Treaty rates
In particular, if countries differ in their desired treaty-specified tax rates, there is a kind of tax competition as each country pushes for its preferred tax rate.2 Treaty. I-T. Act(Note. 2). United. States a) 15%, if at least. 10% of the voting stock of the company paying the dividend is held by the recipient company;. 20%/10 19 Dec 2019 If this is the case, the lower treaty rate will apply. Tax treaties are special agreements that Australia has entered into with over 40 countries and