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Belgian Parliament Approves Pending Protocols to Tax Treaties with India, Luxembourg, and Russia — Orbitax Tax News & Alerts

On 18 November 2021, the Belgian parliament approved for ratification the pending protocols to the 1993 income tax treaty with India, the 1970 income and capital tax treaty with Luxembourg, and the 2015 income and capital tax treaty with Russia.

The protocol to the 1993 tax treaty with India was signed on 9 March 2017 and includes new provisions on exchange of information and assistance in the collection of taxes. It will enter into force once the ratification instruments are exchanged and will apply for criminal tax matters on the date it enters into force and for other tax matters for periods beginning on or after that date.

The protocol to the 1970 tax treaty with Luxembourg was signed on 5 December 2017 and includes new provisions clarifying the treatment of dependent personal services. It will enter into force once the ratification instruments are exchanged and will apply from 1 January 2015.

The protocol to the 2015 tax treaty with Russia, which has not yet entered into force, was signed on 30 January 2018. The protocol amends Article 13 (Capital Gains) to provide that gains from the alienation of shares or similar rights in a company deriving more than 50% of their value directly or indirectly from immovable property situated in a Contracting State may be taxed by that State, with certain exceptions for restructuring, listed shares, etc. The new treaty and the protocol will enter into force once the ratification instruments are exchanged and will apply from 1 January of the year following their entry into force. Once in force and effective, the new treaty will replace the 1995 tax treaty between the two countries.