GreatNorthCollective/greatnorth-canada-federal-laws-text huggingface dataset:
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) alimony and other similar payments arising in a Contracting State and paid to a resident of the other Contracting State who is subject to tax therein in respect thereof shall be taxable only in that other State, but the amount taxable in that other State shall not exceed the amount that would be taxable in the first-mentioned State if the recipient were a resident thereof.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) Salaries, wages and other similar remuneration, other than a pension, paid by a Contracting State or a political subdivision or a local authority thereof to an individual in respect of services rendered to that State or subdivision or authority shall be taxable only in that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) However, such salaries, wages and other similar remuneration shall be taxable only in the other Contracting State if the services are rendered in that State and the individual is a resident of that State who (i) is a national of that State, or (ii) did not become a resident of that State solely for the purpose of rendering the services.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 The provisions of paragraph 1 shall not apply to salaries, wages and other similar remuneration in respect of services rendered in connection with a business carried on by a Contracting State or a political subdivision or a local authority thereof.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 However, if such income is derived by a resident of a Contracting State from sources in the other Contracting State, such income may also be taxed in the State in which it arises and according to the law of that State. Where such income is income from a trust, other than a trust to which contributions were deductible, the tax so charged shall, if the income is taxable in the Contracting State in which the beneficial owner is a resident, not exceed 15 per cent of the gross amount of the income.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Capital represented by movable property forming part of the business property of a permanent establishment that an enterprise of a Contracting State has in the other Contracting State, or by movable property pertaining to a fixed base available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal services, may be taxed in that other State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 Capital represented by ships and aircraft operated by an enterprise of a Contracting State in international traffic and by movable property pertaining to the operation of such ships and aircraft shall be taxable only in that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 In the case of Canada, double taxation shall be avoided as follows: (a) subject to the existing provisions of the law of Canada regarding the deduction from tax payable in Canada of tax paid in a territory outside Canada and to any subsequent modification of those provisions — which shall not affect the general principle hereof — and unless a greater deduction or relief is provided under the laws of Canada, tax payable in Peru on profits, income or gains arising in Peru shall be deducted from any Canadian tax payable in respect of such profits, income or gains; (b) subject to the existing provisions of the law of Canada regarding the allowance as a credit against Canadian tax of tax payable in a territory outside Canada and to any subsequent modification of those provisions — which shall not affect the general principle hereof — where a company which is a resident of Peru pays a dividend to a company which is a resident of Canada and which controls directly or indirectly at least 10 per cent of the voting power in the first-mentioned company, the credit shall take into account the tax payable in Peru by that first-mentioned company in respect of the profits out of which such dividend is paid; and (c) where, in accordance with any provision of the Convention, income derived or capital owned by a resident of Canada is exempt from tax in Canada, Canada may nevertheless, in calculating the amount of tax on other income or capital, take into account the exempted income or capital.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) subject to the existing provisions of the law of Canada regarding the deduction from tax payable in Canada of tax paid in a territory outside Canada and to any subsequent modification of those provisions — which shall not affect the general principle hereof — and unless a greater deduction or relief is provided under the laws of Canada, tax payable in Peru on profits, income or gains arising in Peru shall be deducted from any Canadian tax payable in respect of such profits, income or gains;
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) subject to the existing provisions of the law of Canada regarding the allowance as a credit against Canadian tax of tax payable in a territory outside Canada and to any subsequent modification of those provisions — which shall not affect the general principle hereof — where a company which is a resident of Peru pays a dividend to a company which is a resident of Canada and which controls directly or indirectly at least 10 per cent of the voting power in the first-mentioned company, the credit shall take into account the tax payable in Peru by that first-mentioned company in respect of the profits out of which such dividend is paid; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (c)
(c) where, in accordance with any provision of the Convention, income derived or capital owned by a resident of Canada is exempt from tax in Canada, Canada may nevertheless, in calculating the amount of tax on other income or capital, take into account the exempted income or capital.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 In the case of Peru, double taxation shall be avoided as follows: (a) residents of Peru may credit against Peruvian tax on income or capital arising in Canada the income tax paid in Canada in an amount not exceeding the tax payable in Peru on such income; (b) where a company which is a resident of Canada pays a dividend to a person which is a resident of Peru that controls directly or indirectly at least 10 per cent of the voting power in the company, the credit shall take into account the tax payable in Canada by the company in respect of the profits out of which such dividend is paid but only to the extent that the Peruvian tax exceeds the amount of the credit determined without reference to this subparagraph; (c) for the purposes of this paragraph, the tax basis of a person that is a resident of Peru shall be that person’s income before income tax paid by that person in Canada; and (d) where, in accordance with any provision of the Convention, income derived or capital owned by a resident of Peru is exempt from tax in Peru, Peru may nevertheless, in calculating the amount of tax on the remaining income or capital, take into account the exempted income or capital.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) residents of Peru may credit against Peruvian tax on income or capital arising in Canada the income tax paid in Canada in an amount not exceeding the tax payable in Peru on such income;
