Moldova, Malta to sign protocol for prevention of fiscal evasion

Chisinau, 18 November /MOLDPRES/ - The government members, at a today’s meeting, ruled to start negotiations on a draft protocol on the amendment of the Convention between the governments of Moldova and Malta for the avoidance of double taxation and preventing fiscal evasion, signed on 10 April 2014.  

The convention on the avoidance of double taxation and preventing the fiscal evasion as to the income taxes are aimed at developing the economic relations between Moldova and Malta, both in the sector of eliminating the double taxation of private people and legal entities and in order to attract foreign investments. ‘’The Convention’s provisions have the goal to create fiscal systems which would coordinate the actions of the contracting states, aimed at avoiding the double taxation, distributing the rights of fiscal taxation between the contracting states, as well as eliminating the fiscal discrimination in any form, which will provide friendly conditions for carrying out the foreign economic activity and strengthening the economic ties,’’ the document reads.

The initiative to sign a protocol on amending the aforementioned Convention belongs to the Maltese side. The main goal of the protocol is to adjust the Convention’s provisions to the actions 6 and 14 from the minimum BEPS standards, with other changes of the Convention possible, in accordance with the BSPS provisions and the sides’ agreement.   

There is a well-established practice internationally on signing such protocols. Presently, there is a government decision on starting negotiations on the protocol on amendment of the Convention between the government of Moldova and the government of Luxembourg. At the same time, the Netherlands voiced willingness to sign such a protocol.  . 

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