Photo credit: M. Denisov / mos.ru (CC BY 4.0)
Russian President Vladimir Putin ordered the suspension of a number of clauses of tax agreements with unfriendly states, RIA Novosti reports. The corresponding decree was published on the website of legal information on Tuesday, August, 8.
The decision is caused by unfriendly actions taken by a number of foreign states against Russia, its citizens and legal entities, the document specifies. It mentions 38 countries: the USA, Poland, Bulgaria, Romania, Great Britain, Croatia, Canada, Norway, Germany, France, Austria, Japan and others.
In particular, the execution of the main norms of bilateral agreements on taxation regarding movable and immovable property, dividends, interest, income from services and copyrights, royalties and other aspects is frozen. It is noted that the decree refers to articles on tax incentives and non-discriminatory norms that make it possible not to pay more burdensome taxes.
The provisions eliminating double taxation remain in force. Taxpayers registered in countries participating in the agreements will be able to set off in Russia the amounts paid abroad.
The Ministry of Foreign Affairs must notify the relevant countries of the decision, and the government must submit a bill on the suspension of agreements to the State Duma.
Russkiy Mir
