Australia – Interest
Australia and Turkey signed a tax treaty and protocol on 28 April 2010, but the treaty is not yet in force. Once in effect, the treaty provides for a 5% withholding tax rate on dividends paid to an Australian company that holds directly at least 10% of the voting power of the company paying the dividends. The 5% rate will apply to dividends paid to a Turkish company that holds directly at least 25% of the voting power of the payer company, where the dividends are paid out of profits that have been subject to the full rate of corporation tax in Turkey. The rate will be 15% in all other cases. The rate on interest and royalties will be 10%