278/1997.
The COMMUNICATION FROM the
Ministry of Foreign Affairs
Change: 56/2009 Coll., m.s.
Ministry of Foreign Affairs says that the 17 November. November 1995 was
in Prague, signed the Treaty between the Government of the Czech Republic and the Government of the Russian
Federation on avoidance of double taxation and prevention of tax leakage in the field
taxes on income and on capital.
With the Treaty, its assent, Parliament of the Czech Republic and the President of the
Republic has ratified it. The instruments of ratification were exchanged in Moscow
on 18 July 2005. July 1997.
Treaty has entered into force pursuant to its article 28, paragraph 2(a). 2 day
July 18, 1997.
The Czech version of the Treaty shall be designated at the same time. In the English version of the Treaty,
for its interpretation of the applicable, can be consulted on the Ministry of
Foreign Affairs and the Ministry of finance.
CONTRACT
between the Government of the Czech Republic and the Government of the Russian Federation for the avoidance of double
taxation and prevent tax leakage in the field of taxes on income and on capital
The Government of the Czech Republic and the Government of the Russian Federation,
Desiring to conclude a Convention for the avoidance of double taxation and the prevention of
tax leakage in the field of taxes on income and on capital,
have agreed as follows:
Article 1
The person, to which the Treaty applies
This agreement shall apply to persons who have their domicile or registered office in the
one or both of the Contracting States (residents).
Article 2
The taxes to which the Agreement applies
1. this Agreement shall apply to taxes on income and on capital imposed by the
on behalf of each Contracting State or of its lower administrative departments
or local authorities, whether it is a way of selecting any.
2. taxes on income and on capital all taxes shall be levied from the
total income, total assets or parts of income or assets
including taxes on gains from the alienation of movable or immovable property and
also increase taxes of the assets.
3. The current tax, to which the Treaty applies are:
and) in the Czech Republic:
(i) the income tax on natural persons;
(ii) the tax on income of legal persons;
(iii) tax on immovable property;
(hereinafter referred to as "Czech tax").
(b)) in the Russian Federation:
(i) the income tax on natural persons;
(ii) the tax on profits of enterprises and organizations;
(iii) the property tax of physical persons;
(iv) the tax on the assets of companies and organizations;
(hereinafter referred to as "the Russian tax").
4. this Agreement shall also apply to any tax of the same
or, in principle, similar to the kind that will be stored after the signature of this
the Treaty, in addition to or instead of the current taxes. The competent authorities of the Contracting
States shall notify each other of any significant changes that will be made
in their respective tax laws.
Article 3
General definition
1. for the purposes of this agreement, if the link does not require a different interpretation:
and) the term "Czech Republic" refers to the territory of the Czech Republic, which the
may be according to the Czech legislation and in accordance with international
the law exercised sovereign rights of the Czech Republic;
(b)), the expression "the Russian Federation (Russia)", when used in the geographical sense,
indicates its territory including internal waters and the territorial seas, air
the space above them and also the exclusive economic zone and the Mainland, Prague
where the Russian Federation carries out in accordance with federal and international
the law of the sovereign rights and jurisdiction;
(c)) the expressions "one Contracting State" and "the other Contracting State" referred to in
the context of the Czech Republic or Russia;
(d)), the term "person" includes a natural person, the company and any other
an Association of persons;
(e)), the expression "company" refers to any legal entity or
the rightholder, which, for the purposes of taxation under the legal person;
(f) the terms "enterprise of one) of a Contracting State" and "enterprise of the other Contracting
the State-run company "refer to a resident of a Contracting State, and
the enterprise operated by a resident of the other Contracting State;
(g)), the term "national" means:
(i) any natural person who is a citizen of a Contracting
State;
(ii) any legal person, company or association established by the personal
According to the law in force in a Contracting State;
(h)), the term "international traffic" means any transport by ship, boat
or aircraft operated by a resident of a Contracting State, except
in cases where the ship, boat or aircraft operated solely between places in the
the second Contracting State;
I) the term "competent authority" means:
(i) in the case of the Czech Republic the Minister of finance or his authorised
representative;
(ii) in the case of the Russian Federation Ministry of finance or its authorised
representative.
