On 20 July 2020 in Nicosia, Switzerland and Cyprus signed a protocol amending their agreement for the avoidance of double taxation with respect to taxes on income and capital (DTA). This protocol implements the minimum standards for double taxation agreements from the BEPS project.
It contains an anti-abuse clause which refers to the main purpose of an arrangement or transaction and thus ensures that the DTA is not abused.
The cantons and the business circles concerned have welcomed the conclusion of the protocol of amendment. It still has to be approved by the legislator in both countries before it can come into force.
Address for enquiries:
Bilateral Tax Issues and Double Taxation Treaties Section, State Secretariat for International Finance SIF
Tel. +41 58 462 71 29, firstname.lastname@example.org
Last modification 20.07.2020