Agreement on the Avoidance of Double Taxation Signed Between Kyrgyzstan and Cyprus

Bakyt Sydykov, Minister of Economy and Trade of the Kyrgyz Republic, held a meeting with Konstantinos Kombos, Minister of Foreign Affairs of the Republic of Cyprus, who is on an official visit to the Kyrgyz Republic.

During the meeting, the parties discussed the current state and prospects for the development of Kyrgyz-Cypriot relations, as well as issues relating to the expansion of trade, economic and investment cooperation.

Following the meeting, a signing ceremony was held for the Agreement between Kyrgyzstan and Cyprus on the avoidance of double taxation with respect to taxes on income and the prevention of tax evasion.

The main objective of this Agreement is to eliminate double taxation of the income of economic entities in both countries, which will contribute to the creation of favourable conditions for the development of economic cooperation between the Kyrgyz Republic and the Republic of Cyprus.

It should be noted that double taxation agreements are regarded as one of the effective tools for attracting foreign direct investment into the Kyrgyz economy.

Furthermore, the document aims to ensure the protection of residents of one State from discriminatory taxation within the territory of the other Contracting State, to prevent tax evasion and abuse of the provisions of the Agreement, and to promote the mutual exchange of information between the competent authorities of the two countries.