Common use of AVOIDANCE OF DOUBLE TAXATION Clause in Contracts

AVOIDANCE OF DOUBLE TAXATION. 1. Income derived from the operation of aircraft in international traffic by an enterprise of a Contracting State shall be exempt from tax in the other Contracting State. 2. Gains derived by an enterprise of a Contracting State from the alienation of aircraft owned and operated by the enterprise in international traffic, the income from which is taxable only in that State, and gains from the alienation of spares, equipment, and other movable property used by the enterprise in the operation of such aircraft shall be exempt from tax in the other Contracting State.

AVOIDANCE OF DOUBLE TAXATION. 1. Income derived by an enterprise of a Contracting State from the operation of aircraft in international traffic by an enterprise of a Contracting State shall be exempt exempted from tax in the other Contracting State. 2. Gains derived by an enterprise The provisions of a Contracting State paragraph (1) shall also apply to income from the alienation participation in a pool, a joint airline business or an international operating agency. 3. For the purpose of paragraphs 1 and 2, interest on funds directly connected with the operation of aircraft owned and operated by the enterprise in international traffic, the air traffic shall be regarded as income derived from which is taxable only in that State, and gains from the alienation of spares, equipment, and other movable property used by the enterprise in the operation of such aircraft shall be exempt from tax in the other Contracting Stateaircraft.

AVOIDANCE OF DOUBLE TAXATION. 1. Income 1 Profits derived from the operation of aircraft or ship in international air or shipping traffic by an enterprise of a Contracting State shall be exempt exempted from tax in the other Contracting State, irrespective of the manner in which it is levied. 2. Gains derived by an enterprise of a Contracting State from the alienation of aircraft owned and operated by the enterprise in international traffic, the income from which is taxable only in that State, and gains from the alienation of spares, equipment, and other movable property used by the enterprise in the operation of such aircraft shall be exempt from tax in the other Contracting State.