Albania, Spain remove double taxation

TIRANA, July 5 – Albania and Spain have signed an agreement removing double taxation and preventing tax evasion on income tax. The deal was signed last weekend by Albanian Foreign Minister Ilir Meta and Spanish ambassador to Tirana Manuel Montobbio.
The deal, which the Foreign Ministry says will further strengthen economic cooperation between the two countries, sets details allowing only one country to impose taxes and foresees exchange of information between the authorities to prevent tax evasion by Spanish and Albanian companies operating in both countries.
Speaking after the signing of the deal, Foreign Minister Meta said the agreement would also promote Spanish investments to Albania. He described political, diplomatic and cultural relations with Spain as excellent considering the number of events the embassy has held in Albania since its opening four years ago.
Meanwhile, ambassador Montobbio described the double taxation deal as another step forward in Spanish-Albanian relations because of the mutual act of confidence between the two fiscal administrations.
Montobbio said that both Spanish and Albanian citizens and businesses would financially benefit from the accord.
“The signing of an agreement to avoid double taxation is a guarantee that Spanish businesses want to move into another country,” said the ambassador as quoted in a statement by the Foreign Ministry.
The ambassador described the deal as a sign of confidence of the Spanish government which held the rotating EU presidency from January to June 2010, to the Albanian economy.
“Spain believes that setting the best legal framework is an important step to urge Spanish businesses invest in Albania,” said the Spanish top diplomat in Albania.
Spain has assisted Albania through 22 UN projects implemented in different fields and is the main donor of the One UN pilot project and a key partner in the implementation of the national strategy of the Alliance of Civilizations.
According to the Institute of Statistics, imports from Spain during the first five months of this year were at 2.5 billion lek (24 million dollars), almost equal to the same period last year.