2. As regards the application of the Treaty, a Contracting State, each expression,
that it is not defined, of such importance that it is according to the law
This State, which governs taxes, to which the Treaty applies, if the
the link does not require a different interpretation.
Article 4
A resident of the
1. for the purposes of this agreement, the term "resident of a Contracting State"
refers to any person who, under the law of that State, subject to the
This state taxation by reason of their residence, the permanent residence place
management, place of registration or any other similar criteria.
This statement, however, does not include any person who is subjected to taxation in
This State only for reasons of income from sources in that State or property
located in this State.
2. If the individual is in accordance with the provisions of paragraph 1 of the resident in
both of the Contracting States, shall be addressed to the following position
way:
and will be considered a resident) in the State in which he has a permanent apartment;
If he has a permanent apartment in both countries, will be regarded as resident in the
This State, which has closer personal and economic relations (Centre
life interests);
(b)) if it cannot be determined where the State has this person Center
their vital interests, or if it does not have a permanent apartment in any State will be
considered to be resident in that State, in which usually resides;
(c)) If this person usually resides in both States, or in any
of them, will be considered to be resident in that State, which is a
National;
(d)) If this person is a national of both States or of any
of them, the competent authorities of the Contracting States shall adapt this question mutual
the agreement.
3. If a person, other than a natural person, is in accordance with the provisions of paragraph
1 resident in both Contracting States shall be deemed to be resident in
This State in which is situated the place of leadership.
Article 5
Permanent establishment
1. For the purposes of this Treaty, the expression "permanent establishment" means a permanent
equipment for the business, in which the undertaking in whole or part
their activity.
2. The term "permanent establishment" includes especially:
and instead of keeping);
(b)) race;
(c));
(d) a factory;)
e) a workshop; and
(f)) mine, the site of diesel or gas, Quarry or any other place where
the benefits of natural resources.
3. The term "permanent establishment" also includes:
and building site or construction,) the mounting or installation project, or
supervision associated with it, but only if such site, project or
supervision lasts more than twelve months;
(b)) the provision of services, including consultancy or managerial services,
undertaking of one Contracting State through employees or
other workers hired by the undertaking for this purpose, but only if
activities such as to insist on the territory of the other Contracting State after
one or more periods exceeding in the aggregate six months within any
the 12-month period.
4. Notwithstanding the preceding provisions of this article, it is assumed
the term "permanent establishment" shall not include:
and) device, which is used only for the purpose of storage, exposure
or delivery of the goods belonging to the enterprise;
(b) the supply of goods belonging to the enterprise), which is kept only for the purpose of
storage, display or delivery;
(c) the supply of goods belonging to the enterprise), which is kept only for the purpose of
the processing of another undertaking;
d) durable equipment for the business, which is kept only for the purpose of
purchase of goods, or collecting information for the enterprise;
e) durable equipment for the business, which is kept only for the purpose of
the implementation of other activities which have a preparatory or for the enterprise
auxiliary character (advertising, information, scientific research or
similar activities);
(f)) for business, durable equipment that is maintained only for the performance of
any concentration of activities referred to in points (a) to (e))), if
the total activity of the permanent establishment for the business, arising from this
the connection has a preparatory or auxiliary character.
5. If, notwithstanding the provisions of paragraphs 1 and 2, a person-other than
independent representative, to whom paragraph 6 applies-is acting in a
a Contracting State on behalf of the enterprise and has, and habitually carries out permission
to enter into contracts on behalf of the company, it is considered that this place has a permanent
place of business in this State in relation to all activities, that this person
carried out for the enterprise if the activities of such person are limited to the
the activities listed in paragraph 4 which, if exercised, would have been
by means of permanent facilities for business, should neither constitute of
This permanent device for business a permanent establishment under the
the provisions of this paragraph.
6. He considered that the undertaking of one Contracting State has a permanent
the establishment in the other Contracting State, that in this second State
carries out his activities through a broker, General Agent
or any other independent representative, if these persons are acting
in the context of its regular activities.
7. the fact that a company which is a resident of one Contracting
the State controls the company, or is controlled by a company which is a
a resident in the other Contracting State, or which carries out its activities in the
This second State (whether through a permanent establishment or otherwise),
does not make itself from any of the company's permanent establishment
the second company.
