Kyrgyz committee approves agreement with Azerbaijan

The Kyrgyz Foreign Affairs and Inter-parliamentary Cooperation Committee has today approved the Kyrgyzstan-Azerbaijan  agreement on the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital, the Kyrgyz AKI press agency reported.

Head if the Kyrgyz Economic Regulation Ministry’s Fiscal Policy Administration Tahir Turdiyev said the agreement provides for the introduction of preferential tax rates. For example, tax rates on major items will be reduced by 10 percent for Kyrgyz citizens doing business in Azerbaijan and Azerbaijani citizens in Kyrgyzstan, respectively.

The Azerbaijani Taxes Ministry held a discussion on the draft Convention on the Avoidance of Double Taxation with Respect to Taxes on Income with the Kyrgyz Ministries of Economic Regulation and Foreign Affairs in late 2010. During the discussions, the sides reached an agreement on all points of the draft convention.

To date, Azerbaijan has signed agreements on avoiding double taxation with 40 countries, 36 of which are already in force. Azerbaijan has already confirmed four agreements which will be enforced after internal procedures of the opposing side are complete. Moreover, the country has already made agreements with nine countries at the expert level and continues further talks with six more countries. Azerbaijan continues talks with more than 10 countries to launch negotiations in this area.


/Trend/