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What’s in store for investors in the Estonia DTAA?

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A Double Taxation Avoidance Agreement with the Republic of Estonia which was signed on 19 February 2021 is about to be promulgated.

Cabinet expects the DTAA with the European nation will provide tax certainty to investors of both countries. 

The agreement is also set to provide mechanisms to combat tax evasion and other malpractices through the collaboration between the two authorities in terms of exchange of information and lending assistance to each other for tax due to the concerned tax authorities.

Along the way, a mutual agreement procedure will be put in place to resolve tax disputes that may arise.

Cabinet also expects the agreement to help build a conducive environment for greater cross-border investment flows between the two countries.

The promulgation of the said Regulations forms part of the internal procedure to ratify the Agreement.

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