Common use of ROYALTIES AND FEES FOR TECHNICAL SERVICES Clause in Contracts

ROYALTIES AND FEES FOR TECHNICAL SERVICES. 1. Royalties and fees for technical services arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State. 2. However, such royalties and fees for technical services may also be taxed in the contracting State in which they arise and according to the laws of that State, but if the recipient is the beneficial owner of the royalties or fees for technical services the tax so charged shall not exceed 20 per cent of the gross amount of the royalties or fees for technical services. 3. The term "royalties" as used in this Article means payments of any kind received as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific work including cinematography films or films or tapes used for radio or television broadcasting, any patent, trade xxxx, design or model, plan, secret formula or process, or for the use of, or the right to use, industrial, commercial or scientific equipment, or for information concerning industrial, commercial or scientific experience. 4. The term "fees for technical services" as used in this Article means payments of any amount to any person other than payments to an employee of the person making payments, in consideration for the services of technical or other personnel. 5. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the royalties or fees for technical services, being a resident of a Contracting State, carries on business in the other Contracting State in which the royalties or fees for technical services arise, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right property or contract in respect of which the royalties or fees for technical services are paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of Article 7 or Article 15, as the case may be, shall apply. 6. Royalties and fees for technical services shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivision, a local authority or a resident of that State. Where, however, the person paying the royalties or fees for technical services, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the liability to pay the royalties or fees for technical services are borne by such establishment or fixed base, then such royalties or fees for technical services shall be deemed to arise in the state in which the permanent establishment or fixed base is situated. 7. Where, by reason of special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of royalties or fees for technical services paid exceeds the amount which would have been paid in the absence of such relationship, the provisions of this Article shall apply to only to the last-mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Convention.

ROYALTIES AND FEES FOR TECHNICAL SERVICES. 1. Royalties and or fees for technical services arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State. 2. However, such royalties and or fees for technical services may also be taxed in the contracting Contracting State in which they arise arise, and according to the laws of that State, but if the recipient is the beneficial owner of the royalties or fees for technical services is a resident of the other Contracting State, the tax so charged shall not exceed 20 10 per cent of the gross amount of the royalties or fees for technical services. 3. (a) The term "royalties" as used in this Article means payments of any kind received as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific work work, including cinematography films or films cinematograph films, or tapes used for television or radio or television broadcasting, any patent, trade xxxxmark, design or model, plan, secret formula or process, or for the use of, or the right to use, industrial, commercial or scientific equipment, or for information concerning industrial, commercial or scientific experience. 4. (b) The term "fees for technical services" as used in this Article means payments of any amount to any person kind, other than payments to an employee those mentioned in Articles 14 and 15 of the person making payments, in this Agreement as consideration for the services of managerial or technical or other personnelconsultancy services or technical assistance. 54. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the royalties or fees for technical services, services being a resident of a Contracting State, carries on business in the other Contracting State in which the royalties or fees for technical services arise, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right or property or contract in respect of which the royalties or fees for technical services are paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of Article 7 or Article 1514, as the case may be, shall apply. 6. (a) Royalties and fees for technical services shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivisionsub-division, a territorial or local authority authority, or a resident of that State. Where, however, the person paying the royalties or fees for technical services, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the liability to pay the royalties or fees for technical services was incurred, and such royalties or fees for technical services are borne by such permanent establishment or fixed base, then such royalties or fees for technical services shall be deemed to arise in the state Contracting State in which the permanent establishment or fixed base is situated. 7. Where, by reason of special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of (b) Where under sub-paragraph (a) royalties or fees for technical services paid exceeds do not arise in one of the amount which would have been paid in Contracting States, and the absence of such relationshiproyalties relate to the use of, or the right to use, the provisions right or property, or the fees for technical services relate to services performed, in one of this Article shall apply to only to the last-mentioned amount. In such caseContracting States, the excess part of the payments royalties or fees for technical services shall remain taxable according be deemed to the laws of each arise in that Contracting State, due regard being had to the other provisions of this Convention.

