The amending protocol to Income and Capital Tax Treaty (1976) between Canada and Spain has signed on 18th November 2014 in Madrid. The protocol was authorized by the Spanish Cabinet on 17 October 2014. The Protocol would enter into force after a period of 3 months following the date of receipt of the later notifications. After ratification has completed by both countries, the Protocol would:
- Cut withholding tax rates usable on payments of dividends and interest
- Free from withholding tax of certain payments of interest and dividends made to certain pension plans
- Provide for support in the collection of taxes and contain requirements presenting the standard developed by the OECD for the tax exchange information.
