On 20 October 2016, the Japanese Ministry of Finance announced that officials from Austria and Japan have agreed in principal on a new income tax treaty that will replace the 1961 treaty. According to the announcement, the new treaty expands the extent of the reduction of taxation on investment income (dividends, interest and royalties), introduces arbitration proceedings to the mutual agreement procedure, and introduces assistance in the collection of taxes. The new tax treaty will be signed after the necessary internal procedures have been completed by each of the two governments.