Russia, Malta Sign Protocol Amending Double Taxation Avoidance Deal - Finance Ministry

Russia and Malta have signed a protocol amending their double taxation avoidance agreement, and the tax rate on dividends and interest will be now increased to 15 percent, the Russian Finance Ministry said on Thursday

MOSCOW (UrduPoint News / Sputnik - 01st October, 2020) Russia and Malta have signed a protocol amending their double taxation avoidance agreement, and the tax rate on dividends and interest will be now increased to 15 percent, the Russian Finance Ministry said on Thursday.

"On October 1, the protocol introducing amendments to the Russian-Maltese double taxation avoidance agreement was signed, which envisions the increase of the source's tax on dividends and interest to 15 percent," the Russian Finance Ministry said in a statement.

The document was signed by Russian Deputy Finance Minister Alexey Sazanov and Malta's Ambassador to Moscow Pierre Clive Agius.

The protocol should be ratified until the end of the year, so that its provisions could be applied starting January 1, 2021.

The protocol envisions exceptions for institutional investment and public companies with at least 15 percent of shares in free circulation and those holding at least 15 percent of shares in companies repaying the above-mentioned income during a year. For these companies, the tax is set at 5 percent.