Nigeria, Qatar sign agreements on avoidance of double taxation

Nigeria and the State of Qatar on Sunday signed the double taxation agreement to avoid double taxation and tax evasion.

The Avoidance of Double Taxation Agreement (DTA), serves to relieve double taxation of income that is earned in one country by a resident of the other country. The agreement clearly states the taxing rights between Nigeria and Qatar, on the different types of income arising from cross-border economic activities.

The two countries also signed the Bilateral Air Services Agreement (BASA) to pave the way for direct flights between major cities of both countries, on the sideline of President Muhammadu Buhari’s state visit to Qatar.

Buhari, is in Qatar, after visiting Saudi Arabia, last week on a tour to discuss the stability of oil prices which took a plunge since late 2014.

A statement by Presidential Spokesman, Femi Adesina, said, the agreement for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes income were signed by Nigeria’s Minister of Finance, Kemi Adeosun and her Qatari counterpart, Ali
Shareef Al Emadi.

“The agreement on the avoidance of double taxation which had been negotiated since February 2015 will no doubt bring in more investments and businesses between Qatar and Nigeria,” Adesina said.

Similarly, the BASA agreement was signed by Nigeria’s Minister of State for Aviation, Hadi Sirika, representing President Muhammadu Buhari, and Qatar’s Minister of Transportation and Communications, Jassim Bin Saif Alsulaiti, both signing on behalf of the two countries.

The agreement which was signed in the presence of both leaders is expected to operate on the principle of reciprocity by the designated airlines on behalf of the countries.

“It is also expected that the agreement on bilateral air service will promote trade, commerce and tourism between the two countries just as Nigeria has also commenced discussions on partnerships towards establishing a national airline for Nigeria,” Adesina said.

 

Elizabeth Archibong