FROM THE OFFICE OF PUBLIC AFFAIRS

The Treasury Department on Tuesday announced that new income tax treaties with the Republics of Estonia, Latvia, Lithuania and Venezuela entered into force on December 30. The four treaties, to which the U.S. Senate gave advice and consent to ratification in November, all represent new treaty relationships for the United States.

On December 30, the United States notified Estonia, Latvia and Lithuania that the U.S. had complied with the constitutional requirements for entry into force of the bilateral income tax treaty between the United States and each of them. Each of the countries had previously provided reciprocal notifications to the United States and, accordingly, the treaties entered into force on December 30. The treaties apply, with respect to taxes withheld at source, in respect of amounts paid or credited on or after January 1, 2000 and, with regard to other taxes, in respect of taxable years beginning on or after January 1, 2000.

Also on December 30, the United States and Venezuela notified each other of the completion of required procedures for entry into force of the bilateral income tax treaty between the two countries and exchanged instruments of ratification. The treaty therefore entered into force on December 30, 1999. The treaty applies, with respect to taxes withheld at source, for amounts paid or credited on or after January 1, 2000 and, in respect of other taxes, for taxable periods beginning on or after January 1, 2000.