MOSCOW (Pakistan Point News / Sputnik - 10th August, 2020) Cyprus has agreed to raise the tax on percentage and dividends to 15 percent within the double taxation avoidance deal with Russia, the Russian Finance Ministry said on Monday, adding that it suspended the process of treaty denunciation.
"During the negotiations, the Republic of Cyprus has accepted the Russian Federation's proposals on introducing amendments to the Russian-Cypriot agreement on double taxation avoidance, including on increasing the tax on percentage and dividends to 15 percent," the Russian Finance Ministry said in a statement.
The Cypriot delegation at the talks in Moscow was headed by Finance Minister Constantinos Petrides.
"We have initialed the draft protocol, which is due to be signed in September 2020," Russian Deputy Prime Minister Alexey Overchuk, who took part in the negotiations, said.
The protocol is to be ratified by the end of the year and will come into force on January 1, 2021.
"As we have initialed the protocol, we suspend the process of denouncing the treaty," Russian Deputy Finance Minister Alexey Sazanov said.
