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June 26, 2026

This convention eliminates double taxation and prevents tax evasion. It applies to the UAE's income and corporate tax and taxes under Chile's Income Tax Act. The agreement sets withholding tax rates for dividends at 5% or 10% based on ownership levels. Interest is taxed at 4% for banks and insurance companies or 10% otherwise. Royalties are taxed at 2% for industrial equipment use and 10% for other types. The convention allows for domestic law application to income from hydrocarbons and utilizes the credit method for eliminating double taxation, ensuring fair tax treatment for residents.

Convention between the REPUBLIC OF CHILE and the UNITED ARAB EMIRATES for the Elimination of Double Taxation with respect to Taxes on Income and the Prevention of Tax Evasion and Avoidance

StatusIn Force

Signed on31 December 2019

Entered into force28 July 2022

Amended on-

Terminated on-

The Republic of Chile and the United Arab Emirates,

Desiring to further develop their economic relationship and to enhance their cooperation in tax matters,

Intending to conclude a Convention for the elimination of double taxation with respect to taxes on income without creating opportunities for non-taxation or reduced taxation through tax evasion or avoidance (including through treaty-shopping arrangements aimed at obtaining reliefs provided in this Convention for the indirect benefit of residents of third States),

Have agreed as follows:

Contents

Article 1 - Persons Covered

Article 2 - Taxes Covered

Article 3 - General Definitions

Article 4 - Resident

Article 5 - Permanent Establishment

Article 6 - Income from Immovable Property

Article 7 - Business Profits

Article 8 - International Transport

Article 9 - Associated Enterprises

Article 10 - Dividends

Article 11 - Interest

Article 12 - Royalties

Article 13 - Capital Gains

Article 14 - Independent Personal Services

Article 15 - Income from Employment

Article 16 - Directors' Fees

Article 17 - Entertainers and Sportspersons

Article 18 - Pensions

Article 19 - Government Service

Article 20 - Students

Article 21 - Other Income

Article 22 - Entitlement to Benefits

Article 23 - Elimination of Double Taxation

Article 24 - Non-Discrimination

Article 25 - Mutual Agreement Procedure

Article 26 - Exchange of Information

Article 27 - Members of Diplomatic Missions and Consular Posts

Article 28 - Entry into Force

Article 29 - Termination

Article 1Persons Covered

Article 1
Persons Covered