Article 6
Income from immovable property
1. the revenue, which is receiving a resident of one Contracting State of the immovable
property (including income from agriculture or forestry) situated in the second
a Contracting State may be taxed in that other State.
2. The term "immovable property" has such a meaning is according to the laws of the
the Contracting State in which the assets are located. The statement includes, in
any case, accessories of immovable property, alive and dead inventory
used in agriculture and forestry, rights to which the provisions of the
the civil law relating to property, the right to the enjoyment of immovable
property and rights to variable or fixed payments for unfair advantage or for the
přivolení to the unfair advantage of mineral deposits, sources and other natural
resources. Ships, boats and aircraft shall not be regarded as immovable property.
3. The provisions of paragraph 1 shall apply to income derived from the direct use,
lease or any other manner of use of the immovable property.
4. The provisions of paragraphs 1 and 3 shall also apply to the income from immovable
the assets of the undertaking and to income from immovable property used for the performance of
an independent profession.
Article 7
The profits of enterprises
1. Profits of an undertaking of a single State is subject to tax only in that
State if the undertaking does not operate in the other Contracting State
through the permanent establishment, which is located there. If
the enterprise carries out its activities in this way, they can be business profits
taxed in that other State, but only to the extent that it is
can be attributed to that permanent establishment.
2. If an enterprise of one Contracting State carries on its activities in
the other Contracting State through a permanent establishment that is there
placed, attach, subject to the provisions of paragraph 3 in any
a Contracting State a permanent establishment, the profits of which would be able to
so if it were a separate enterprise carries out the same or
similar activities under the same or similar conditions and was completely
independent contact with the enterprise of which it is a permanent establishment.
3. In determining the profits of a permanent establishment shall be allowed to deduct the costs of
incurred for the purposes of the permanent establishment, including the expenses of management and
General administrative expenses, whether incurred in this way originated in the State in
the permanent establishment is situated or elsewhere.
4. If in a Contracting State to provide for the normal profits, which
to be attributed to a permanent establishment on the basis of allocation of the total
the profits of the enterprise to its various parts, nothing in paragraph 2 shall not preclude the
This Contracting State the profits to be taxed, this normal
the Division; the method of distribution of profits must, however, be such that the
the result was in accordance with the principles laid down in this article.
5. A permanent establishment is nepřičtou no gains on the basis of the fact that
only buy goods for the company.
6. The profits to be attributed to a permanent establishment, for the purpose of
the preceding paragraphs shall each year, in the same way, if the
There are sufficient grounds for a different procedure.
7. where profits include the part of the income of which is dealt with separately
in the other articles of this agreement, the provisions of those articles shall not affect the
the provisions of this article.
Article 8
Revenue from shipping and air transport
1. the income received by a resident of a Contracting State from the operation of
ships, boats or aircraft in international traffic shall be subject to taxation only
in this State.
2. The provisions of paragraph 1 shall also apply to profits derived from the participation in the
pool, common service or international operating organization.
Article 9
Associated enterprises
If
and the firm one) of a Contracting State participates directly or indirectly in the
the management, control or capital of an undertaking, the other Contracting State, or
(b)) the same persons directly or indirectly involved in the management, control or
the assets of the undertaking and the undertaking of one Contracting State in the other Contracting
the State,
and if in these cases are both enterprises in their commercial or
financial relations are bound by terms that agree or they were
stored and which differ from those which would have been agreed between the
companies independent, can any profits which would, but for those
the conditions were docíleny one of the businesses, but due to these
the conditions of the docíleny not, be included in the profits of that enterprise and
subsequently taxed.
Article 10
Dividends
1. Dividends paid by a company which is a resident of one
of a Contracting State, a resident of the other Contracting State, may be taxed in the
This second State.
2. However, such dividends may also be taxed in the Contracting State,
which is a company that is paid, a resident, and according to the laws
legislation of that State, but if the beneficial owner of the dividends is
a resident of the other Contracting State, the tax so imposed shall not exceed 10
per cent of the gross amount of the dividends.
The competent authorities of the Contracting States be adjusted by mutual agreement between the way
the application of this restriction.
This paragraph shall not affect the taxation of the profits of the company, from which they are
dividends are paid.
