Russian President Vladimir Putin has approved a decree suspending double tax treaties with 38 nations classified as “unfriendly countries,” a list that includes Greece. The measure, initially proposed by Russia’s foreign and finance ministries in March, aims to counter countries that have imposed sanctions against Russia.

The decree, now in effect, encompasses a diverse array of countries, including the United States, Canada, United Kingdom, Japan, Australia, New Zealand, South Korea, Singapore, and several EU member states such as Poland, Ireland, Sweden, Luxembourg, Romania, Bulgaria, Hungary, Slovakia, Albania, Belgium, Slovenia, Croatia, Switzerland, Montenegro, Czechia, Denmark, Italy, Finland, Germany, France, Macedonia, Cyprus, Spain, Lithuania, Iceland, Portugal, Austria, Malta and Greece

The rationale behind this move, as stated in the decree published on Russia’s official portal, is “based on the need to adopt urgent measures” as well as to address the “unfriendly actions” directed towards Russia and its citizens by foreign states.

The next steps involve submitting relevant bills to the State Duma, Russia’s lower house of parliament. The Russian foreign ministry has been tasked with notifying the impacted nations about the decision.

Double tax treaties serve to prevent taxpayers from being subjected to taxation on the same income by multiple countries while working abroad.

Russia’s move to suspend these agreements reflects its response to what it perceives as unilateral sanctions imposed by Western countries, which it contends violate international law. With immediate effect, this decree redefines Russia’s tax landscape, influencing its fiscal relationships with the nations in the list.