Georgia And Moldova Double Taxation Avoidance

A double taxation avoidance deal signed between Georgia and Moldova in November 2017 is coming into play today.

This means that people or businesses working abroad in either country will not have to pay taxes in both countries, and will instead pay income and capital taxes in only one.

Double taxation is the levying of tax by two or more jurisdictions on the same declared income, assets, or financial transaction. This double liability is often mitigated by tax treaties between countries.

The main goal of signing the agreement is to increase economic cooperation between Georgia and Moldova and attract more foreign investments, said Georgia’s Finance Ministry.

Currently, Georgia has treaties with 55 countries to prevent double taxation.

By Shawn Wayne