Iran and Czech Republic sign agreement on double taxation

Iran's Minister of Economic Affairs and Finance, Ali Tayyebnia, and his Czech counterpart, Andrej Babiš, have signed an agreement in Prague, which allows the two countries' companies to avoid paying double taxation on their trade activities.

Tayyebnia stressed that the agreement allows Iranian and Czech companies to take advantage of the legal privileges specified in the agreement, Trend reports.

Double taxation allows for the two countries to levy separate taxes on the same income, asset or financial transaction, thus adding to the financial costs of the parties involved in a transaction.

Tayyebnia said that the two countries have held 'positive and constructive negotiations' on the expansion of cooperation and elimination of the existing trade barriers.

Babiš, for his part, said that this agreement will strengthen economic relations between Prague and Tehran.