Tax authorities of both the countries met in Sarajevo during July 26-30, 2004 to negotiate and conclude the convention.
Pakistani delegation comprises Member Direct Taxes, CBR, Salman Nabi and Direct Taxes Policy chief Mukhtar Ahmad Gondal.
Bosnian side was led by Dr Jusuf Kumalic, Deputy Minister, Ministry of Finance and Treasury, while Amer Bekric, Ministry of Finance and Treasury, Ms. Meliha Ferthatbegovic, Ministry of Finance & Treasury, Zoran Kepnik, Ministry of Finance, Federation of Bosnia and Herzegovina, Ms. Jasmink Selimovic-Pavlovic, Ministry of Finance, Federal of Bosnia and Herzegovina, Dara Crnic Babic, Ministry of Finance, Federation of Bosnia and Herzegovina, Drago Kovacevic, Ministry of Finance, Republic of Srpska, Akif Pezerovic, Revenue Administration, Brcko district and Nada Skrelic, Inspector, Ministry of Finance and Treasury were other members of the delegation.
The five-day deliberations ended in initiating the draft convention for the avoidance of double taxation between Pakistan and Bosnia & Herzegovina by leaders of tax delegations.
This convention will not only provide safeguards against double taxation on the income of residence of both the countries but will also promote and further strengthen the existing bilateral economic relations between the two countries.
It will further provide adequate certainty in respect of taxation rules applicable to cross-border business transactions, dividends, interest and royalties, etc.
It would, therefore, be in the interest of both the countries to sign such a convention.
The negotiations provided an opportunity to understand each other's taxation systems, evaluate economic fiscal and monitory policies of both the countries, and explore avenues for trade and cultural relationship.
Although, there is no significant trade between the two countries at present, yet the convention shall prove a long way in improving trade and investment and open new markets for business community of the two countries.