Explanatory note
(This note is not part of the Order)
The Schedule to this Order contains an Agreement and a Protocol (“the Arrangements”) between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the Republic of Zambia dealing with the avoidance of double taxation and the prevention of fiscal evasion. This Order brings the Arrangements into effect.
The Arrangements aim to eliminate the double taxation of income and gains arising in one country and paid to residents of the other country. This is done by allocating the taxing rights that each country has under its domestic law over the same income and gains, and/or by providing relief from double taxation. There are also specific measures which combat discriminatory tax treatment and provide for assistance in international tax enforcement.
Article 1 provides for citation.
Article 2 makes a declaration as to the effect and content of the Arrangements.
The Arrangements will enter into force on the date of the later of the notifications by each country of the completion of its legislative procedures. They will take effect in each country:
in respect of taxes withheld at source, for amounts paid or credited on or after the first day of January next following the calendar year in which the Arrangements enter into force; and
in respect of other taxes, for taxable periods (and in the case of United Kingdom corporation tax, financial years) beginning on or after the first day of January next following the calendar year in which the Arrangements enter into force.
Until such time as the Arrangements enter into force the Convention set out in the Schedule to the Double Taxation Relief (Taxes on Income) (Zambia) Order 1972 (S.I. 1972/1721), as amended by the Protocol set out in the Schedule to the Double Taxation Relief (Taxes on Income) (Zambia) Order 1981 (S.I. 1981/1816) continues to have effect.
The date of entry into force will, in due course, be published in the London, Edinburgh and Belfast Gazettes.
A Tax Information and Impact Note has not been produced for this Order as it gives effect to a previously announced policy to enact a double taxation agreement.