3. The term "dividends" as used in this article refers to income from shares
or other rights, with the exception of the claims, with a share of the profits, as well as
other income, which are subject to the same tax regime as the revenue
of shares pursuant to the tax laws of the State, which is a company that performs
payment, a resident.
4. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of
the dividend, which is resident in a Contracting State, carries on in the
the second Contracting State, in which the resident company paying
dividends, industrial or commercial activity through a fixed
the establishment, which is located there, or performs in that other State
independent of the profession through a permanent base located there, and
If the participation, for which the dividends paid, actually binds to the
This permanent establishment or a permanent base. In this case, apply
the provisions of article 7 or article 14, depending on what matters.
5. Where a company which is resident in one Contracting State,
achieves profits or income from the other Contracting State,
the second State to tax dividends paid by the company, unless such
dividends are paid to a resident of the other State, or that the participation,
for which the dividends paid are actually tied to a permanent establishment
or a permanent base, which is located in the latter State, nor
to submit to the retained profits of the company profits tax
the company, even if the dividends paid or the undistributed profits
pozůstávají wholly or partly of profits or income with a source in the
This second State.
Article 11
Interest
1. the interest having a source in one Contracting State and actually owned
a resident of the other Contracting State shall be subject to taxation only in this second
State.
2. The term "interest" as used in this article refers to income from debt claims
of any kind, whether secured or unsecured lien on the
real estate or whether or not carrying a right to participate in the debtor's profits
and in particular, income from government securities and income from bonds or
bonds, including premiums and prizes associated with these securities,
bonds or bonds. The term "interest" shall not include any part of the income,
that is considered to be a dividend under the provisions of article 10, paragraph 3.
3. The provisions of paragraph 1 shall not apply if the beneficial owner of
interest, which is resident in one Contracting State, carries on in the other
the Contracting State in which they have interest, the source of industrial or commercial
activity through a fixed establishment which is located there, or
exercises in this second State independent of the profession through the Permanent
the base located there, and if the claim from which the interest
paid, is actually related to this, a permanent establishment or a permanent base.
In such a case, the provisions of article 7 or article 14, as
of this, about what matters.
4. It is assumed that interest have a source in a Contracting State, if the
the payer is that State itself, its lower administrative unit, a local authority or
a resident of this State. However, if the payer of interest, whether or not the
a resident of a Contracting State, has in a Contracting State a permanent
place of business or permanent base in connection with which the indebtedness, of the
which are interest paid, and such interest shall be charged to such permanent
the establishment or permanent base, it is assumed that such interest have
a source in the Contracting State in which the permanent establishment or a permanent
the base is located.
5. If the amount of interest that are relevant to the claim, which are
paid exceeds the due to the special relationship between the
the payer and the beneficial owner or between both of them and some other
person, the amount which would have been had given the Bill-to customer is the beneficial owner,
If there was no such relationship, the provisions of this article shall apply only to
on this latter amount. The amount of the payments which it exceeds,
in this case, will be taxed in accordance with the legislation of each Contracting
State, with reference to the other provisions of this Treaty.
Article 12
License fees
1. Royalty source in one Contracting State and paid to the
resident of the other Contracting State may be taxed in that other
State.
2. However, Such royalties may also be taxed in the Contracting
State in which they have a source, and according to the laws of that State,
However, if the beneficial owner of the royalties is a resident of
the other Contracting State, the tax so imposed shall not exceed 10 per cent of the gross
the amount of the royalties.
The competent authorities of the Contracting States be adjusted by mutual agreement between the way
the application of this restriction.
3. The term "royalties" as used in this article refers to the payments
of any kind received as a compensation for the use of, or the right to use
any copyright for literary, artistic or
scientific including cinematograph films and films or recordings for
television or radio broadcasting, any patent, trade
mark, design or model, plan, secret formula or software
the manufacturing process or any industrial, commercial or
scientific equipment, or for information concerning industrial,
commercial or scientific experience.
4. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of
royalties, who is resident in one Contracting State,
exercised in the other Contracting State in which the royalties
source, industrial or commercial activity through a fixed
the establishment, which is located there, or performs in that other State
independent of the profession through a permanent base there and
If the right or property giving rise to the license fees,
actually bind to this permanent establishment or a permanent base. In such a
If the provisions of article 7 or article 14, depending on
What matters.
