On 12 April 2015, Bahraini King Hamad bin Isa Al Khalifa signed the law ratifying the pending income tax treaty with Hungary. The treaty, signed 24 February 2014, 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% Capital gains - generally exempt, although the following gains derived by a resident of one Contracting State may be taxed by the other State: Gains from...