Finance Amendment Law 2009 enacted – anti-avoidance measures (NCSTs): further details

The retaliation measures provided by the Finance Amendment Law 2009 in respect of transactions and payments involving non-cooperative states and territories (NCSTs), will not become effective before 1 January 2011. In addition, it should be noted that the retaliation measures will not override the provisions of existing treaties. Therefore, beneficial owners of the income paid to a NCST who are a treaty country (e.g. Philippines), will remain eligible for the (lower) treaty rate …