double taxation avoidance agreement
For those who are not specialists in international law and taxation and want to consider possible optimization of your business at international level, the first question you will be: “Why should I use low tax jurisdictions if there are offshore jurisdictions where there is no taxation at all?” First of all it’s necessarily to differentiate these two notions.
The classic offshore includes: British Virgin Islands, Belize, Seychelles, Dominica, Panama, Gibraltar and so on.
To the low tax jurisdictions refer: Cyprus, Ireland, England – conditionally, Netherlands, Luxembourg.
No doubt, all offshore unlike low tax jurisdictions tend to have a reputation of “tax heaven” – widespread mean of money laundering.
Nevertheless one of the pros of low tax jurisdictions is double taxation avoidance agreement with Russian Federation and the most of the world countries.
Double taxation avoidance agreement often makes possible to minimize of fully avoid tax losses while paying loans, royalties and in case of share sale of Russian companies which have active assets and so on.
Please note that the double taxation agreement doesn’t optimize tax process of foreign trade operations.
Low tax jurisdictions in comparison with offshores are more difficult mean of tax planning and require deep knowledge of international law and taxation.
West Union law experts will help you to optimize tax payments as much as possible taking into consideration all the benefits of not only offshore, but also low tax jurisdictions.
For detailed information please dial:
- Berlin +49 30 24724252
+7 (495) 773 36 46
- St. Petersburg +7 931 3372795
- London +44 78 12524249
- Paris +33 14 7430883
- Nicosia +357 22377311
- New York +1 347 4509922
- Hong Kong +852 28910030
- Riga +371 28455799
- Kiev +380 96 1892877
- Luxembourg +49 171 4139820
- Shanghai +852 61483894