Projects
Government Bodies
Flag Monday, 15 April 2024
All news
All news
Economy
13 March 2024, 12:28

Belarus to tax companies from unfriendly countries, suspend double taxation avoidance agreements

MINSK, 13 March (BelTA) – In response to Western sanctions the Belarusian government is about to introduce taxation restrictions for companies from unfriendly countries. The move is stipulated by the Council of Ministers’ resolution No.164 of 7 March 2024, which has been published by the national legislation registry, BelTA has learned.

From 1 April 2024 through 31 December 2026 the document will impose a 25% income tax rate on dividends and similar revenues of foreign organizations that do not operate in Belarus via a permanent representative office. At present the tax rate stands at 15%.

The resolution will also suspend the execution of provisions of international agreements on avoiding double taxation through 31 December 2026. This measure may be scrapped if the circumstances that have prompted it have disappeared or upon proposals of the Tax and Duties Ministry.

The Ministry of Foreign Affairs has been instructed to notify parties to the international agreements about the suspension of execution of individual provisions of the agreements. The Finance Ministry together with the Tax and Duties Ministry will have to work with other parties concerned to consider the advisability of changing the rate of profit tax, income tax on natural persons, income tax on dividends and similar revenues of foreign organizations that do not operate in Belarus via a permanent representative office.

The resolution will come into force in the following manner: the execution of provisions of the international agreements on avoiding double taxation will be suspended on the first day of the month two months after the official publication date; other provisions will come into effect after the official publication.

Subscribe to us
Twitter
Recent news from Belarus