GreatNorthCollective/greatnorth-canada-federal-laws-text huggingface dataset:
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) the furnishing of services, including consultancy or managerial services, by an enterprise of a Contracting State through employees or other personnel engaged by the enterprise for such purposes, but only where activities of that nature continue in the territory of the other Contracting State for a period or periods exceeding in the aggregate six months within any twelve month period.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 Notwithstanding the preceding provisions of this Article, the term permanent establishment shall be deemed not to include: (a) the use of facilities solely for the purpose of storage, display or delivery of goods or merchandise belonging to the enterprise; (b) the maintenance of a stock of goods or merchandise belonging to the enterprise solely for the purpose of storage, display or delivery; (c) the maintenance of a stock of goods or merchandise belonging to the enterprise solely for the purpose of processing by another enterprise; (d) the maintenance of a fixed place of business solely for the purpose of purchasing goods or merchandise or of collecting information, for the enterprise; (e) the maintenance of a fixed place of business solely for the purpose of carrying on, for the enterprise, any other activity of a preparatory or auxiliary character; (f) the maintenance of a fixed place of business solely for any combination of activities mentioned in subparagraphs (a) to (e), provided that the overall activity of the fixed place of business resulting from this combination is of a preparatory or auxiliary character.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (f)
(f) the maintenance of a fixed place of business solely for any combination of activities mentioned in subparagraphs (a) to (e), provided that the overall activity of the fixed place of business resulting from this combination is of a preparatory or auxiliary character.
Income Tax Conventions Implementation Act, 2001 — I-3.55 6
6 An enterprise shall not be deemed to have a permanent establishment in a Contracting State merely because it carries on business in that State through a broker, general commission agent or any other agent of an independent status, where such persons are acting in the ordinary course of their business.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 The provisions of paragraph 1 shall apply to income derived from the direct use, letting, or use in any other form of immovable property.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 The profits of an enterprise of a Contracting State shall be taxable only in that State unless the enterprise carries on or has carried on business in the other Contracting State through a permanent establishment situated therein. If the enterprise carries on or has carried on business as aforesaid, the profits of the enterprise may be taxed in the other State but only so much of them as is attributable to that permanent establishment.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Subject to the provisions of paragraph 3, where an enterprise of a Contracting State carries on or has carried on business in the other Contracting State through a permanent establishment situated therein, there shall in each Contracting State be attributed to that permanent establishment the profits which it might be expected to make if it were a distinct and separate enterprise engaged in the same or similar activities under the same or similar conditions and dealing wholly independently with the enterprise of which it is a permanent establishment.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 In the determination of the profits of a permanent establishment, there shall be allowed as deductions those deductible expenses which are incurred for the purposes of the permanent establishment, including executive and general administrative expenses so incurred, whether in the State in which the permanent establishment is situated or elsewhere.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 Insofar as it has been customary in a Contracting State to determine the profits to be attributed to a permanent establishment on the basis of an apportionment of the total profits of the enterprise to its various parts, nothing in paragraph 2 shall preclude that Contracting State from determining the profits to be taxed by such an apportionment as may be customary; the method of apportionment adopted shall, however, be such that the result shall be in accordance with the principles contained in this Article.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 Profits derived by a resident of a Contracting State from the operation of ships or aircraft in international traffic shall be taxable only in that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Notwithstanding the provisions of paragraph 1 and of Article 7, profits derived from the operation of ships or aircraft used principally to transport passengers or goods exclusively between places in a Contracting State may be taxed in that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 The provisions of paragraphs 1 and 2 shall also apply to profits derived by a resident of a Contracting State from its participation in a pool, a joint business or an international operating agency.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 For the purposes of this Article, profits from the operation of ships or aircraft in international traffic include: (a) profits from the rental on a bare boat basis of ships or aircraft and (b) profits from the use, maintenance or rental of containers (including trailers and related equipment for the transport of containers) used for the transport of goods, where such rental or such use, maintenance or rental, as the case may be, is incidental to the operation of ships or aircraft in international traffic.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) profits from the rental on a bare boat basis of ships or aircraft and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) profits from the use, maintenance or rental of containers (including trailers and related equipment for the transport of containers) used for the transport of goods,
