News Share

The Tax Hub

Daily Tax Newsletter

Morocco; Gabon

Responsive image

Treaty between Morocco and Gabon – details


20 April 2012

Details of the Gabon - Morocco Income Tax Treaty (1999), signed on 3 June 1999, have become available. The treaty was concluded in the French and Arabic language, each text having equal authenticity. In the case of divergence, however, the French text prevails. The treaty generally follows the OECD Model (2010).

The maximum rates of withholding tax are:

-   15% on dividends;
-   10% on interest. An exemption applies to interest paid to the government or the central bank of the other contracting state; and
-   10% on royalties.

Deviations from the OECD Model include that:

-   the definition of a permanent establishment (PE) includes (i) a retail point (Art. 5 (2g)) and (ii) a warehouse for the storage of goods belonging to third parties (Art. 5 (2h));
-   Art. 5(2i) provides that a building site or a construction project constitutes a PE if it lasts more than 6 months;
-   Art. 5(3) provides that the rendering of services, the furnishing of equipment and machinery on hire used for the prospecting, extraction or exploitation of natural resources by an enterprise constitutes a PE; and
-   Art. 10(8) provides that a branch profit tax may be levied at a maximum rate of 10%.

The treaty generally provides for the credit method to avoid double taxation. In addition, both states grant a tax sparing credit with respect to tax reduced or exempted in accordance with domestic legislation.

If the income derived by a resident of one state is, under the treaty, exempt from tax in that state, the state may nevertheless take into account the exempt income in calculating the amount of tax on the resident's other income (exemption with progression).

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

Compare Forms

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