PROTOCOLS Law 25.332 Adopt the Protocol relating to the Convention of 13 July 1978 with the Federal Republic of Germany, to avoid double taxation with respect to income and capital taxes.

Sanctioned: October 5, 2000.

Enacted: November 9, 2000.

The Senate and Chamber of Deputies of the Argentine Nation assembled in Congress, etc. sanction with force of Law:

ARTICLE 1 Appropriate the PROTOCOL concerning the Convention of the 13th July 1978 ENTRE OF THE FEDERAL REPUBLIC OF ALEMANIA, in order to avoid the DOBLE IMPOSICION con RESPECT TO IMPESTOS ON THE RENTA AND CAPITAL, signed in Buenos Aires on 16 September 1996, which consists of TRES (3) articles, of which ARTICLE 2 Contact the Executive.

IN THE SESSION OF THE ARGENTINE CONGRESS, IN GOOD AIRES, TO THE TWO MONTHS OF THE OCTOBER YEAR.

# 25.332 EL

PASCUAL RAFAEL. . JOSE GENOUD. . Guillermo Aramburu. . Mario L. Pontaquarto.

Protocol concerning the agreement of 13 July 1978 between the Argentine Republic and the Federal Republic of Germany to avoid double taxation on income and capital taxes

Argentina

and

the Federal Republic of Germany

in the desire to adapt the Convention of 13 July 1978 between the Argentine Republic and the Federal Republic of Germany to avoid double taxation with respect to income and capital taxes, henceforth referred to as the Convention, to changes in Argentina's legislation,

have agreed to the following:

Article 1

Replace Article 4, paragraph 1, of the Convention with the following:

"1. For the purposes of this Convention, the term "resident of a Contracting State" means any person who under the law of this State is subject to imposition on him on account of his residence, residence, address or any other criterion of a similar nature."

Article 2

Replace Article 23 (4) of the Convention with the following:

"4. When a resident of Argentina obtains income or possesses property elements that, in accordance with the provisions of this Convention, may be imposed in Germany, Argentina will allow to deduce

(a) of the income tax of this resident, an amount equal to the income tax actually paid in the Federal Republic of Germany;

b) of the tax on the estate of this resident, an amount equal to the tax on the estate actually paid in the Federal Republic of Germany.

However, in one and the other case, this deduction may not exceed the portion of the income or property tax, calculated prior to deduction, corresponding, as the case may be, to the income or property that may be imposed in Germany."

Article 3

1. The present Protocol must be ratified, instruments of ratification shall be exchanged as soon as possible in Bonn.

2. This Protocol shall enter into force one month after the exchange of instruments of ratification and shall have effect from the first day of the fiscal year of 1996, as well as for all subsequent fiscal years.

Made in Buenos Aires, the sixteenth day of the month of September 1996 in two originals, in Spanish and German, both texts being equally valid.