25 10 2012

Cyprus and Estonia Agreement for the avoidance of double taxation.

Most law-abiding EU country after Germany - Estonia and the state, whose title has become synonymous to the word "offshore" - 10/25/2012 Cyprus signed an agreement on double taxation. This act can be considered Estonia an asymmetric respondd to Latvia proactive position of attraction venture capital to the country.

Estonian foreign minister, a member of the ruling right Reform Party Urmas Paet and his Cypriot counterpart Erato Kozakou-Marcoullis signed in Luxembourg agreement between Estonia and Cyprus for the avoidance of double taxation and prevention of fiscal evasion with respect to taxes on income and capital.

This was a REGNUM today, on October 25, said the Estonian Foreign Ministry, noting that, in the words of Foreign Minister Paet stated that the agreement on the avoidance of double taxation aims to facilitate investments, provide for market participants equal opportunities and eliminate double taxation that can result from the interaction of the law in both countries.

"To achieve this, the agreement imposes a restriction in respect of income tax, which the country - a source of revenue can impose on residents of another country. Agreement also helps to create additional opportunities for the prevention of tax fraud", - added Paet.

The agreement also aims to prevent discrimination of citizens, residents and business associations of the countries participating in the agreement, establishing the rule of equal treatment.
Recall that Estonia signed agreements on avoidance of double taxation with 49 countries already in the world. Cyprus is a so-called "State offshore," offering residents a business around the advantageous conditions for the avoidance of taxation in their home countries.