Please be advised that the Principality of Andorra and the CzechRepublic signed a new Tax Information Exchange Agreement (TIEA) on June 11, 2013.
The treaty can stipulate new tax rates for dividends and interest income (15%) when the relevant and valid documentation is provided.
The treaty will enable requesting of all the information necessary for proper assessment, collection and exaction of taxes from the competent authority of the contracting state.
The treaty will enter into force after the Parliament’s approval and President’s signature.
Impact on investors: The new TIEA signed between the Principality of Andorra and the Czech Republic will arrange the relationship between the Czech and Andorran tax authorities and can stipulate 15% tax rate for dividends and shares after Parliament’s and President’s approval.