5. It is assumed that the licence fees have a source in a Contracting State,
If the payer is that State itself, its administrative unit, a local authority
or a resident of that State. If, however, the person paying the license
fees, whether or not resident in a Contracting State, has in the
a Contracting State a permanent establishment or a permanent base in connection with which
established the obligation to pay the license fees, and these license fees
shall be charged to that permanent establishment or a permanent base, it is assumed,
these license fees have a source in the Contracting State in which the
permanent establishment or fixed base is situated.
6. If the amount of license fees that apply to the use,
the law or information for which they are paid, exceeds the due
the special relationship between the payer and the beneficial owner
the royalties or between both of them and some other person,
the amount that would be the scheme of the Bill is the beneficial owner, if
There was no such relationship, the provisions of this article shall apply only to that
latter amount. The amount of the payments which it exceeds, in
this case taxed in accordance with the legislation of each Contracting State to the
reference to the other provisions of this Treaty.
Article 13
Profits from the disposal of assets
1. the Profits that accrue to the resident company of a Contracting State from the alienation of one
immovable property referred to in article 6, which is located in the second
a Contracting State may be taxed in that other State.
2. Gains from the alienation of movable property forming part of the operational assets
the permanent establishment which an enterprise of one Contracting State has in the other
Contracting State or movable property, which belongs to the permanent base
the resident of one Contracting State has in the other Contracting State to the
the performance of an independent profession, including such gains from the alienation of such
a permanent establishment (alone or together with the whole enterprise) or of such a
a permanent base, may be taxed in that other State.
3. Gains from the alienation of ships, boats or aircraft operated in
international traffic, or movable property, that serves to operate the
these ships, boats or aircraft shall be subject to taxation in the Contracting
State in which the alienator is a resident.
4. the profits that receives the resident of a Contracting State from the alienation of one
shares or other similar rights to companies whose value stems
of the more than 50 percent of the immovable property, located in the second
a Contracting State may be taxed in that other State.
5. Gains from the alienation of any property other than that referred to in
paragraphs 1, 2, 3 and 4 shall be subject to taxation in the Contracting State of which the
alienator is a resident.
Article 14
Independent of the profession
1. the income, which a resident of one Contracting State receives from the free
profession or other activities of an independent character, shall be subject to
tax only in that State except in the following cases, when such
income may also be taxed in the other Contracting State:
and if you want) regularly available a permanent base in the second
a Contracting State for the purpose of conducting its activities; in this case,
just a portion of the revenue that is attributable to that fixed base may
be taxed in that other State; or
(b)) if his stay in the other State for one or more periods
exceeding in the aggregate 183 days in any 12-month period; in
this case only such part of the revenue derived from its activities
carried out in the latter State, may be taxed in that other
State.
2. The expression "liberal profession" includes especially independent activity
scientific, literary, artistic, educational or teaching, as well as
the independent activities of physicians, lawyers, engineers, architects, dentists and
accounting experts.
Article 15
Employment
1. a salaries, wages and other similar remuneration, which a resident of one of the Contracting
the State receives for reasons of employment, shall, subject to the provisions of the
articles 16, 18, 19 and 20 of taxation only in that State unless the employment is not
exercised in the other Contracting State. If there is a job to be exercised,
the rewards can be received for them taxed in that other State.
2. Remuneration which a resident of a Contracting State shall receive due
employment exercised in the other Contracting State, shall be subject to whatever
the provisions of paragraph 1, the tax only in the first mentioned State if
all of the following conditions are met:
and the recipient is resident in) the second State for one or more periods, which
shall not exceed in the aggregate 183 days in any 12-month period, and
(b)) the rewards are paid by the employer, or the employer that
is not resident in the other State, and
(c)) do not go to the debit rewards a permanent establishment or a permanent base, which has
employer in the second State.
3. Notwithstanding the preceding provisions of this article may be rewards
received by reason of the employment exercised aboard a ship or boat
the aircraft operated in international traffic or operated by resident
the Contracting Government taxed in that State.
4. The term "employer" referred to in paragraph 2 (b)) indicates
the person who has the right to work and that bears the responsibility and
the risk associated with carrying out the work.
Article 16
Royalties
Royalties and similar payments, which a resident of a Contracting State
he receives as a member of the Board of directors or any other similar authority
the company, which is resident in the other Contracting State, may be
taxed in that other State.
