The Czech Republic and Argentina signed their first-ever income and capital tax treaty on 14 April 2026, establishing rules to prevent double taxation and curb tax avoidance, with agreed withholding tax rates and application from 1 January following entry into force.
The Czech Republic’s Ministry of Finance has announced that the Czech Republic and Argentina signed their first income and capital tax treaty on 14 April 2026.
This agreement aims to prevent double taxation on income and capital between the two countries while addressing tax avoidance and evasion issues.
The agreement covers Argentina’s income tax and personal assets tax, while in the Czech Republic, it applies to income tax on individuals and legal persons as well as tax on immovable property.
The treaty sets the following withholding tax limits:
- Dividends: 10% if the recipient company holds at least 25% of the payer’s capital; otherwise, 15%
- Interest: 12%, with exemptions for government bodies, central banks, and certain publicly guaranteed or export/investment-related loans
- Royalties: 3% for news agencies; 5% for copyright-related payments where the beneficial owner is the author or heir; otherwise, 10%
The treaty will enter into force after the exchange of ratification instruments and will apply from 1 January of the year following entry into force.
Earlier, the Czech Republic’s government approved signing a tax treaty with Argentina on 11 June 2025.
