site.btaGovernment Approves Draft Tax Treaty with Oman

The Council of Ministers Wednesday approved a draft treaty with the Sultanate of Oman for the avoidance of double taxation and the prevention of fiscal evasion with respect to income taxes, the Government Information Service reported. Bulgaria and Oman have no prior tax treaty; in the last years, they have cooperated in the field of taxation mainly through various forms of tax information exchange.

The treaty's conclusion will improve the investment climate between the two countries and contribute to the creation of real conditions for expanding market niches for Bulgarian exports, accelerating bilateral trade, and implementing new investment projects.

The tax relief provided by the treaty for businesses and citizens of both countries and the introduction of generally accepted international tax rules will create a secure environment conducive to the development of economic activity.

The draft tax treaty with Oman reflects the latest developments and standards in the international tax system, initiated by the G-20 countries and the Organisation for Economic Co-operation and Development and introduced with its Base Erosion and Profit Shifting (BEPS) project.