The Czech Republic’s Senate has approved the ratification of its first income and capital tax treaty with Argentina, which sets withholding tax limits on dividends, interest, royalties, and technical assistance and aims to prevent double taxation and tax avoidance.
The Czech Republic Senate has approved the ratification of the income and capital tax treaty with Argentina on 30 September 2026.
This agreement aims to prevent double taxation on income and capital between the two countries while addressing tax avoidance and evasion issues.
The treaty sets maximum withholding tax rates of 10% or 15% on dividends, 12% on interest, and generally 10% on royalties and technical assistance, with lower rates for certain copyright royalties and news agency payments. Certain interest payments are exempt from source-country taxation, while a 10% tax may apply to profits remitted by permanent establishments to their head offices.
The treaty, signed on 14 April 2026, will enter into force after the exchange of ratification instruments and apply from 1 January of the following year.
