Bulgarian Cabinet approved a treaty with the Netherlands on the avoidance of double taxation, according to a statement by the government information service.

The treaty covers the avoidance of double taxation in income taxes and the prevention of tax evasion and circumvention. It will be put to Bulgaria's National Assembly for ratification.

The document creates tax-friendly opportunities for residents of each of the two countries to carry out business activities in the other country in various fields and industries, the Bulgarian government statement said.