How important are double taxation treaties in Lebanon? Are you able to use them to the advantage of your clients?

It is said that there are more Lebanese outside Lebanon then there are in Lebanon, so it comes as no surprise that Lebanon has more than 30 tax treaties, especially when the country’s diaspora is highly engaged in holding assets, investing in their homeland and sending savings back to family members.

Lebanon has always been regarded as a link between the East & West, and has established multiple treaties to facilitate investment opportunities between Europe, the Arabian Gulf and Africa, with relatively low tax rates (15% corporation tax, plus 10% on capital gains and dividends). As a result, DTTs have been used to the advantage of our clients on many occasions.

As an example, one of our clients set up a company in a European country with a branch in Lebanon to access Arabic speaking countries, and another in an African State to benefit from established tax treaties. This was complemented by effective transfer pricing arrangements between the jurisdictions, allowing access to three different markets.

Our membership of IR Global allows us to map tax treaties and legally setup tax efficient structures for our clients, allowing access to more markets.