The Double Taxation Avoidance Agreement (DTAA) between Cyprus and the UAE, which was signed at 27 February 2011 has been ratified via the relevant internal procedures of both countries and is effective as of 1 January 2014, a development which further enhances Cyprus positioning as a preferred hub for international investments and tax planning.

The DTAA is highly favorable and supportive towards the further development of the economic activities between the two countries since it provides for zero (0%) withholding tax on dividends, interest and royalties.