ROYALTIES AND FEES FOR TECHNICAL SERVICES. 1. Royalties and or fees for technical services arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State. 2. However, such royalties and or fees for technical services may also be taxed in the contracting Contracting State in which they arise arise, and according to the laws of that State, but if the recipient is the beneficial owner of the royalties or fees for technical services is a resident of the other Contracting State, the tax so charged shall not exceed 20 10 per cent of the gross amount of the royalties or fees for technical services. 3. The term "royalties" as used in this Article means payments of any kind received as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific work (including cinematography cinematograph films and films, tapes or films or tapes used discs for radio or television broadcasting), any patent, trade xxxxmark, design or model, plan, secret formula or process, or for the use of, or the right to use, industrial, commercial or scientific equipment, or for information concerning industrial, commercial or scientific experience. 4. The term "fees for technical services" as used in this Article means payments any consideration (including any lump sum consideration) for the provisions of rendering of any amount to any person managerial, technical or consultancy services by a resident of a Contracting State in the other than payments to an employee of the person making payments, in Contracting State but does not include consideration for the services of technical any activities mentioned in paragraph 3 or other personnelArticle 5, Article 14 or Article 15. 5. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the royalties or fees for technical services, being a resident of a Contracting State, carries on business in the other Contracting State in which the royalties or fees for technical services arise, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right or property or contract in respect of which the royalties or fees for technical services are paid is effectively connected with such permanent establishment or fixed base. In such case case, the provisions of Article 7 or Article 1514, as the case may be, shall apply. 6. Royalties and or fees for technical services shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivision, a local authority or a resident of that State. Where, however, the person paying the royalties or fees fee for technical services, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the liability to pay right, property or contract in respect of which the royalties or fees for technical services are paid is effectively connected, and such royalties or fees for technical services are borne by such permanent establishment or fixed base, then such royalties or fees for technical services shall be deemed to arise in the state State in which the permanent establishment or fixed base is situated. 7. Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the royalties or fees for technical services paid services, having regard to the use, right or information for which they are paid, exceeds the amount which would have been paid agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of this Article shall apply to only to the last-mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Convention.

ROYALTIES AND FEES FOR TECHNICAL SERVICES. 1. Royalties and or fees for technical services arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State. 2. However, such royalties and or fees for technical services may also be taxed in the contracting Contracting State in which they arise and according to the laws of that State, but if the recipient is the beneficial owner of the royalties or fees for technical services the tax so charged shall not exceed 20 10 per cent cent. of the gross amount of the royalties or fees for technical services. 3. a. The term "royalties" as used in this Article article means payments of any kind received as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific work including cinematography cinematograph films or and films or tapes used for television or radio or television broadcasting, any patent, trade xxxx, design or model, plan, secret formula or process, or for the use of, or the right to use, any industrial, commercial or scientific equipment, equipment or for information concerning industrial, commercial or scientific experience.; 4. The b. the term "fees for technical services" as used in this Article means payments payment of any amount to any person other than payments to an employee of the person making payments, kind in consideration for the rendering of any managerial, technical or consultancy services including the provision of services by technical or other personnelpersonnel but does not include payments for services mentioned in articles 14 and 15 of this Agreement. 54. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the royalties or fees for technical services, services being a resident of a Contracting State, carries on business in the other Contracting State in which the royalties or fees for technical services arise, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right or property or contract in respect of which the royalties or fees for technical services are paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of Article article 7 or Article 15article 14, as the case may be, shall apply. 65. Royalties and or fees for technical services shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivisionsub-division, a local authority or a resident of that State. Where, however, the person paying the royalties or fees for technical services, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the liability to pay the royalties or fees for technical services are borne by such establishment permanent establishment, or fixed base, base then such royalties or fees for technical services shall be deemed to arise in the state State in which the permanent establishment or fixed base is situated. 76. Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the royalties or fees for technical services paid having regard to the use, right or information for which they are paid, exceeds the amount which would have been paid agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of this Article article shall apply to only to the last-last mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this ConventionAgreement.

ROYALTIES AND FEES FOR TECHNICAL SERVICES. 1. Royalties and or fees for technical services arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State. 2. However, such royalties and or fees for technical services may also be taxed in the contracting Contracting State in which they arise arise, and according to the laws of that State, but if the recipient is the beneficial owner of the royalties or fees for technical services is a resident of the other Contracting State, the tax so charged shall not exceed 20 10 per cent of the gross amount of the royalties or fees for technical services. 3. The term "royalties" as used in this Article means payments of any kind received as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific work (including cinematography cinematograph films and films, tapes or films or tapes used discs for radio or television broadcasting), any patent, trade xxxxmark, design or model, plan, secret formula or process, or for the use of, or the right to use, industrial, commercial or scientific equipment, or for information concerning industrial, commercial or scientific experience. 4. The term "fees for technical services" as used in this Article means payments any consideration (including any lump sum consideration) for the provision or rendering of any amount to any person managerial, technical or consultancy services by a resident of a Contracting State in the other than payments to an employee of the person making payments, in Contracting State but does not include consideration for the services any activities mentioned in paragraph 3 of technical Article 5, Article 14 or other personnelArticle 15. 5. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the royalties or fees for technical services, being a resident of a Contracting State, carries on business in the other Contracting State in which the royalties or fees for technical services arise, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right right, property or contract in respect of which the royalties or fees for technical services are paid is effectively connected with such permanent establishment or fixed base. In such case case, the provisions of Article 7 or Article 1514, as the case may be, shall apply. 6. Royalties and or fees for technical services shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivision, a local authority or a resident of that State. Where, however, the person paying the royalties or fees for technical services, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the liability to pay right, property or contract in respect of which the royalties or fees for technical services are paid is effectively connected, and such royalties or fees for technical services are borne by such permanent establishment or fixed base, then such royalties or fees for technical services shall be deemed to arise in the state State in which the permanent establishment or fixed base is situated. 7. Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the royalties or fees for technical services paid exceeds the amount which would have been paid agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of this Article shall apply to only to the last-mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Convention.

