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18th of May 2012

Bermuda signs TIEA with Turkey

Vicky Beckett 24/01/2012

Bermuda signed a Tax Information Exchange Agreement (TIEA) with Turkey on January 23.
 
Under Turkish tax law every payment made to corporations resident or operating in Turkey are  subject to 30% withholding tax regardless of whether those corporations are taxpayers or not, or whether those payments are taxable or not.
 
Because the information exchange provided in the TIEA, the withholding tax in Bermudian domestıc law prescribıng a heavier fee shall not be required by Bermuda from companies that operate in both countries.
 
The agreement was sıgned by Mehmet Kilci, presıdent of revenue admınıstratıon for Turkey and the Paula  A. Cox, premıer and mınıster of finance for Bermuda (pictured).
 
Cox said: “I am pleased with the TIEA’s effect on Turkish corporate law as it relates to Bermudian entities doing business in Turkey.”
 
Brad Kading, president of the Association of Bermudian Insurers and Reinsurers, said:  “We are pleased at Bermuda’s accomplishments of signing a TIEA with the Government of Turkey. Turkey is an important G20 nation with a growing economy and a gateway to other emerging markets.”
 
 The Agreement provıdes a full exchange of informatıon on crımınal and legal tax matters between the two countries and is an ımportant commitment to the internationally agreed tax standard.

Tags: Bermuda, Paula Cox, TIEA, Turkey

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