Kuwait & United Arab Emirates Terminate Tax Agreements with Mongolia
Type
E-journal
Date
3 Mar 2014
Jurisdiction
Kuwait, United Arab Emirates, Mongolia
Taxonomy
Treaties & International Agreements, International Tax
Copyright
LexisNexis
Analysis
Kuwait and the UAE have announced they have terminated their agreements with Mongolia. The terminations come into effect on 1 January 2015.
The tax agreement between Kuwait and Mongolia came into effect on 1 January 1998 whilst the tax agreement between Mongolia and the UAE came into effect on 1 January 2001.
Under the Kuwait-Mongolian tax agreement, the country of source was allowed to impose dividends and interest not exceeding 5% of the gross amount.
Royalties could be taxed in the contracting state in which they arose and in line with the laws of that contracting state, but if the beneficial owner of the royalties was a resident of the other contracting state the tax charged could not exceed 10% of the gross amount.