CONTINUEThis site uses cookies. By continuing to browse this site you are agreeing to our use of cookies. Find out more.
  1. Front Page
  2. News By Topic
  3. Ukraine Reveals Proposed Cyprus DTA Changes

Ukraine Reveals Proposed Cyprus DTA Changes

by Ulrika Lomas, Tax-News.com, Brussels

05 April 2016


Ukraine's Government has announced changes negotiated with Cyprus to their existing double tax agreement.

The revised text will close a loophole that has meant that income from immovable property situated in Ukraine has escaped taxation in Ukraine. Newly, income received by Cypriot residents from the sale of shares or other corporate rights will be subject to tax in Ukraine if more than 50 percent of the value of that income is directly or indirectly linked with immovable property income situated in Ukraine.

The minimum rate on dividends has been raised from two percent to five percent. This lower rate applies where the recipient holds 20 percent or more of the shares in the company distributing the dividend and invested at least EUR100,000 (USD113,500) to obtain that holding. A tax rate of ten percent applies otherwise.

The revised dividends section will become effective no earlier than January 1, 2019. Other changes have been proposed to bring the agreement into line with the latest international tax standards developed by the OECD.

The amendment has been forwarded to Ukrainian lawmakers for their approval.

TAGS: Finance | tax | investment | business | double tax agreement (DTA) | law | Organisation for Economic Co-operation and Development (OECD) | ministry of finance | agreements | Cyprus | dividends | tax reform | trade | Ukraine | business investment | Tax

To see today's news, click here.

Leave a comment

Read our Posting Guidelines

 






Close

Password Reminder

Please enter your email address to receive a password reminder.

 






Tax-News Reviews

Cyprus Review

A review and forecast of Cyprus's international business, legal and investment climate.

Visit Cyprus Review »

Malta Review

A review and forecast of Malta's international business, legal and investment climate.

Visit Malta Review »

Jersey Review

A review and forecast of Jersey's international business, legal and investment climate.

Visit Jersey Review »

Budget Review

A review of the latest budget news and government financial statements from around the world.

Visit Budget Review »



Tax-News+ Updates

Receive FREE daily updates from Tax-News.com, straight to your inbox. Register Now!

For a tailored solution, choose to receive selected news updates for your preferred jurisdictions and topics, with our enhanced Tax-News+ subscriber service. Read more...

 

Stay Updated

Please enter your email address to join the Tax-News.com mailing list. View previous newsletters.

By subscribing to our newsletter service, you agree to our Terms and Conditions and Privacy Policy.


To manage your mailing list preferences, please click here »