Cyprus and Barbados sign double taxation avoidance agreement

After several years of negotiations, Cyprus and Barbados signed an agreement for the avoidance of double taxation on 3 May 2017 in London.

The two countries have a good deal in common: both are former British colonies that achieved independence in the 1960s and both have a service-based economy, in which tourism and international financial services play an important part.

Conclusion of a double taxation agreement will foster co-operation in other fields and extend Cyprus’s treaty network into the Caribbean.

The text of the agreement has not yet been published but, according to the Cyprus Ministry of Finance, it follows the OECD Model Tax Convention. The agreement will take effect when formal ratification procedures have been completed.