Details unveiled over double taxation conventions

Further details have been revealed regarding double taxation conventions (DCTs) for the year to March 2009.

The financial secretary Jane Kennedy MP has spoken of the government's plans for the next seven months, which she says will "help UK business and investors to remain competitive".

Ms Kennedy outlined the main priorities in terms of negotiating new DTCs with other countries, as well as concluding talks currently in progress.

By March of next year, it is hoped that deals will be struck with the Netherlands, Ethiopia, Libya and Thailand - and on tax information agreements with Brazil, Jersey, Guernsey, the Isle of Man and the British Virgin Islands.

During this period, the government will also continue to negotiate with China, the US, Spain, Belgium, Luxembourg and Hungary.

"The UK has a comprehensive network of bilateral double taxation conventions and we are committed to maintaining and strengthening this network," Ms Kennedy said.

"These agreements help UK business and investors to remain competitive by providing them with a measure of certainty and stability in their tax affairs."

New talks will also begin with Australia, Canada, Israel and Spain.

DCTs remove the double taxation of income or gains arising in one nation and paid to residents belonging to a different country.