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Cyprus – Spain Double Tax Treaty
02.06.2014
Area(s) of Practice: Налоговое право

On 1 January 2015, the new Treaty for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion, signed by Cyprus and Spain on 14 February 2013, will come into effect.

This event is expected to promote investment and economic cooperation between the two countries. The main provisions of the new treaty include:

(a) Dividend payments may be subject to a maximum of 5% withholding tax. Cyprus law provides for 0% withholding tax on dividend payments;
(b) Interest payments will not be subject to withholding tax;
(c) Royalty payments will not be subject to withholding tax.

 

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