A new treaty has been concluded between Cyprus and Norway, which is now subject to ratification before it comes into effect. In effect, this new treaty shall replace the currently applicable treaty with Norway, being the one concluded between Norway and the United Kingdom.
Specifically, on 24 February 2014, a Treaty for the Avoidance of Double Taxation and prevention of fiscal evasion with respect to income and capital, accompanied by the relevant Protocol to this Treaty, were signed between Cyprus and Norway. The Treaty is based on the OECD Model Treaty with an exchange of information provision in line with Article 26 of the said model.
In line with the press release issued by the Cypriot Ministry of Finance on this matter, “the updating, maintenance and expansion of the existing network of double tax treaties aims at further strengthening and attracting foreign investment and promoting Cyprus as an international business centre”.
Further details on the provisions of this new treaty will follow as these are made available.