On 11 July 2014, the income tax treaty between Bahrain and Sri Lanka entered into force. The treaty was signed 24 June 2011, and is the first of its kind between the two countries.
Taxes Covered
The treaty covers Bahraini income tax, and Sri Lankan income tax and the Social Responsibility Levy imposed in relation to income tax.
Service PE
The treaty includes provisions that a permanent establishment will be deemed constituted if an enterprise of one Contracting State furnished service…