On 17 June 2014, Bahrain's Council of Representatives approved the law ratifying the tax treaty with Hungary. The treaty was signed 24 February 2014, and is the first of its kind between the two countries. Taxes Covered The treaty covers Bahraini income tax, and Hungarian income tax and corporate tax. Withholding Tax Rates Dividends - 0% if the beneficial owner is a company, otherwise 5% Interest - 0% Royalties - 0% Double Taxation Relief Bahrain uses the credit method for the elimination of double taxation, while Hungary generally uses the exemption method. However, in the case of dividend income taxed...