscheinen, the notification procedure for capital gains tax on dividends from shares and depositary receipts. It is Germany’s digital reporting regime for dividend withholding tax data.
When does MiKaDiv become mandatory?
MiKaDiv reporting becomes mandatory on 1 January 2027 and applies to all capital income received after 31 December 2026. German issuers listed on regulated EU markets must begin shareholder identification at the time of their profit distribution resolution, typically at the AGM. The first MiKaDiv reports are expected during the 2027 AGM season.
Who is affected by MiKaDiv?
Directly affected:
– German companies listed on a regulated EU market
– German custodians and domestic paying agents
– Foreign financial institutions processing German dividend payments
– BPO providers handling dividend reporting on behalf of issuers
Indirectly affected:
– International custodians holding German securities
– Asset managers relying on accurate withholding tax processing
– Beneficial owners seeking timely and correct tax relief
Who must submit MiKaDiv reports?
German companies listed on a regulated EU market are required to submit shareholder identification data to the BZSt with every dividend distribution. Issuers can submit directly or appoint an authorised third party. German custodians, domestic paying agents and foreign financial institutions processing German dividend payments also carry obligations under the regime.
What data must be reported under MiKaDiv?
For retail shareholders: name, date of birth, address and tax identification number. For institutional shareholders: company name, registered address and business identification number. Data must be submitted to the BZSt in a prescribed XML format via the DIP interface.
However, fragmentation across the custody chain, manual processes and inconsistent reporting can make shareholder data difficult to assemble accurately for filing, and they raise a significant consideration for MiKaDiv compliance. We explore these issues in detail in our latest article: MiKaDiv Regulation: Why Data Quality is the Real Compliance Risk
What happens if a company fails to comply with MiKaDiv?
Non-compliance carries the risk of regulatory penalties, client compensation claims and reputational damage. Because MiKaDiv is part of Germany’s response to the CumEx fraud, the BZSt is expected to apply close scrutiny to reporting accuracy and completeness.
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