Ukraine ratifies agreement with Qatar on avoidance of double taxation

The Verkhovna Rada, Ukraine's parliament, has ratified the agreement between Ukraine and Qatar on the avoidance of double taxation, which is aimed at reducing tax obstacles to investment and trade, the press service of the Ukrainian Finance Ministry has reported.

"The Verkhovna Rada has ratified the agreement between the Government of Ukraine and the Government of the State of Qatar on the avoidance of double taxation and the prevention of tax evasion with respect to taxes on income and the protocol thereto. The need to conclude this agreement and the protocol thereto is explained by the fact that income arising in economic relations between residents of Ukraine and Qatar are subject to double taxation: in the state where a recipient of income is a resident, as well as in the state where activity, with respect to which income arises, is exercised," reads the statement.

The Finance Ministry said that ratification of this agreement would help avoid double taxation, prevent tax evasion and reduce tax obstacles to investment and trade.

The ratification of the agreement is important to Ukraine since the current tax law provides for the avoidance of double taxation only on the basis of signing bilateral international agreements.

op