Russia has suspended unilateraly all material provisions of many of its Double Taxation Agreements with 38 countries by Presidential decree dated 8 August 2023.

The suspension includes the UK-Russia Convention and the treatment of dividends, interest, royalties, capital gains, business profits, employment income and pensions, together with protection against discrimination contained in it.

The provision for elimination of double taxation has not been fully suspended and this means that Russia will not honour any agreed limits on what it may tax at source, and that only limited relief from double taxation will be available in Russia.

The UK has asked Russia to reverse the suspension.

The UK considers the treaty to remain in force and is continuing to comply with its terms. The government is considering next steps and will provide further information in due course.