The Russian authorities may revise double taxation avoidance agreements (DTAs) with Turkey, Malaysia and the United Arab Emirates (UAE), Vedomosti reported citing Deputy Finance Minister Alexei Sazanov.
“In terms of negotiations on tax agreements with friendly countries, we are preparing proposals to send to the government for consideration. We are preparing proposals for Malaysia, Turkey and UAE in case of introduction of corporate income tax there,” he said.
Deputy Minister noted that the revision of agreements would reduce the cost of attracting direct investment from residents of these countries. If the government approves the idea, “to work in this direction” will start next year.
SIDN between Russia and Turkey has been in force since 1997 and applies to income taxes on both individuals and organizations. With Malaysia, such an agreement is in force since 1987 (concluded by the USSR) and also applies to the taxes of individuals and legal entities, in addition to the Malaysian tax on oil production. The agreement with UAE signed in 2011 relates to corporate income tax (in Russia) and corporate income tax (in Emirates).