The first ever Double Taxation Convention between the UK and the Great Socialist People's Libyan Arab Jamahiriya was signed on 17 November in London.

The Foreign Office Minister of State, Mr. Rammell commented: “This Double Taxation Convention will bring benefits to British business in Libya and Libyan investors in the UK – benefits in terms of certainty, clarity and transparency and reducing tax compliance burdens.”

The treaty largely follows the OECD Model Double Taxation Convention. Important features include, with one exception, the complete elimination of source-country withholding taxes on dividends, interest and royalty payments.

The full text of the Convention is available at
http://www.hmrc.gov.uk/international/signed.htm#http://www.hmrc.gov.uk/international/signed.htm