Agreement on double taxation signed between Iran and Czech Republic
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Iran and the Czech Republic have signed an agreement which
allows the two countries’ companies to avoid paying double tax on their
trade activities.
The agreement was signed on Thursday by
Iran's Minister of Economic Affairs and Finance Ali Tayyebnia and his
Czech counterpart, Andrej Babiš, in the Czech capital city of Prague.
According
to the Iranian minister, the agreement allows Iranian and Czech
companies to take advantage of the legal privileges specified in the
agreement to avoid double taxation on their trade activities in the two
countries.
Iran's Minister of Economic Affairs and Finance Ali Tayyebnia
Double taxation makes way for two countries to levy
separate taxes on the same income, asset, or financial transaction, thus
adding to financial costs of the parties involved in a transaction.
Speaking
to reporters after signing the agreement, Tayyebnia said, the two
countries have held “positive and constructive negotiations” on the
expansion of their cooperation and elimination of the existing trade
barriers.
He also expressed hope about further development of
trade and economic cooperation between the two countries, adding that
the two sides have discussed cooperation in the field of automobile
manufacturing, railroads and other industries.
Czech minister of
finance, for his part, said signing of the agreement will further
strengthen economic relations between Tehran and Prague.
Andrej Babiš, minister of finance and deputy prime minister of the Czech RepublicHe
added that the Iranian market is of special importance to the Czech
Republic because it is a gateway to other regional markets as well as
Iran's neighboring countries.
Heading a delegation, Tayyebnia is
currently in the Czech capital city of prague to discuss further
expansion of bilateral relations between the two sides.
After his
arrival on Thursday, the Iranian minister noted that there are good
grounds for further expansion of economic collaboration between Tehran
and Prague, adding, “During recent years, the volume of bilateral trade
has taken a nosedive and our goal is to develop cooperation between the
two countries.”
In addition to his counterpart, Tayyebnia is also
expected to meet and confer with Vice Speaker of the Czech Parliament
Vojtech Filip.
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Iran's Minister of Economic Affairs and Finance Ali Tayyebnia
