S. Korea, Tajikistan agree on double taxation avoidance pact

SEOUL, Nov. 2 (Yonhap) -- South Korea said Monday it has reached an agreement
with Tajikistan on double-taxation avoidance, a deal that could help boost
bilateral trade.

The details of the deal have been ironed out at the working level, the South
Korean finance ministry said, and tax officials from the two countries have
signed an initial pact in Dushanbe, the Tajik capital.

A formal agreement is to be signed in the near future and will then be forwarded
to the legislatures of the two countries for ratification, according to the
ministry.
The initial pact calls for adherence to tax standards set by the Organization for
Economic Cooperation and Development. It also set tax rates for investments,
dividend earnings, interest payments and sets up channels for the exchange of
related information.
The deal, if ratified, will help reduce tax-related complications for South
Korean companies looking to do business with Tajikistan, the ministry said. It
could also fuel investments in natural resource development and construction in
the Central Asian country.
Tajikistan -- which is surrounded by China, Uzbekistan, Afghanistan and Kyrgystan
-- is rich in silver, gold and coal.
The country controls the world's second largest silver mine and is estimated to
have 1.4 billion tons of coal.
yonngong@yna.co.kr
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