Albania’s Council of Ministers approved the signing of a draft income tax treaty with Lithuania on 9 April 2025.
This announcement was made by The Albanian Telegraphic Agency (ATA) on the same day.
The deal aims to prevent tax evasion through information exchange between the two countries.
Such agreements determine which country has the right to tax specific income, ensuring that individuals and businesses aren’t taxed twice on the same earnings.
Albania’s tax treaties are based on international models developed by the OECD and the UN and take precedence over domestic tax laws once ratified.
The treaty will be the first between the two countries and will need to be signed and ratified before it can take effect.
