Press Releases
Entry into force of the Tax Convention between Japan and Iceland
1. On October 1, the exchange of diplomatic notes for the entry into force of the Convention between Japan and Iceland for the Elimination of Double Taxation with respect to Taxes on Income and the Prevention of Tax Evasion and Avoidance (signed on January 15, 2018) took place in Reykjavik, Iceland.
2. The Convention, therefore, will enter into force on October 31, 2018, on the thirtieth day after the date of exchange of diplomatic notes and will have effect:
(1) in Japan:
(a) with respect to taxes levied on the basis of a taxable year, for taxes of any taxable years beginning on or after January 1, 2019; and
(b) with respect to taxes levied not on the basis of a taxable year, for taxes levied on or after January 1, 2019.
(2) in Iceland:
(a) with respect to taxes withheld at source, for income derived on or after January 1, 2019; and
(b) with respect to other taxes, for taxes chargeable for any taxable year beginning on or after January 1, 2019;
3. The provisions concerning the exchange of information and the assistance in the collection of taxes have effect from October 31, 2018, the date of entry into force of this Convention, without regard to the date on which the taxes are levied or the taxable year to which the taxes relate.