Russia has not yet sent to Hong Kong and Switzerland offers to review the tax agreements and increase to 15 percent the tax on dividend and interest income, as the cabinet is still coordinating the matter, State Secretary - Deputy Finance Minister Alexey Sazanov said on Tuesday
NICOSIA (Pakistan Point News / Sputnik - 08th September, 2020) Russia has not yet sent to Hong Kong and Switzerland offers to review the tax agreements and increase to 15 percent the tax on dividend and interest income, as the cabinet is still coordinating the matter, State Secretary - Deputy Finance Minister Alexey Sazanov said on Tuesday.
In late March, Russian President Vladimir Putin proposed a 15 percent tax on dividends received by Russian nationals and then transferred to foreign bank accounts, noting that it would require adjusting Russia's double taxation avoidance agreements with other countries. The Russian Finance Ministry has sent relevant offers to Cyprus, Luxembourg, Malta and the Netherlands, and a protocol on amending the double taxation avoidance deal has already been signed with Cyprus. In early August, Russian Deputy Prime Minister Alexey Overchuk said that similar proposals could also be sent to Switzerland and Hong Kong.
"We are coordinating the matter inside the government," Sazanov told reporters, adding that Russia has not yet sent proposals to Hong Kong and Switzerland.
"We are now engaged in active negotiations with the Netherlands. We have sent our proposal, and we expect them to declare their final stand until the end of September," Sazanov added.
