MINSK, 24 November (BelTA) – The House of Representatives is getting ready to ratify an intergovernmental convention between Belarus and Saudi Arabia on double taxation avoidance and prevention of capital and income tax evasion. The relevant bill was considered at a session of the House of Representatives’ permanent commission on international affairs and links with the CIS on 24 November. The convention envisages a system of reciprocal concessional taxation of incomes for the economic agents of Belarus and Saudi Arabia on the territory of each of the two states, Deputy Minister of Taxes and Duties Larisa Kondratova said. According to the convention, the rate of the dividend tax will not exceed 5% (15% in line with the present legislation of Belarus), on interest incomes from debt-claims – over 5% (10% in Belarus), on royalties – not more than 10% (15%). The convention is intended to help the tax services of the two countries to coordinate the actions and regulate relations between them. The document excludes any possibility of applying, unilaterally and on unjustified grounds, of the national taxation regime on legal entities and natural persons of the other side. According to the deputy minister, the convention also describes the measures to prevent tax evasion. The sides will exchange the information to prevent tax offences. The convention contains the provisions regarding taxation of income from real property and business profits, revenues obtained from independent and personal services, directors’ fees, royalties and the income derived from entertainment artistic or sporting activities and other income derived by citizens and organizations of Belarus in Saudi Arabia and vice versa. The deputies are set to consider the bill on ratification of the convention in the first reading on 30 November.

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