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) where a company which is a resident of Canada pays a dividend to a person which is a resident of Peru that controls directly or indirectly at least 10 per cent of the voting power in the company, the credit shall take into account the tax payable in Canada by the company in respect of the profits out of which such dividend is paid but only to the extent that the Peruvian tax exceeds the amount of the credit determined without reference to this subparagraph;
Income Tax Conventions Implementation Act, 2001 — I-3.55 (c)
(c) for the purposes of this paragraph, the tax basis of a person that is a resident of Peru shall be that person’s income before income tax paid by that person in Canada; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (d)
(d) where, in accordance with any provision of the Convention, income derived or capital owned by a resident of Peru is exempt from tax in Peru, Peru may nevertheless, in calculating the amount of tax on the remaining income or capital, take into account the exempted income or capital.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 For the purposes of this Article, profits, income or gains of a resident of a Contracting State that may be taxed in the other Contracting State in accordance with this Convention shall be deemed to arise from sources in that other State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 Nationals of a Contracting State shall not be subjected in the other Contracting State to any taxation or any requirement connected therewith that is more burdensome than the taxation and connected requirements to which nationals of that other State in the same circumstances, in particular with respect to residence, are or may be subjected.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 The taxation on a permanent establishment that an enterprise of a Contracting State has in the other Contracting State shall not be less favourably levied in that other State than the taxation levied on enterprises of that other State carrying on the same activities.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 Nothing in this Article shall be construed as obliging a Contracting State to grant to residents of the other Contracting State any personal allowances, reliefs and reductions for taxation purposes on account of civil status or family responsibilities that it grants to its own residents.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 Enterprises of a Contracting State, the capital of which is wholly or partly owned or controlled, directly or indirectly, by one or more residents of the other Contracting State, shall not be subjected in the first-mentioned State to any taxation or any requirement connected therewith that is more burdensome than the taxation and connected requirements to which other similar enterprises that are residents of the first-mentioned State, the capital of which is wholly or partly owned or controlled, directly or indirectly, by one or more residents of a third State, are or may be subjected.
Income Tax Conventions Implementation Act, 2001 — I-3.55 5
5 In this Article, the term taxation means taxes that are the subject of this Convention.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 Where a person considers that the actions of one or both of the Contracting States result or will result for that person in taxation not in accordance with the provisions of this Convention, that person may, irrespective of the remedies provided by the domestic law of those States, address to the competent authority of the Contracting State of which that person is a resident an application in writing stating the grounds for claiming the revision of such taxation. To be admissible, the said application must be submitted within two years from the first notification of the action resulting in taxation not in accordance with the provisions of the Convention.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 A Contracting State shall not, after the expiry of the time limits provided in its domestic laws and, in any case, after five years from the end of the taxable period to which the income concerned was attributed, increase the tax base of a resident of either of the Contracting States by including therein items of income that have also been charged to tax in the other Contracting State. This paragraph shall not apply in the case of fraud, wilful default or neglect.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 The competent authorities of the Contracting States shall endeavour to resolve by mutual agreement any difficulties or doubts arising as to the interpretation or application of the Convention.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 The competent authorities of the Contracting States shall exchange such information as is relevant for carrying out the provisions of this Convention or of the domestic laws in the Contracting States concerning taxes covered by this Convention insofar as the taxation thereunder is not contrary to the Convention. The exchange of information is not restricted by Article 1. Any information received by a Contracting State shall be treated as secret in the same manner as information obtained under the domestic laws of that State and shall be disclosed only to persons or authorities (including courts and administrative bodies) concerned with, and only for use in connection with, the assessment or collection of, the enforcement in respect of, or the determination of appeals in relation to any tax. Such persons or authorities shall use the information only for such purposes. They may disclose the information in public court proceedings or in judicial decisions.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 In no case shall the provisions of paragraph 1 be construed so as to impose on a Contracting State the obligation (a) to carry out administrative measures at variance with the laws and the administrative practice of that or of the other Contracting State; (b) to supply information that is not obtainable under the laws or in the normal course of the administration of that or of the other Contracting State; or (c) to supply information that would disclose any trade, business, industrial, commercial or professional secret or trade process, or information, the disclosure of which would be contrary to public policy ( ordre public ).
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) to supply information that is not obtainable under the laws or in the normal course of the administration of that or of the other Contracting State; or
Income Tax Conventions Implementation Act, 2001 — I-3.55 (c)
(c) to supply information that would disclose any trade, business, industrial, commercial or professional secret or trade process, or information, the disclosure of which would be contrary to public policy ( ordre public ).
