UK and Algeria sign tax treaty

The UK and Algeria signed a tax treaty on February 18 which provides for maximum rates of withholding tax for interest and royalty payments of 7 percent and 10 percent respectively, UK’s HM Revenue and Customs has announced.

The treaty also provides for withholding taxes for dividends of 5 percent for direct investors and of 15 percent for portfolio investors. It includes the latest OECD exchange of information article.

The agreement was signed by the UK’s Rt Hon Philip Hammond MP, Secretary of State for Foreign and Commonwealth Affairs and Ramtane Lamamra, Minister of Foreign Affairs of Algeria.

It will enter into force once both countries have completed necessary legislative procedures and have exchanged diplomatic notes.

See:

• Algeria and UK tax treaty: double taxation convention – not in force