Insider Economy Full throttle ahead for double taxation treaties

Full throttle ahead for double taxation treaties

It’s full full throttle ahead for all involved parties in the pursuit of initiating new double taxation treaties between Cyprus and other countries within 2019 or  renewing  and strengthening existing ones, according to INSIDER information.

Cyprus today maintains such treaties with 64 countries and these are significant for international business because they encourage investment from one nation to another. Nicosia also aims to continuously expand this network since it is considered as a very important tool in the Mediterranean island’s bid to become a centre for services and an investment hub.

Indicatively, talks will take place over the first half of the year with countries such as Hong Kong, Pakistan, Nigeria and Sri Lanka. With the first three, talks are at a more advanced stage since this will be the second round of meetings. In addition, a second round of meetings aiming towards an agreement to be signed with Jordan is scheduled to take place next June in Amman.

A first round of negotiations is expected to take place this year also with countries Cyprus never had double taxation agreements such as Japan, Kenya and Panama. Talks are planned with Brazilian officials as well, but it seems that the Latin country does not have a similar interest in implementing such an agreement at this stage.

Three renewals or revised agreements are planned to be signed within 2019, first with France and then with Poland and China. Informed sources said relevant requests for the launch of negotiations have been sent by Cypriot officials to other countries such as Mongolia, Namibia and Australia.

The main purpose of Double Tax Treaties is to avoid international double taxation, whereby the same profits are taxed in two or more states. Double tax treaties also clarify the scope of the taxing rights of each contracting state, allowing international business to be transacted with a degree of certainty and stability.

This is why Double Tax Treaties are important tools for international tax planning, and constitute a substantive advantage for any jurisdiction which has entered into such arrangements.

 

Read more:

 

https://in-cyprus.com/cyprus-uk-sign-protocol-amending-double-tax-agreement/

 

 

 

 

 

 

 

Top Stories

Partly cloudy on Tuesday, possible afternoon showers

Partly cloudy on Tuesday with isolated showers and possible thunderstorms in the afternoon. Winds will be light to moderate in the morning, force 3 to...

43 new cases of COVID-19 on Monday

The Health Ministry announced 43 new COVID-19 cases on 19 October, out of 2,558 laboratory tests, taking confirmed infections to 2, 687. The break-down of...

1420 only for emergencies regarding COVID-19

Due to the increased number of telephone calls to the telephone center 1420 of the Ambulance Service, it is pointed out that the center...

Anastasiades-Tatar to meet in UN premises

Cyprus President Nicos Anastasiades and the new leader of the Turkish Cypriot community, Ersin Tatar, will meet in the UN premises in Nicosia. Government Spokesman,...

Four people sentenced to imprisonment for abduction

The Larnaca District Court today sentenced four people aged 42, 22, 24, and 19 to imprisonment for abducting a 27-year old last August in...

Taste

Squash soup

Ingredients: 1 kg pumpkin, cut into small cubes, approximately 5 cups 2 medium (400g) sweet potatoes, cut into cubes, approximately 2 ½ cups 1 chopped leek, only...

Mezedes

No visit to Cyprus is complete without enjoying the traditional meal of many small dishes known as ‘meze’. This large feast, which has been a...

Prawns with fried cheese, barley shaped pasta

Put the barley shaped pasta into a small pan with salted water, bring to a boil and when tender, drain. Peal the prawns leaving...

Salmon and shrimp sheftalies

Mix all ingredients for tabbouli in a bowl and keep to one side so flavours can combine. Prepare the sheftalies: wash and soak the casing...