The text of the Income Tax Treaty between Cyprus and Bahrain has become available.
In accordance with the treaty, the following withholding taxes will apply:
- Dividends: 0%.
- Interest: 0%.
- Royalties: 0%.
The treaty was signed on 9 March 2015 and will come into force after the two countries exchange ratification instruments.
The provisions of this Agreement shall have effect:
- In Bahrain:
- with regard to taxes withheld at source, in respect of amounts paid or credited on or after the first day of January next following the date upon which this Agreement enters into force; and
- with regard to other taxes, in respect of taxable years beginning on or after the first day of January next following the date upon which the Agreement enters into force.
- In Cyprus:
- with regard to taxes withheld at source, in respect of amounts paid or credited on or after the first day of January next following the date upon which this Agreement enters into force; and
- with regard to other taxes, in respect of taxable years beginning on or after the first day of January next following the date upon which the Agreement enters into force.
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