At its meeting on 25 October 2017, the Federal Council adopted the dispatch on a double taxation agreement (DTA) with Pakistan in the area of income taxes.
The DTA currently in force between Switzerland and Pakistan was concluded in 2005 and no longer corresponds to the current policy of the two contracting states in a number of respects, particularly in the area of exchange of information. A revised DTA was signed in March 2017, which contains in particular improvements in the area of taxation of service remunerations and capital gains from the sale of qualified holdings and an abuse clause in accordance with the minimum standard of the BEPS project.
The cantons and interested business circles have welcomed the revised DTA positively and without objections, which is why a consultation procedure has been dispensed with.
The press release and other documents are available here.
