Double taxation to end between SL-Luxembourg

Saturday, 6 August 2011 01:56 - - {{hitsCtrl.values.hits}}

In another bid to develop investment, the Government is to sign a Draft Convention with Luxembourg to prevent double taxation and fiscal evasion. The Draft Convention between the Government and the Government of the Grand Duchy of Luxembourg for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital, the Cabinet paper stated.

It added that the above convention has been negotiated and concluded in keeping with the Government policy to enhance economic relations between Sri Lanka and Luxembourg. Sri Lanka is expected to be benefitted through the promotion of foreign investments and earning of foreign exchange as a result of this Convention.

The proposal made by the President to sign the draft Convention at Government Level and to present it in Parliament for approval in terms of Section 97(1)(a) of the Inland Revenue Act No.10 of 2006, was approved by the Cabinet.