Latvian companies working in Kosovo will not be subject to double taxation

Latvian businessmen working in Kosovo are expected to continue to provide a stable tax avoidance regime that will not be affected by the amendments to the laws of Kosovo. This is foreseen by the Saeima's Thursday, October 14, second - final reading supported  Bill , which ratifies the treaty between Latvia and Kosovo on the avoidance of double taxation, avoidance of tax evasion & nbsp; and its protocol.

The Treaty also aims to avoid tax evasion by the parties. The agreement will create a legal basis for direct cooperation between the Latvian and Kosovo tax authorities, providing for their regular exchange of information.

Until now, without this information, it has been difficult to tax revenues earned by citizens of both parties abroad and it has been problematic to apply a number of special provisions of national tax legislation.

With the entry into force of the agreement, investors in each contracting country will have a more stable taxation regime in the other country in terms of, for example, business income, dividends, interest, copyright. 

Information was prepared by the Saeima Press Service.