Estonian Foreign Minister Urmas Paet and Minister of the Treasury of the Isle of Man Allan Robert Bell signed an agreement for the avoidance of double taxation and the prevention of fiscal evasion between the Republic of Estonia and the Isle of Man on 8 May.
“The Isle of Man has free access to the internal market of the European Union and the island’s government facilitates the establishment of high technological and financial institutions on the island,” said Paet. “We hope that the agreement for the avoidance of double taxation will open up productive co-operation potential for the businesses of Estonia and the Isle of Man,” Paet noted at the signing of the agreement.
The purpose of the agreement for the avoidance of double taxation is to facilitate investments, ensure the equal treatment of individuals, and eliminate double taxation that can occur as the result of the enforcement of the laws of two countries. Agreements for the avoidance of double taxation are concluded primarily to share the tax revenues between the two countries and so that citizens would not have to pay taxes on the same revenue in two countries. The agreement also creates additional opportunities for preventing tax fraud.
Estonia has established agreements for the avoidance of double taxation with over 40 countries. The most recent agreement to come into effect was concluded with Bulgaria.
Estonia and Isle of Man Concluded Agreement for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion (2)