The first-time income tax treaty and protocol between Mexico and Indonesia, signed on 6 September 2002, entered into force on 28 October 2004. The treaty generally applies from 1 January 2005.
The maximum rates of withholding tax are:
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10% on dividends, interest and royalties; |
The treaty permits the states to levy a branch profits tax of up to 10%.
Both states provide for the credit method to avoid double taxation. In respect of dividends received by a Mexican company ownin…
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