Amended double taxation agreement between Greece and Switzerland
The Swiss Federal Department of Finance (FDF) has announced that the Protocol of Amendment of November 4, 2010 (see our article below from Nov, 4, 2010) to the double taxation agreement (DTA) between Switzerland and Greece entered into force on January, 1, 2012.
According to the FDF, the protocol contains an OECD administrative assistance clause and will contribute to the further positive development of bilateral economic relations.
The new agreement is of a major interest to the greek side for taxation and administrative assistance matters and it notes that : "Aside from an OECD administrative assistance clause, Switzerland and Greece have agreed, amongst other things, to exempt dividend payments to pension funds and public bodies from withholding tax in the future. The rate of tax the source state is entitled to levy on interest payments has been lowered from 10% at present to 7%. An arbitration clause has also been adopted in the revised DTA with Greece. This will contribute to the definitive avoidance of double taxation."
The provisions of the Protocol of Amendment is in force as from January 1, 2012, as the Protocol of Amendment has been approved by the Greek parliament on Dec,27,2011. The Swiss parliament has already approved this agreement last year. You may find a link to the complete text of the agreement on our article below.