GreatNorthCollective/greatnorth-canada-federal-laws-text huggingface dataset:
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) the term profits includes (i) gross receipts and revenues derived directly from the operation of ships or aircraft in international traffic, and (ii) interest that is incidental to the operation of ships or aircraft in international traffic; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (ii)
(ii) interest that is incidental to the operation of ships or aircraft in international traffic; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) the term operation of ships or aircraft in international traffic by an enterprise, includes (i) the charter or rental of ships or aircraft, and (ii) the rental of containers and related equipment, by that enterprise if that charter or rental is incidental to the operation by that enterprise of ships or aircraft in international traffic.
Income Tax Conventions Implementation Act, 2001 — I-3.55
by that enterprise if that charter or rental is incidental to the operation by that enterprise of ships or aircraft in international traffic.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 Where (a) an enterprise of a Contracting State participates directly or indirectly in the management, control or capital of an enterprise of the other Contracting State, or (b) the same persons participate directly or indirectly in the management, control or capital of an enterprise of a Contracting State and an enterprise of the other Contracting State, and in either case conditions are made or imposed between the two enterprises in their commercial or financial relations that differ from those that would be made between independent enterprises, then any income that would, but for those conditions, have accrued to one of the enterprises, but, by reason of those conditions, has not so accrued, may be included in the income of that enterprise and taxed accordingly.
Income Tax Conventions Implementation Act, 2001 — I-3.55
and in either case conditions are made or imposed between the two enterprises in their commercial or financial relations that differ from those that would be made between independent enterprises, then any income that would, but for those conditions, have accrued to one of the enterprises, but, by reason of those conditions, has not so accrued, may be included in the income of that enterprise and taxed accordingly.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Where a Contracting State includes in the income of an enterprise of that State — and taxes accordingly — income on which an enterprise of the other Contracting State has been charged to tax in that other State and the income so included is income that would have accrued to the enterprise of the first-mentioned State if the conditions made between the two enterprises had been those that would have been made between independent enterprises, then that other State shall make an appropriate adjustment to the amount of tax charged therein on that income. 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 3
3 A Contracting State shall not change the income of an enterprise in the circumstances referred to in paragraph 1 after the expiry of the time limits provided in its domestic laws and, in any case, after five years from the end of the year in which the income that would be subject to such change would, but for the conditions referred to in paragraph 1, have been attributed to that enterprise.
Income Tax Conventions Implementation Act, 2001 — I-3.55 1
1 Dividends paid by a company that is a resident of a Contracting State to a resident of the other Contracting State may be taxed in that other State.
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) 10 per cent of the gross amount of the dividends if the beneficial owner is a company that controls directly or indirectly at least 10 per cent of the voting power in the company paying the dividends; and (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 company in respect of the profits out of which the dividends are paid.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) 10 per cent of the gross amount of the dividends if the beneficial owner is a company that controls directly or indirectly at least 10 per cent of the voting power in the company paying the dividends; and
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) 15 per cent of the gross amount of the dividends, in all other cases.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 The provisions of paragraph 2 shall not apply if the beneficial owner of the dividends, being a resident of a Contracting State, carries on or has carried on business in the other Contracting State of which the company paying the dividends is a resident, through a permanent establishment situated therein, or performs or has performed in that other State independent personal services from a fixed base situated therein, and the holding in respect of which the dividends are paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of Article 7 or Article 14, as the case may be, shall apply.