Income Tax Conventions Implementation Act, 2001 — I-3.55
where such rental or such use, maintenance or rental, as the case may be, is incidental to the operation of ships or aircraft in international traffic.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Where a Contracting State includes in the profits of an enterprise of that State — and taxes accordingly — profits on which an enterprise of the other Contracting State has been charged to tax in that other State and the profits so included are profits which would have accrued to the enterprise of the first-mentioned State if the conditions made between the two enterprises had been those which would have been made between independent enterprises, then that other State shall make an appropriate adjustment to the amount of the tax charged therein on those profits. In determining such adjustment, due regard shall be had to the other provisions of this Convention and the competent authorities of the Contracting States shall if necessary consult each other.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 However, such dividends may also be taxed in the Contracting State of which the company paying the dividends is a resident and according to the laws of that State, but if the beneficial owner of the dividends is a resident of the other Contracting State, the tax so charged shall not exceed: (a) except in the case of dividends paid by a non-resident-owned investment corporation that is a resident of Canada, 5 per cent of the gross amount of the dividends if the beneficial owner is a company which controls directly or indirectly at least 10 per cent of the voting power in the company paying the dividends; (b) 15 per cent of the gross amount of the dividends in all other cases. The provisions of this paragraph shall not affect the taxation of the profits out of which the dividends are paid.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) except in the case of dividends paid by a non-resident-owned investment corporation that is a resident of Canada, 5 per cent of the gross amount of the dividends if the beneficial owner is a company which controls directly or indirectly at least 10 per cent of the voting power in the company paying the dividends;
Income Tax Conventions Implementation Act, 2001 — I-3.55
The provisions of this paragraph shall not affect the taxation of the profits out of which the dividends are paid.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 The term dividends as used in this Article means income from shares, or other rights, not being debt-claims, participating in profits, as well as income which is subjected to the same taxation treatment as income from shares by the laws of the State of which the company making the distribution is a resident.
Income Tax Conventions Implementation Act, 2001 — I-3.55 5
5 Where a company which is a resident of a Contracting State derives profits or income from the other Contracting State, that other State may not impose any tax on the dividends paid by the company, except insofar as such dividends are paid to a resident of that other State or insofar as the holding in respect of which the dividends are paid is effectively connected with a permanent establishment or a fixed base situated in that other State, nor subject the company’s undistributed profits to a tax on the company’s undistributed profits, even if the dividends paid or the undistributed profits consist wholly or partly of profits or income arising in such other State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 6
6 Nothing in this Convention shall be construed as preventing a Contracting State from imposing on the alienation of immovable property situated in that State by a company carrying on a trade in immovable property or on the earnings of a company attributable to a permanent establishment in that State, tax in addition to the tax which would be chargeable on the earnings of a company which is a resident of that State, provided that any additional tax so imposed shall not exceed 5 per cent of the amount of such earnings which have not been subjected to such additional tax in previous taxation years. For the purpose of this provision, the term earnings means the earnings attributable to the alienation of such immovable property situated in a Contracting State as may be taxed by that State under the provisions of paragraph 1 of Article 13, and the profits, including any gains from the alienation of any property, attributable to a permanent establishment in a Contracting State in a year and previous years after deducting therefrom all taxes, other than the additional tax referred to herein, imposed on such profits by that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 Notwithstanding the provisions of paragraph 2, (a) interest arising in a Contracting State and paid in respect of indebtedness of the government of that Contracting State or of a political subdivision or local authority thereof shall, provided that the interest is beneficially owned by a resident of the other Contracting State, be taxable only in that other State; (b) interest arising in a Contracting State and paid to and beneficially owned by a resident