Hong Kong has signed a comprehensive agreement for the avoidance of double taxation (CDTA) with Latvia on 13th April, 2016. This is the 35th CDTA that Hong Kong has signed with its trading partners and it signifies Hong Kong's ongoing efforts to expand its CDTA network, in particular with economies along the Belt and Road. The Hong Kong Government emphasized that the CDTA sets out clearly the allocation of taxing rights between the two jurisdictions and therefore will help investors better assess their potential tax liabilities from cross-border economic activities. Furthermore, the agreement will bolster the economic and trade connections between the two places. It will also provide added incentives for companies in Latvia to do business or invest in Hong Kong, and vice versa.
Masson de Morfontaine is now a member of Altus Transfer Pricing Network