ArmInfo.The Armenian branch of Grant Thornton has called on the U.S. Department of Treasury "to negotiate a mutually-beneficial Double Tax Treaty with the Republic of Armenia," the Armenian National Committee of America (ANCA) reports.
"In the spirit of the recently negotiated U.S.-Armenia Trade and Investment Framework Agreement, which is already producing real dividends, I encourage you to move forward expeditiously with a Double Tax Treaty," explained Grant Thornton Armenia Managing Partner Gagik Gyulbudaghyan in an August 7th letter to Secretary Mnuchin. "By eliminating the threat of double taxation we would both remove an artificial barrier to American investment and also incentivize businesses from both nations to explore new avenues for cooperation."
According to the source ANCA Chairman Raffi Hamparian hailed Grant Thornton's efforts and urged to sign the new agreement with Armenia with no delay.
Earlier ArmInfo had informed that on February 7, 2018 US Department of Treasury announced its readiness to discuss the issue of reviewing the Treaty to escape a double taxation with Armenia- in response to direct questioning by Rep. Brad Sherman (D-CA) - to commit Treasury Department officials to pursue a new U.S.-Armenia Double Tax Treaty.
A U.S.-Armenia Double Tax Treaty would establish a clear legal framework for investors and individuals that have business activities in both jurisdictions, preventing double taxation and facilitating the expansion of economic relations. It would also help reinforce the friendship of the American and Armenian peoples, anchoring Armenia to the West, and providing Yerevan with greater strategic options and independence in dealing with regional powers.
The U.S. has double tax treaties with many small countries, including Estonia, Jamaica, Latvia, Lithuania, Malta, and Slovenia.
Armenia has double tax treaties with many advanced countries, including Austria, Belgium, Canada, China, France, Italy, the Netherlands, Poland, Russia, and the United Kingdom (47 countries in overall).