Double taxation avoidance act between Taiwan and Czech to take effect in 2021

　An agreement on the avoidance of double taxation and prevention of fiscal evasion (namely, the Avoidance of Double Taxation Agreement (ADTA)) between Taiwan and the Czech Republic already completed its legislation process in Czech on February 12, 2020 (local time in Czech).  According to the ADTA, both Taiwan and Czech shall give mutual written notice about the time when the ADTA shall go into effect, and the ADTA is scheduled for official implementation on January 1, 2021.  The ADTA will help the enterprises on both countries to create a friendly commercial environment of fair taxation and will further facilitate bilateral investment and trade, boost job opportunities, technical exchanges and taxation affairs cooperation.  

　Following Poland, Austria, Belgium, Denmark, France, Netherlands, Germany, Hungary, Italy, Luxembourg, Republic of North Macedonia, Slovakia, Switzerland, Sweden, and the UK, the Czech Republic is the 16^th European country that has signed a pack on avoidance of double taxation with Taiwan, and the ADTA is one of the 33^rd comprehensive tax agreements signed by and between Taiwan and other countries.  

  Czech has been Taiwan’s 4^th largest investment destination country in Europe, and Taiwan and Czech have been maintaining a fair and substantial relationship.  Moreover, Taiwanese enterprises have put investments in Czech currently for intense cooperation in high-tech and electronics and information industries, thus creating around 23,000 employment opportunities in Czech.  (February 2020)  

/CCS