of the other Contracting State shall be taxable only in that other State if it is paid in respect of a loan made, guaranteed or insured, or a credit extended, guaranteed or insured by an entity wholly-owned and controlled by the government of that other State, provided this loan or credit is in respect of imports or exports; (c) interest arising in a Contracting State, beneficially owned by a resident of the other Contracting State and paid in connection with the sale on credit of any equipment, merchandise or services except where the sale is made between persons not dealing with each other at arm’s length, shall be taxable only in that other State; (d) interest arising in a Contracting State and paid to a resident of the other Contracting State which was constituted and is operated exclusively to administer or provide benefits under one or more pension, retirement or other employee benefits plans shall not be taxable in the first-mentioned State provided that (i) the resident is the beneficial owner of the interest and is generally exempt from tax in the other State, and (ii) the interest is not derived from carrying on a business or from an associated person within the meaning of subparagraph (a) or subparagraph (b) of paragraph 1 of Article 9.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) interest arising in a Contracting State and paid in respect of indebtedness of the government of that Contracting State or of a political subdivision or local authority thereof shall, provided that the interest is beneficially owned by a resident of the other Contracting State, be taxable only in that other State;
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) interest arising in a Contracting State and paid to and beneficially owned by a resident of the other Contracting State shall be taxable only in that other State if it is paid in respect of a loan made, guaranteed or insured, or a credit extended, guaranteed or insured by an entity wholly-owned and controlled by the government of that other State, provided this loan or credit is in respect of imports or exports;
Income Tax Conventions Implementation Act, 2001 — I-3.55 (c)
(c) interest arising in a Contracting State, beneficially owned by a resident of the other Contracting State and paid in connection with the sale on credit of any equipment, merchandise or services except where the sale is made between persons not dealing with each other at arm’s length, shall be taxable only in that other State;
Income Tax Conventions Implementation Act, 2001 — I-3.55 (d)
(d) interest arising in a Contracting State and paid to a resident of the other Contracting State which was constituted and is operated exclusively to administer or provide benefits under one or more pension, retirement or other employee benefits plans shall not be taxable in the first-mentioned State provided that (i) the resident is the beneficial owner of the interest and is generally exempt from tax in the other State, and (ii) the interest is not derived from carrying on a business or from an associated person within the meaning of subparagraph (a) or subparagraph (b) of paragraph 1 of Article 9.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (i)
(i) the resident is the beneficial owner of the interest and is generally exempt from tax in the other State, and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (ii)
(ii) the interest is not derived from carrying on a business or from an associated person within the meaning of subparagraph (a) or subparagraph (b) of paragraph 1 of Article 9.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 The term interest as used in this Article means income from debt-claims of every kind, whether or not secured by mortgage, and in particular, income from government securities and income from bonds or debentures, including premiums and prizes attaching to such securities, bonds or debentures, as well as income which is subjected to the same taxation treatment as income from money lent by the laws of the State in which the income arises. However, the term interest does not include income dealt with in Article 10.
Income Tax Conventions Implementation Act, 2001 — I-3.55 7
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 interest paid, having regard to the debt-claim for which it is paid, exceeds the amount which would have been agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of this Article shall apply 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.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 However, such royalties may also be taxed in the Contracting State in which they arise and according to the laws of that State, but if the beneficial owner of the royalties is a resident of the other Contracting State, the tax so charged shall not exceed 10 per cent of the gross amount of the royalties.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
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 motion picture films and works on films, tapes or other means of reproduction for use in connection with television or radio broadcasting, any patent, trade mark, 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. However, the term royalties does not include income dealt with in Article 8.
Income Tax Conventions Implementation Act, 2001 — I-3.55 5
5 Royalties shall be deemed to arise in a Contracting State when the payer is a resident of that State. Where, however, the person paying the royalties, whether the payer 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 was incurred, and such royalties are borne by such permanent establishment or fixed base, then such royalties shall be deemed to arise in the State in which the permanent establishment or fixed base is situated.
