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Bahrain Inks Double Tax Treaties With Luxembourg, France,
by Ulrika Lomas, Tax-News.com, Brussels
Tuesday, May 12, 2009
Bahrain last week signed conventions for the avoidance of double taxation and
prevention of fiscal evasion with respect to taxes on income with Luxembourg and
France. Both treaties provide for the exchange of information in tax matters in
adherence to the OECD standard.
The Bahrain-Luxembourg double tax agreement was signed by Bahrain Minister
of Finance Ahmad Bin Mohammed Al Khalif and Luxembourg’s Minister of Treasury
and Budget Luc Frieden on May 6.
The protocol amending the existing Bahrain-France convention for the avoidance
of double taxation was signed in Paris on May 7. The protocol amends the 1993
convention by inserting a new article that allows the competent authorities
in Bahrain and France to exchange tax information in accordance with the OECD
standard.
The two treaties, upon entry into force, after the exchange of formal notes
of intent, will provide good governance in bilateral tax matters as well as
promoting and easing investment and trade between the two countries.
Bahrain now has signed OECD model agreements with four countries and is currently
negotiating further agreements with other OECD countries.
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