​This decision was taken to prevent double taxation and tax evasion in income and wealth taxation. (Photo: PL)

Moscow, Aug 8 (RHC) Russian President Vladimir Putin on Tuesday signed a decree suspending certain provisions of international tax treaties with 38 states considered hostile by Moscow, the government's legal portal reported.

"Proceeding from the need to take urgent measures in related to the commission of hostile actions by a number of states against Russia, its citizens and legal entities, I decide: to suspend the following provisions of international treaties," the text published by the Sputnik agency said.

From now on, the agreements to avoid double taxation with countries of the European Union are cancelled: Spain, Italy, Portugal, Germany, Belgium, Croatia, Denmark, France, Ireland, Luxembourg, Sweden, Bulgaria, Slovakia, Greece, Malta, Poland, Czech Republic, Austria, Cyprus, Slovenia, Finland, Hungary, Lithuania, and Romania.

Likewise, the cancellation affects the United States, United Kingdom, Canada, Australia, New Zealand, Switzerland, Norway, South Korea, Japan, Singapore, Iceland, Albania, Montenegro and Macedonia.

Specifically, the presidential decree suspends the rules governing the taxation of movable and immovable property, dividends, interest, income from services and royalties, fees and labor income, as well as taxes on capital.

According to the document, this decision was made to prevent double taxation and "tax evasion in income and wealth taxation."

Putin instructed the Foreign Ministry to notify these countries of the decision, and the Government to submit to the State Duma (lower house of the Russian Parliament) a bill on the suspension of the provisions. (Source: PL)