The 2017 UK–Belarus Double Taxation Convention, signed on 26 September 2017, entered into force on 27 July 2018.
The Convention takes effect in the UK for:
•taxes withheld at source for amounts paid or credited on or after 1 October 2018;
•income tax and Capital Gains Tax ("CGT") applies in certain cases when an asset is sold for more than it was originally purchased. The taxable gain (profit) may be triggered following the transfer of an asset, although commonly this would follow a sale. A number of tax reliefs are available to exempt or reduce the tax that may apply. Basic tax planning may... for any year of assessment beginning on or after 6 April 2019; and
•corporation tax for any financial year beginning on or after 1 April 2019.
It takes effect in Belarus for:
•taxes withheld at source on income derived or credited on or after 1 October 2018; and
•other taxes chargeable for any tax period beginning on or after 1 January 2019.
The Convention between the UK and the USSR, signed on 31 July 1985, ceases to apply to Belarus from those dates.
If you or your clients have Belarus source income or are a dual resident of the UK and Belarus and would like to better understand how the Double Tax Convention impacts your tax status please contact us for more information.