The UAE and Sierra Leone’s income and capital tax treaty came into force on 24 January 2023.
The UAE Ministry of Finance has announced that its income and capital tax treaty with Sierra Leone entered into force on 24 January 2023.
Signed on 22 December 2019, the treaty states that a permanent establishment is considered to exist when an enterprise provides services in the other Contracting State through employees or other engaged personnel for periods totalling more than nine months.
It also provides that dividends and interest are subject to a 0% withholding tax rate, while royalties have no specified limitation, meaning the applicable domestic rate applies.
The treaty has effect from 1 January of the year it was signed, meaning it has applied since 1 January 2019.
