Zagreb - The Sabor will debate on Friday a final bill ratifying the convention between the Croatian and US governments on avoiding double taxation and preventing tax evasion with respect to income taxes, together with a protocol amending and supplementing the convention.
The document was signed in Washington D.C. on 7 December 2022.
However, the US side considered that provisions on relief from double taxation in earlier US tax treaties were more favourable to US businesses than the corresponding provision in the convention. A protocol was therefore signed in Dubrovnik on 28 April 2026, according to the bill.
Finance Minister Tomislav Ćorić said at a government session that the convention and protocol would strengthen existing cooperation between Croatia and the United States and encourage new cooperation once they enter into force.
Once Croatia ratifies the convention and protocol, the United States will do the same, after which the new rules will come into effect.