An agreement between Taiwan and Poland on double taxation avoidance and fiscal evasion prevention took effect Jan. 1, paving the way for increased bilateral trade, investment as well as industrial and technological collaboration, according to the Ministry of Finance.
The accord, titled the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with Respect to Taxes on Income, was concluded Oct. 21 last year in Taipei City, with Henry M. J. Chen, head of the Taipei Economic and Cultural Office in Warsaw, and Maciej Gaca, director-general of the Warsaw Trade Office in Taipei, inking the deal on behalf of the two countries.
Also present at the signing ceremony were Deputy Minister of Foreign Affairs Francois Chih-chung Wu, Deputy Finance Minister Wu Tzu-hsin and Poland’s Under Secretary of State for Economic Development Tadeusz Koscinski.
Under the agreement, taxes cannot be levied by both sides on the same assets, income or financial transactions, the MOF said. The pact also includes a dispute resolution mechanism.
According to the Ministry of Foreign Affairs, the accord will make it easier for Taiwan and Polish enterprises to invest and conduct business in each other’s countries as well as advance economic exchanges and cooperation.
Taiwan and Poland enjoy cordial and healthy relations, the MOFA said, citing existing bilateral agreements and memorandums of understanding covering such areas as air transport, pharmaceuticals, the mutual recognition of driver’s licenses and youth working holidays.
“This agreement on the avoidance of double taxation demonstrates both countries’ commitment to further strengthening mutually beneficial, substantive relations,” the ministry added. The deal is Taiwan’s 32nd comprehensive bilateral tax agreement and 15th with an EU country.
Statistics from the Bureau of Foreign Trade under the Ministry of Economic Affairs showed that Poland was Taiwan’s eighth largest EU trading partner in 2015, with bilateral trade from January to November last year exceeding US$900 million. (KWS-E)
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