Income Tax Conventions Implementation Act, 2001 — I-3.55 5
5 Where a company that 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 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 earnings of a company attributable to a permanent establishment in that State, or the earnings attributable to the alienation of immovable property situated in that State by a company carrying on a trade in immovable property, a tax in addition to the tax that would be chargeable on the earnings of a company that is a national of that State, except that any additional tax so imposed shall not exceed 10 per cent of the amount of such earnings that 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 Article 6 or of paragraph 1 of Article 13, and the profits, including any gains, 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 in that State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 7
7 The provisions of this Article shall not apply if it was the main purpose or one of the main purposes of any person concerned with the creation or assignment of the shares or other rights in respect of which the dividend is paid to take advantage of this Article by means of that creation or assignment.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 However, such interest may also be taxed in the Contracting State in which it arises and according to the laws of that State, but if the beneficial owner of the interest is a resident of the other Contracting State, the tax so charged shall not exceed 15 per cent of the gross amount of the interest.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 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 8 or Article 10.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 The provisions of paragraph 2 shall not apply if the beneficial owner of the interest, being a resident of a Contracting State, carries on or has carried on business in the other Contracting State in which the interest arises through a permanent establishment situated therein, or performs or has performed in that other State independent personal services from a fixed base situated therein, and the debt-claim in respect of which the interest is paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of Article 7 or Article 14, as the case may be, shall apply.
Income Tax Conventions Implementation Act, 2001 — I-3.55 5
5 Interest shall be deemed to arise in a Contracting State when the payer is a resident of that State. Where, however, the person paying the interest, 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 indebtedness on which the interest is paid was incurred, and such interest is borne by such permanent establishment or fixed base, then such interest 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 interest, having regard to the debt-claim for which it is paid, exceeds the amount that 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 7
7 The provisions of this Article shall not apply if it was the main purpose or one of the main purposes of any person concerned with the creation or assignment of the debt-claim in respect of which the interest is paid to take advantage of this Article by means of that creation or assignment.
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 15 per cent of the gross amount of the royalties.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 The provisions of paragraph 2 shall not apply if the beneficial owner of the royalties, being a resident of a Contracting State, carries on or has carried on business in the other Contracting State in which the royalties arise, through a permanent establishment situated therein, or performs or has performed in that other State independent personal services from a fixed base situated therein, and the right or property in respect of which the royalties are paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of Article 7 or Article 14, as the case may be, shall apply.
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 another person, the amount of the royalties, having regard to the use, right or information for which they are paid, exceeds the amount that 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 7
7 The provisions of this Article shall not apply if it was the main purpose or one of the main purposes of any person concerned with the creation or assignment of the rights in respect of which the royalties are paid to take advantage of this Article by means of that creation or assignment.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Gains from the alienation of movable property forming part of the business property of a permanent establishment that an enterprise of a Contracting State has or had in the other Contracting State or of movable property pertaining to a fixed base that is or was available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal services, including such gains from the alienation of such a permanent establishment (alone or with the whole enterprise) or of such a fixed base, may be taxed in that other State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 Gains derived by an enterprise of a Contracting State from the alienation of ships or aircraft operated in international traffic or from containers used in, or other 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 4
4 Gains derived by a resident of a Contracting State from the alienation of (a) shares, the value of which is derived principally from immovable property situated in the other State; or (b) an interest in a partnership or trust, the value of which is derived principally 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, partnership or trust is carried on.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) shares, the value of which is derived principally from immovable property situated in the other State; or
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) an interest in a partnership or trust, the value of which is derived principally from immovable property situated in that other State;
Income Tax Conventions Implementation Act, 2001 — I-3.55 5
5 Where a resident of a Contracting State alienates property in the course of a corporate or other organization, reorganization, amalgamation, division or similar transaction and profit, gain or income with respect to such alienation is not recognized for the purpose of taxation in that State, if requested to do so by the person who acquires the property, the competent authority of the other Contracting State may agree, in order to avoid double taxation and subject to terms and conditions satisfactory to such competent authority, to defer the recognition of the profit, gain or income with respect to such property for the purpose of taxation in that other State until such time and in such manner as may be stipulated in the agreement.
