Entry into force of the Tax Convention between Japan and Serbia
On November 5, the exchange of diplomatic notes for the entry into force of the Convention between Japan and the Republic of Serbia for the Elimination of Double Taxation with respect to Taxes on Income and the Prevention of Tax Evasion and Avoidance (signed on July 21, 2020) (English(PDF) / Japanese(PDF)) took place in Belgrade, Serbia.
- The Convention, therefore, will enter into force on December 5, 2021 (the thirtieth day after the date of exchange of diplomatic notes) and will have effect:
- (a) in Japan:
- (i) with respect to taxes levied on the basis of a taxable year, for taxes for any taxable years beginning on or after January 1, 2022; and
- (ii) with respect to taxes levied not on the basis of a taxable year, for taxes levied on or after January 1, 2022; and
- (b) in the Republic of Serbia:
with respect to the taxes on income derived in each fiscal year beginning on or after January 1, 2022.
- The provisions concerning the exchange of information will have effect from December 5, 2021 without regard to the date on which the taxes are levied or the taxable year to which the taxes relate.
- It is expected that, while eliminating double taxation and preventing international tax evasion and tax avoidance, the Convention promotes further mutual investments and economic exchanges between the two countries.