Montenegro and Spain have signed a new income tax treaty aimed at eliminating double taxation, strengthening cross-border investment and trade, and enhancing cooperation to prevent tax evasion and aggressive tax planning.
Officials from the Montenegro Ministry of Finance and Spain signed a new Agreement on the Avoidance of Double Taxation and the Prevention of Income Tax Evasion on 5 June 2026 in Tivat, on the sidelines of the European Union–Western Balkans Summit.
The treaty is designed to remove the risk of double taxation for individuals and businesses operating between the two countries, while also improving legal certainty for cross-border economic activity and encouraging greater investment flows.
The agreement was signed by Montenegro’s Minister of Finance Novica Vuković and Spain’s Ambassador to Montenegro, based in Belgrade, Juan José Sanz Aparicio, and witnessed by senior political leaders including Montenegro’s Prime Minister Milojko Spajić and Spain’s Prime Minister Pedro Sánchez.
Beyond eliminating double taxation risks, the treaty also introduces enhanced mechanisms to combat tax evasion and aggressive tax planning, reflecting both countries’ commitment to aligning with international tax transparency standards and strengthening bilateral economic cooperation.
Earlier, the Spanish Council of Ministers approved the signing of a new income tax treaty with Montenegro on 10 March 2026.
