Vietnam and San Marino signed an agreement to avoid double taxation in Rome, Italy on February 14.

The agreement aims to prevent asset and income tax evasion, helping boost bilateral economic cooperation.

Addressing the signing ceremony, Deputy Finance Minister Truong Chi Trung stressed that the agreement’s clear and transparent tax regulations will create a sound legal environment for both sides to conduct business and invest in each country.

It will help facilitate economic, investment and trade cooperation between the two countries, create tax incentives for foreign investors in Vietnam and raise economic and investment cooperation between Vietnam and other European countries, he added.

Trung said his ministry will work closely with its San Marino counterpart to effectively implement the agreement, thereby facilitating bilateral economic and trade exchanges.

San Marino Minister for Finance and Budget Claudio Felici said the agreement is very important for a small country like San Marino, given the current global economic recession.

Despite limited trade activities between San Marino and Vietnam, the signing of the document will give fresh impetus to the two countries’ cooperation and development, and help San Marino businesses explore Vietnam’s legal system.

San Marino is one of the smallest countries in the world. It covers 61.5 square kilometres and has a population of 30,000. The republic is a member of the United Nations and has developed relations with many countries around the globe.

Vietnam and San Marino established diplomatic ties in 2007.

Source: VNA