Ecuador’s Minister of Revenue Services Carlos Marx Carrasco, (left) and Kabalan Abisaab Ambassador of Ecuador to Qatar during a press conference in Doha yesterday. (Abdul Basit)
Doha: Ecuador and Qatar are close to signing an agreement to avoid double taxation, a visiting Ecuadoran minister said yesterday.
The agreement is expected to be inked when the President of Ecuador visits Qatar in the coming months, Ecuador’s Minister of Revenue Services Carlos Marx Carrasco said during a press briefing.
“A three-member delegation visited Qatar to finalise the agreement with the government about double taxation,” Carrasco said.
Double taxation is the levying of tax by two or more jurisdictions on the same declared income (in the case of income taxes), asset (in the case of capital taxes), and financial transaction (in the case of sales taxes).
The double liability is often mitigated by agreements between countries.
Another goal of the double taxation agreements is to prevent fraud and evasion.
The Minister said that Ecuador aims to expand its business and investment projects with many countries in this region, especially Qatar.
“We have finished the second round of negotiations, and so far we are on agreement on most points.”
Speaking about the benefits, Carrasco said the agreement aims to increase the supply of goods and services and exports among the two countries.
“It will increase export capacity, and we can generate revenue for various items, promote innovation, and there will also be improved access to markets.”
He added that such an agreement would also generate direct and indirect employment and resources for the countries through increased tax collection.
Ecuador’s Ambassador to Qatar Kabalan Abisaab was also present at the press conference.
The Peninsula
