Korea - Peru Tax Treaty Concluded


Korea - Peru tax treaty has been concluded for double tax relief. The treaty will be effective on or after January 1, 2015. The main contents of the agreements are as follows:



  • Tax Exemption on Profits from International Transportation

Profits from international aircraft and shipping transportation shall be fully exempt in the source country.



  • Withholding Tax Rate on Investment Income

Dividends:10%, Interests:15%, Royalties:15% (or 10% for furnishing technical assistance).



  • Tax Exemption on Gains from Transfer of Shares
Gains derived from transfer of shares shall not be taxable in the source country except in the case that the transferor has held at least 20% of the total shares during the 12 months period preceding such transfer.