Sabine Monauni, Deputy Prime Minister and Minister of Foreign Affairs, Environment and Culture, and Ervin Ibrahimović, Deputy Prime Minister and Minister of Foreign Affairs of Montenegro, signed a double taxation agreement (DTA) between Liechtenstein and Montenegro on Thursday, September 25, 2025, during the UN General Assembly 2025 in New York.

The agreement regulates the elimination of double taxation in cross-border situations. It is based on the international standard of the OECD and takes into account the requirements of the OECD/G20 BEPS (Base Erosion and Profit Shifting) project to prevent tax avoidance and tax evasion in a cross-border context.

The agreement regulates the avoidance of double taxation in the area of income and wealth taxes. To promote cross-border investments, the DTA reduces withholding taxes on dividends, interest and royalties. If Montenegro joins the European Union, the withholding tax on qualified group dividends will no longer apply in order to promote investments in the internal market. The DTA also clarifies the treatment of asset structures, investment funds, pension funds and non-profit organizations under treaty law. In order to resolve difficult double taxation cases, the agreement contains provisions on a mutual agreement procedure. The exchange of information is based on the international standard.

The agreement is another important step towards expanding Liechtenstein's DTA network. It will increase legal certainty for investments and further strengthen economic and political cooperation between Liechtenstein and Montenegro.