rocket
Introducing the Orbitax International Tax Platform, a revolutionary suite of integrated tax solutions including research, compliance, calculations, entity management and charting. Find out more.
News Share

The Tax Hub

Daily Tax Newsletter

Latvia-Singapore

Responsive image

Protocol to Tax Treaty between Latvia and Singapore has Entered into Force

According to an update from the Inland Revenue Authority of Singapore, the amending protocol to the 1999 income tax treaty with Latvia entered into force on 3 August 2018. The protocol, signed 20 April 2017, makes the following changes:

  • Article 3 (General Definitions) is amended with respect to the definition of "Singapore";
  • Article 5 (Permanent Establishment) is amended to provide that a construction PE will be deemed constituted if the site, project or activity lasts for a period of more than twelve months (originally nine months) and that a service PE will be deemed constituted if the service activities continue for a period or periods aggregating more than 183 days within any 12-month period (originally no service PE provisions);
  • Article 10 (Dividends) is amended to provide for a 0% withholding tax rate if the beneficial owner is a company, otherwise 10% (originally 5% if holding at least 25% of capital; otherwise 10%), and to adjust the government entities eligible for exemption with respect to Singapore;
  • Article 11 (Interest) is amended to provide for a 0% withholding tax rate if the beneficial owner is the government of a Contracting State, a financial institution, or a company resident of a Contracting State, or where the interest is paid in respect of a loan, debt-claim or credit that is guaranteed or insured by the Government of either Contracting State, otherwise 10% (originally just 10%, with an exemption for government);
  • Article 12 (Royalties) is amended to provide for a 5% withholding tax rate (originally 7.5%), and to adjust the definition (scope) of royalties, including the removal of the use of, or the right to use, industrial, commercial or scientific equipment from the scope of royalties;
  • Paragraphs 1 and 2 of Article 22 (Limitation of Benefit) are deleted - The paragraphs relate to the provision that an exemption or reduction of tax allowed under the treaty in Latvia may be limited to the amount of income remitted to or received in Singapore (as opposed to the full amount of income from Latvian sources);
  • Article 24 (Non-Discrimination) is amended with the removal of the provision that the Article will apply to persons who are not residents of one or both of the Contracting States;
  • Article 26 (Exchange of Information) is replaced to bring it in line with OECD standards; and
  • Article 29 (Termination) is amended to include provisions with respect to requests made under Article 26 (Exchange of Information).

The protocol applies in Latvia from 1 January 2019 and applies in Singapore in respect of withholding taxes from 1 January 2019 and for other taxes from 1 January 2020. The new Article 26, however, applies for requests made on or after the date of the protocol's entry into force (3 August 2018).

Powerful Tax Tools

NEW

FX Rates

Global FX Rates including Tax Year Average FX Rates and Spot Rates for all Reporting Currencies.

NEW

Corporate Tax Rates

Corporate tax rates, surtaxes, and effective tax rates for the current year, as well as historical rates and approved future rates.

NEW

Country Analysis

Detailed tax guidance for companies doing business in over 100 countries, including summaries and snapshots of key tax facts and issues.

NEW

Cross Border Tax Calculator

Calculate total tax costs and benefits of a cross border transaction including withholding tax, participation exemption and foreign tax credit rules.

NEW

Cross Border Tax Rates

Provides Domestic, treaty and EU cross border tax rates for over 5,000 country combinations for 9 different payment streams.

NEW

OECD BEPS Project

Complete overview of the OECD BEPS Project, including daily BEPS news, country adoption of BEPS measures, and an overview of the 15 BEPS Actions.

NEW

Tax Calendar

Customizable calendar tool that tracks corporate income tax, value added tax and transfer pricing obligations by country or entity.

NEW

Tax Forms

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.

NEW

Worldwide Tax Treaties

Repository including thousands of tax treaties (in English), OECD, UN and US Models, relevant EU Directives, Technical Explanations, and more.

NEW

Worldwide Tax Planner

Calculates the worldwide tax cost of what-if scenarios based on legal entity structure, taxable income, and cross border transactions.

NEW

Certified Rates Report

Customizable Certified Rates Report providing updated corporate and withholding tax rates at the end of each month for over 100 countries.

NEW

Withholding Tax Minimizer

Enables quick calculation of tax costs and benefits of cross border transactions considering all possible transaction combinations and optimal routes.

NEW

VAT Rates

Provides value added tax (VAT) rates, goods and services tax (GST) rates and other indirect tax rates for over 100 countries.

NEW

NOL Calculator

Country specific calculator to determine how net operating losses can be utilized in carryback and carryforward years.

NEW

Transfer Pricing Calculator

Calculates TP ratios under various TP methods and calculates the difference between target ratios and actual ratios.

NEW

Individual Income Tax Rates

Individual tax rates for over 100 countries.

Play of the Day

Translate Documents

English translations of key tax forms for over 80 countries, including tax return forms, treaty benefit forms, withholding tax forms, and more.

We’re here to help

We’re here to answer any questions you have about the Orbitax products and services.

Send us a message

Who’s behind Orbitax?

We’re committed to providing high value, low cost tax research and management solutions.

Learn More