Armenia and Israel will not apply double taxation to business of both countries

ArmInfo. Armenia and Israel will no longer apply double taxation to business entities of the parties. On March 22, the Armenian government approved a bill on ratification of the convention between the governments of Armenia and Israel on avoidance of double taxation on property and income.

According to RA Minister of Finance Vardan Aramyan, on March 13, the Constitutional Court gave a positive opinion on the draft law. The document will be submitted for consideration by the legislature.

As the head of the Ministry of Finance pointed out, Armenia has similar agreements (signed and already entered into force) already with 46 countries. Today such agreements with Israel and Denmark have been signed, but so far not ratified. During the current year, procedures will be completed with three countries:  Kyrgyzstan, Uzbekistan, and the Seychelles. Until the end of the year, the Ministry of Finance also plans to conclude negotiations with four more countries.

Let's note that the purpose of these agreements is to eliminate double taxation in foreign trade between two states, to avoid tax discrimination with respect to economic entities of the parties, to exclude double taxation on property and income, and to create a predictable and stable tax environment for business. The program of the Armenian government for 2017-2022. as part of a consistent increase in the potential for economic growth and ensuring macroeconomic stability, promoting interstate trade and cross-border operations in 2019-2022. plans to conclude similar agreements with at least 5 countries.