22 Apr, 2020

Webinar 24th April 2020: Upcoming changes in the Russian DTTs

Categories: Uncategorized

Friday at 11:00 am (GMT+3)

To participate free of charge, please follow the link to register:

https://events.webinar.ru/FinExpertiza/4386120

Agenda

  •  Welcome & Introduction:

George O. Tsamourlidis, Head of Tax and Advisory, Senior Audit Manager

  •  Current DTTs provision breakdown.
  •  Cyprus first to receive the official notification of DTTs amendments.
  •  Proposed DTTs provision breakdown.
  •  After Malta & Luxembourg, who’s next?
  •  Q&A Session

In the first official statement since the beginning of the coronavirus COVID-19 pandemic, Russian President Vladimir Putin addressed the nation on 25th March 2020, sending a shock wave through the business community with an announcement that a new tax rate, increased to 15%, will be charged on interest and dividends to recipients in ‘conduit’ jurisdictions (i.e. jurisdictions of intermediaries between the dividend/interest payer and recipient).

Though it was speculated that it will take time to feel the effects of the proposed DTTs amendments, Cyprus received the first official letter within a week, followed by Luxembourg and Malta.

What exactly is mentioned in the proposal and are there any exemptions to the new amendments?

With a timeframe in place and a very tight schedule to comply with the amendments, business owners are called upon to assess the impact and evaluate their options on the way forward.

Is there a way out this time? With a few alternatives available, everything will depend on the final agreements and the jurisdictions involved.

Russian Ministry of Finance and Ministry of Foreign Affairs have until 24th April 2020 to prepare a list of any other countries with which similar tax treaty changes may be considered.

For more information on the COVID-19 measures in Russia and how these measures can affect you, please contact us on info@finexpertiza.cy