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 and 4, 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 paragraph 6 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 (other than property to which the provisions of paragraph 8 apply) derived by an individual who is a resident of the other Contracting State and has 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 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 which would give rise, if it were alienated immediately before the individual became a resident of that other State, to a gain which may be taxed in that other 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 or similar services performed in the other Contracting State may be taxed in that other State but the tax so charged shall not exceed 10 per cent of the gross amount of that income unless: (a) the income is attributable to a fixed base which the individual has or had regularly available in that other State for the purpose of performing the activities; or (b) such individual is present in that other State for a period or periods exceeding in the aggregate 183 days in any consecutive twelve month period.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) the income is attributable to a fixed base which the individual has or had regularly available in that other State for the purpose of performing the activities; or
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) such individual is present in that other State for a period or periods exceeding in the aggregate 183 days in any consecutive twelve month period.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Notwithstanding the provisions of paragraph 1, remuneration derived by a resident of a Contracting State in respect of an employment exercised in the other Contracting State shall be taxable only in the first-mentioned State if the recipient is present in the other State for a period or periods not exceeding in the aggregate 183 days in any twelve-month period commencing or ending in the calendar year concerned, and either (a) the total remuneration derived by the resident in respect of all employment exercised in the other Contracting State in the calendar year concerned does not exceed ten thousand Canadian dollars ($10,000) or its equivalent in the currency of Peru or such amounts as may be specified and agreed in letters exchanged between the competent authorities of the Contracting States; or (b) the remuneration is paid by, or on behalf of, a person who is not a resident of the other State, and such remuneration is not borne by a permanent establishment or a fixed base that the person has in the other State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 (a)
(a) the total remuneration derived by the resident in respect of all employment exercised in the other Contracting State in the calendar year concerned does not exceed ten thousand Canadian dollars ($10,000) or its equivalent in the currency of Peru or such amounts as may be specified and agreed in letters exchanged between the competent authorities of the Contracting States; or
Income Tax Conventions Implementation Act, 2001 — I-3.55 (b)
(b) the remuneration is paid by, or on behalf of, a person who is not a resident of the other State, and such remuneration is not borne by a permanent establishment or a fixed base that the person has in the other State.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 Notwithstanding the preceding provisions of this Article, remuneration derived in respect of an employment exercised aboard a ship or aircraft operated in international traffic by an enterprise of a Contracting State shall be taxable only in that State unless the remuneration is derived by a resident of the other Contracting State.
Income Tax Conventions Implementation Act, 2001 — I-3.55
Directors’ fees and other similar payments derived by a resident of a Contracting State in the capacity as a member of the board of directors or a similar organ of a company which is a resident of 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 paragraph 2 shall not apply if it is established that neither the entertainer or the sportsperson nor persons related thereto participate directly or indirectly in the profits of the person referred to in that paragraph.
Income Tax Conventions Implementation Act, 2001 — I-3.55 2
2 Pensions arising in a Contracting State and paid to a resident of the other Contracting State may also be taxed in the State in which they arise and according to the laws of that State. However, in the case of periodic pension payments the tax so charged shall not exceed 15 per cent of the gross amount of the payment.
Income Tax Conventions Implementation Act, 2001 — I-3.55 3
3 Annuities arising in a Contracting State and paid to a resident of the other Contracting State may also be taxed in the State in which they arise and according to the law of that State, but the tax so charged shall not exceed 15 per cent of the portion thereof that is subject to tax in that State. However, this limitation does not apply to lump-sum payments arising on the surrender, cancellation, redemption, sale or other alienation of an annuity, or to payments of any kind under an annuity contract the cost of which was deductible, in whole or in part, in computing the income of any person who acquired the contract.
Income Tax Conventions Implementation Act, 2001 — I-3.55 4
4 Notwithstanding anything in this Convention (a) war pensions and allowances (including pensions and allowances paid to war veterans or paid as a consequence of damages or injuries suffered as a consequence of a war) arising in a Contracting State and paid to a resident of the other Contracting State shall be exempt from tax in that other State to the extent that they would be exempt from tax if received by a resident of the first-mentioned State; and (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) war pensions and allowances (including pensions and allowances paid to war veterans or paid as a consequence of damages or injuries suffered as a consequence of a war) arising in a Contracting State and paid to a resident of the other Contracting State shall be exempt from tax in that other State to the extent that they would be exempt from tax if received by a resident of the first-mentioned State; and