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ARTICLE
United Kingdom does not recognize Russia’s withdrawal from double taxation agreement
European Pravda
Friday, 18 August 2023, 23:32
https://www.pravda.com.ua/eng/news/2023/08/18/7416192/
The United Kingdom asked Russia to resume participation in the bilateral agreement on avoidance of double taxation, as it does not provide for unilateral suspension.
SOURCE: This is stated in a statement published on Friday by the UK government, writes European Pravda
DETAILS:
The UK government notes that on 15 August it received a notification from Russia to suspend “almost all material provisions” of the double taxation treaty with the UK, which has been in force since 1998.
Downing Street notes that the Convention between the UK and Russia does not allow such unilateral actions, so London will continue to implement it.
QUOTE:
“The government views this action with utmost seriousness.The UK has asked Russia to reverse the suspension,” the report said, adding that the government is considering further steps.
On 8 August, Russian President Vladimir Putin signed a decree suspending most of the provisions of double taxation treaties with 38 countries, in particular Poland, the USA, Bulgaria, Sweden, Britain, Hungary, France, Italy, the Czech Republic, Norway, etc.
According to the decree, the decision was made “based on the need for urgent measures” in connection with the “unfriendly actions” of some countries against Russia, its citizens and companies. Now the Russian government must develop, and the parliament must approve the relevant bill.
The Double Taxation Convention allows legal entities and individuals who are tax residents of one country but receive income in another to pay taxes in one country.