MercoPress. South Atlantic News Agency

UK, Gibraltar/Spain international agreement of Taxation has entered into force

The treaty was signed on 4 March 2019. It is the first between the UK and Spain regarding Gibraltar explicitly for over 300 years

The UK has ratified the International Agreement on Taxation and the Protection of Financial Interests between the United Kingdom of Great Britain and Northern Ireland and the Kingdom of Spain regarding Gibraltar.

The agreement entered into force on 4 March 2021 and was published in Spain’s Official State Bulletin on 13 March 2021.

This treaty will improve tax co-operation between the tax authorities of Spain and Gibraltar. It provides rules for resolving conflicts over tax residency and enables administrative co-operation, through sharing of information and addressing disputes by means of a Joint Committee.

The treaty was signed on 4 March 2019. It is the first between the UK and Spain regarding Gibraltar explicitly for over 300 years. The treaty fully respects the 2006 Gibraltar Constitution.

The Government of Gibraltar was involved throughout negotiation of the treaty, and has passed the legislation required to ensure ratification.

This tax treaty is in the interest of all parties. It demonstrates the shared commitment of the UK and Gibraltar Governments, together with Spain, to ensure the continued prosperity of Gibraltar and the region as a whole, in the same constructive spirit that marked agreement of a framework on 31st December 2020.