The governments of Argentina and Switzerland initialed a new double taxation agreement on 5 November 2013. The agreement will promote foreign investment and ensure legal certainty.
If the final text of the agreement is approved by the two countries the new agreement will replace the agreement of 1997 which was terminated by Argentina in 2012.
The new DTA comprises provisions for the exchange of tax information upon request, in accordance with international standards. Also, to prevent third-country residents using the treaty benefits to avoid tax through abusive tax planning, Argentina and Switzerland also agreed on a memorandum of understanding.
The agreement will be signed in early 2014 and will enter into force once domestic ratification procedures have been done.