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 If information is requested by a Contracting State in accordance with this Article, the other Contracting State shall endeavour to obtain the information to which the request relates in the same way as if its own taxation were involved, even though the other State does not, at that time, need such information. If specifically requested by the competent authority of a Contracting State, the competent authority of the other Contracting State shall endeavour to provide information under this Article in the form requested.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Notwithstanding the provisions of Article 4, an individual who is a member of a diplomatic mission, consular post or permanent mission of a Contracting State that is situated in the other Contracting State or in a third State shall be deemed for the purposes of the Convention to be a resident of the sending State if that individual is liable in the sending State to the same obligations in relation to tax on total income as are residents of that sending State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 The provisions of this Convention shall not be construed to restrict in any manner any exemption, allowance, credit or other deduction accorded by the laws of a Contracting State in the determination of the tax imposed by that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Nothing in the Convention shall be construed as preventing a Contracting State from imposing a tax on amounts included in the income of a resident of that State with respect to a partnership, trust, or company, in which that resident has an interest.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 The Convention shall not apply to any company, trust or other entity that is a resident of a Contracting State and is beneficially owned or controlled, directly or indirectly, by one or more persons who are not residents of that State, if the amount of the tax imposed on the income or capital of the company, trust or other entity by that State is substantially lower than the amount that would be imposed by that State (after taking into account any reduction or offset of the amount of tax in any manner, including a refund, reimbursement, contribution, credit, or allowance to the company, trust or partnership, or to any other person) if all of the shares of the capital stock of the company or all of the interests in the trust or other entity, as the case may be, were beneficially owned by one or more individuals who were residents of that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 For the purposes of paragraph 3 of Article XXII (Consultation) of the General Agreement on Trade in Services, the Contracting States agree that, notwithstanding that paragraph, any dispute between them as to whether a measure falls within the scope of the convention may be brought before the Council for Trade in Services, as provided by that paragraph, only with the consent of both Contracting States. Any doubt as to the interpretation of this paragraph shall be resolved under paragraph 4 of Article 25 or, failing agreement under that procedure, pursuant to any other procedure agreed to by both Contracting States.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
Each of the Contracting States shall notify the other through diplomatic channels of the completion of the procedures required by law for the bringing into force of this Convention. The Convention shall enter into force on the date of the later of these notifications and its provisions shall thereupon have effect (a) in Canada (i) in respect of tax withheld at the source on amounts paid or credited to non-residents, on or after the first day of January in the calendar year following that in which the Convention enters into force, and (ii) in respect of other Canadian tax, for taxation years beginning on or after the first day of January in the calendar year following that in which the Convention enters into force; and (b) in Peru, in respect of Peruvian taxes and amounts paid, credited to an account, made at the disposal or accounted as an expense, on or after the first day of January of the calendar year immediately following that in which the Convention enters into force.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) in Canada (i) in respect of tax withheld at the source on amounts paid or credited to non-residents, on or after the first day of January in the calendar year following that in which the Convention enters into force, and (ii) in respect of other Canadian tax, for taxation years beginning on or after the first day of January in the calendar year following that in which the Convention enters into force; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (i)
(i) in respect of tax withheld at the source on amounts paid or credited to non-residents, on or after the first day of January in the calendar year following that in which the Convention enters into force, and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (ii)
(ii) in respect of other Canadian tax, for taxation years beginning on or after the first day of January in the calendar year following that in which the Convention enters into force; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) in Peru, in respect of Peruvian taxes and amounts paid, credited to an account, made at the disposal or accounted as an expense, on or after the first day of January of the calendar year immediately following that in which the Convention enters into force.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
This Convention shall continue in effect indefinitely but either Contracting State may, on or before June 30 of any calendar year after the year of the entry into force, give to the other Contracting State a notice of termination in writing through diplomatic channels. In such event, the Convention shall cease to have effect (a) in Canada (i) in respect of tax withheld at the source on amounts paid or credited to non-residents, after the end of that calendar year, and (ii) in respect of other Canadian tax, for taxation years beginning after the end of that calendar year; and (b) in Peru, in respect of Peruvian taxes and amounts paid, credited to an account, made at the disposal or accounted as an expense, on or after the first day of January of the next following calendar year.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) in Canada (i) in respect of tax withheld at the source on amounts paid or credited to non-residents, after the end of that calendar year, and (ii) in respect of other Canadian tax, for taxation years beginning after the end of that calendar year; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (i)
(i) in respect of tax withheld at the source on amounts paid or credited to non-residents, after the end of that calendar year, and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (ii)
(ii) in respect of other Canadian tax, for taxation years beginning after the end of that calendar year; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) in Peru, in respect of Peruvian taxes and amounts paid, credited to an account, made at the disposal or accounted as an expense, on or after the first day of January of the next following calendar year.
Income Tax Conventions Implementation Act, 2001 — I-3.55
DONE in duplicate at Lima, this 20 th day of July, 2001, in the English, French and Spanish languages, each version being equally authentic.
Income Tax Conventions Implementation Act, 2001 — I-3.55
FOR THE GOVERNMENT OF THE REPUBLIC OF PERU
Income Tax Conventions Implementation Act, 2001 — I-3.55
At the moment of signing the Convention this day concluded between the Government of Canada and the Government of the Republic of Peru for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital, the undersigned have agreed upon the following provisions which shall be an integral part of the Convention.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 With reference to subparagraph (d) of paragraph 1 of Article 3, the term person shall, in the case of Peru, include undivided estates ( sucesiones indivisas ) as well as matrimonial partnerships ( sociedades conyugales ).
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 With reference to paragraph 2 of Article 9, it is understood that the other State is only required to make the appropriate adjustment to the extent it considers that the adjustment made in the first State is justified both in principle and in amount.