ROYALTIES AND FEES FOR TECHNICAL SERVICES. 1. Royalties and fees for technical services arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State. 2. However, such royalties and fees for technical services may also be taxed in the contracting Contracting State in which they arise and according to the laws of that State, but if the recipient is the beneficial owner of the royalties or fees for technical services the tax so charged shall not exceed 20 1 [10] per cent of the gross amount of the royalties or fees for technical services. The competent authorities of the Contracting States shall by mutual agreement settle the mode of application of this limitation. 3. The term "royalties" as used in this Article article means payments of any kind received as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific work including cinematography cinematograph films, films or films video tapes for use in connection with television or tapes used for use in connection with radio or television broadcasting, any patent, trade xxxx, design or model, plan, secret formula or process, or for the use of, or the right to use, industrial, commercial commercial, or scientific equipment, or for information concerning industrial, commercial or scientific experience. 4. The term "fees for technical services" as used in this Article article means payments of any amount kind to any person person, other than payments to an employee of the person persons making paymentsthe payments and to any individual for independent personal services mentioned in Article 14, in consideration for services of a managerial, technical or consultancy nature, including the provision of services of technical or other personnel. 5. The provisions of paragraphs 1 (1) and (2 ) shall not apply if the beneficial owner of the royalties or fees for technical services, being a resident of a Contracting State, carries on business in the other Contracting State in which the royalties or fees for technical services services, arise, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right of property or contract in respect of which the royalties or fees for technical services are paid is effectively connected with such permanent establishment or fixed base. In such case case, the provisions of Article article 7 or Article 15article 14, as the case may be, shall apply. 6. Royalties and fees for technical services shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivisionsub-division, a local authority or a resident of that State. Where, however, the person paying the royalties or fees for technical services, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the liability to pay the royalties or fees for technical services was incurred, and such royalties or fees for technical services are borne by such permanent establishment or fixed base, then such royalties or fees for technical services shall be deemed to arise in the state State in which the permanent establishment or fixed base is situated. 7. Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the royalties or fees for technical services paid services, having regard to the use, right or information for which they are paid, exceeds the amount which would have been paid agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of this Article article shall apply to only to the last-mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Convention. 1. Substituted for "30" by Notification No. GSR 37(E), dated 12-1-2000.

ROYALTIES AND FEES FOR TECHNICAL SERVICES. 1. Royalties and fees for technical services arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State. 2. However, such royalties and fees for technical services may also be taxed in the contracting Contracting State in which they arise and according to the laws of that State, but if the recipient is the beneficial owner of the royalties or and fees for technical services the tax so charged shall not exceed 20 10 per cent of the gross amount of the royalties or fees for technical services. 3. The term "royalties" as used in this Article means payments of any kind received as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific work including cinematography cinematograph films or films or tapes used for radio or television broadcasting, any patent, trade xxxx, design or model, plan, secret formula or process, or for the use of, or the right to use, industrial, commercial or scientific equipment, equipment or for information concerning industrial, commercial or scientific experience. 4. The term "fees for technical services" as used in this Article means payments payment of any amount to any person other than payments to an employee of the a person making payments, in consideration for the services of a managerial, technical or consultative nature including, the provision of services of technical or other personnel. 5. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the royalties or fees for technical services, being a resident of a Contracting State, carries on business in the other Contracting State in which the royalties or fees for technical services arise, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right right, property or contract in respect of which the royalties or fees for technical technical-services are paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of Article 7 or Article 1514, as the case may be, shall apply. 6. Royalties and fees for technical services shall be deemed to arise in a Contracting State when the payer is that the State itself, a political subdivisionsub-division, a local authority or a resident of that State. Where, however, the person paying the royalties or fees for technical services, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the liability to pay the royalties or fees for technical services was incurred, and such royalties or fees for technical services are borne by such permanent establishment or fixed base, then such royalties or fees for technical services shall be deemed to arise in the state State in which the permanent establishment or fixed base is situated. 7. Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of royalties or fees for technical services paid exceeds the amount which would have been paid in the absence of such relationship, the provisions of this Article shall apply to only to the last-mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Convention. 8. The provisions of this Article shall not apply if it is the main purposes or one of the main purposes of person concerned with the creation or transfer of the rights or rendering of services in respect of which the royalties or fees are paid to take advantage of this Article by means of that creation or assignment.