Income Tax Conventions Implementation Act, 2001 — I-3.55 6
6 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 paid, having regard to the use, right or information for which they are paid, exceeds the amount which would have been agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of this Article shall apply 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.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 Income and gains derived by a resident of a Contracting State from the alienation of immovable property situated in the other Contracting State may be taxed in that other State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 The provisions of paragraphs 1 and 2 shall also apply to gains from the alienation of an interest in a partnership to the extent that the gains can be attributed to immovable property or to movable property forming part of the business property of a partnership.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 Gains derived by a resident of a Contracting State from the alienation of ships or aircraft operated in international traffic or of movable property pertaining to the operation of such ships or aircraft, shall be taxable only in that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 5
5 Gains derived by a resident of a Contracting State from the alienation of (a) shares forming part of a substantial interest in the capital stock of a company, at least 50 per cent of the value of which shares is derived from immovable property situated in the other State, and (b) an interest in a trust, at least 50 per cent of the value of which is derived from immovable property situated in that other State, may be taxed in that other State. For the purposes of this paragraph, the term immovable property does not include any property, other than rental property, in which the business of the company or trust is carried on, and a substantial interest exists when the resident or persons related thereto own 10 per cent or more of any class of the capital stock of a company.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) shares forming part of a substantial interest in the capital stock of a company, at least 50 per cent of the value of which shares is derived from immovable property situated in the other State, and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) an interest in a trust, at least 50 per cent of the value of which is derived from immovable property situated in that other State,
Income Tax Conventions Implementation Act, 2001 — I-3.55
may be taxed in that other State. For the purposes of this paragraph, the term immovable property does not include any property, other than rental property, in which the business of the company or trust is carried on, and a substantial interest exists when the resident or persons related thereto own 10 per cent or more of any class of the capital stock of a company.
Income Tax Conventions Implementation Act, 2001 — I-3.55 6
6 Gains from the alienation of any property other than that referred to in paragraphs 1, 2, 3, 4 and 5, shall be taxable only in the Contracting State of which the alienator is a resident.
Income Tax Conventions Implementation Act, 2001 — I-3.55 7
7 The provisions of this Article shall not affect the right of a Contracting State to levy, according to its law, a tax on gains from the alienation of any property derived by an individual who is a resident of the other Contracting State and have been a resident of the first-mentioned State at any time during the six years immediately preceding the alienation of the property.
Income Tax Conventions Implementation Act, 2001 — I-3.55 8
8 Where an individual who ceases to be a resident of a Contracting State, and immediately thereafter becomes a resident of the other Contracting State, is treated for the purposes of taxation in the first-mentioned State as having alienated a property and is taxed in that State by reason thereof, the individual may elect to be treated for the purposes of taxation in the other State as if the individual had, immediately before becoming a resident of that State, sold and repurchased the property for an amount equal to its fair market value at that time. However, this provision shall not apply to property any gain from which, arising immediately before the individual became a resident of that other State, may be taxed in that other State nor to immovable property situated in a third State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 Income derived by an individual who is a resident of a Contracting State in respect of professional services or other activities of an independent character shall be taxable only in that State except in the following circumstances, when such income may also be taxed in the other Contracting State: (a) if the individual has or had a fixed base regularly available in the other Contracting State for the purpose of performing the activities; in that case, only so much of the income as is attributable to that fixed base may be taxed in the other State; or (b) if the individual is present in the other State for a period or periods exceeding in the aggregate 183 days in any twelve month period commencing or ending in the fiscal year concerned; in that case, only so much of the income as is derived from the activities performed in the other State may be taxed in that other State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) if the individual has or had a fixed base regularly available in the other Contracting State for the purpose of performing the activities; in that case, only so much of the income as is attributable to that fixed base may be taxed in the other State; or