China-Spain New Tax Treaty

The Agreement between the People's Republic of China and the Kingdom of Spain on the Elimination of Double Taxation of Income and the Prevention of Tax Evasion and Avoidance and the Protocol was officially signed in Madrid on November 28, 2018. The document takes effect on May 2, 2021, and applies to non-source withholding taxes levied on tax years beginning on May 2, 2021 or later, and other taxes levied on May 2, 2021 or later.

The new tax treaty added identification information for persons, tax categories, and permanent establishments. The relevant content regarding the determination of dividends, interest, royalties, property gains, and eligibility for preferential treatment under the agreement has been revised.