Article 17
Artists and athletes
1. the revenue, which is receiving a resident of one Contracting State as to the
the public acting artist, such as a theatre, film, radio or
television artist, or a musician, or as an athlete of such personally
the activities performed in the other Contracting State, may be, regardless of the
the provisions of articles 14 and 15, be taxed in that other State.
2. If the income from the activities carried out by the artist personally, or
sportsman, artists or athletes do this himself, but other
the person may be those revenues regardless of the provisions of articles 7, 14 and 15
taxed in the Contracting State in which the artist or athlete exercised its
activity.
Article 18
Pension
Pensions and other similar salaries paid by the resident of one Contracting State
due to past employment shall, subject to the provisions of article
19 paragraph. 2 taxation only in that State.
Article 19
Public function
1.
and Remuneration other than pensions) paid by one Contracting State or lower
the Administrative Department or local authority of that State, of a natural person for
Service prokazované that State or an administrative department or the local
the authority shall be subject to tax only in that State.
(b) However, Such remuneration shall be subject to) the taxation of only the second Contracting State,
If the services are demonstrated in this State and any natural person who
It is a resident of this State:
(i) is a national of that State; or
(ii) did not become a resident of this State by reason of providing these
services.
2.
and pension paid by one) any Contracting State or lower
the Administrative Department or local authority of that State, or paid from
the funds, which have established, the physical person for services of proven this State,
the Administrative Department or local authority shall be subject to taxation only in this
State.
(b) However, Such pension shall be subject to) the taxation of only the second Contracting State,
If the individual is a resident of, and a national of that
State.
3. The provisions of articles 15, 16 and 18 shall apply to remuneration and pensions in respect of services
proven in the context of the industrial or commercial activities carried out by the
any Contracting State or an administrative department or the local
the authority of this State.
Article 20
Students, professors and researchers
1. Payments which a student or an apprentice who is or was immediately
prior to his arrival in one Contracting State a resident of the second
Contracting State, and who are staying in the first mentioned State solely for the
the purpose of study or training, receives for the payment of the cost of food, study
or training, shall not be taxed in that State, provided that such
payments arise from sources outside that State.
2. The reward, which is receiving a Professor, teacher or researcher
who is or was immediately before his arrival into a single
a resident of a Contracting State in the other Contracting State, for the implementation of the
research or for teaching, during a period of temporary residence not exceeding
for two years, at a University, Research Institute or other similar institution
for higher education recognised by the Government in the first mentioned Contracting State,
will not be subject to tax in that Contracting State.
Article 21
Other revenue
1. the income of a resident of one Contracting State, whether they have a source anywhere,
which does in the preceding articles of this Treaty, subject to the
tax only in that State.
2. The provisions of paragraph 1 shall not apply to income, other than income from
immovable property, which is defined in article 6 (1). 2, if
the recipient of such income, which is resident in one Contracting State,
industrial or commercial activity exercised in the other Contracting State
through a permanent establishment located there or exercises in this
the second State independent of the profession of a permanent base there and
If the right or property in respect of which the income is paid, are actually
connected with such permanent establishment or a permanent base. In such a
If the provisions of article 7 or article 14, depending on
What matters.
Article 22
Property
1. property represented by immovable property referred to in article 6, which
custom resident of one Contracting State and which is located in the second
a Contracting State may be taxed in that other State.
2. property represented by movable property forming part of the operational
property of the permanent establishment which an enterprise of one Contracting State has in the
the second Contracting State or movable property, which belongs to the Permanent
the base, which is a resident of a Contracting State in the other Contracting
State to exercise an independent profession, may be taxed in that other
State.
3. property represented by ships, boats and aircraft operating in
international transport, a resident of a Contracting State and movable
asset to the operation of such ships, boats and aircraft
is subject to tax only in that Contracting State.
4. All other parts of the property are subject to the Contracting State resident
tax only in that State.
Article 23
The exclusion of double taxation
1. in the case of the Czech Republic, double taxation shall be avoided as follows:
Czech Republic can save taxes its residents include
the tax base from which such taxes are imposed, the part of the income or
assets which may be referred to in the provisions of this Treaty also taxed in the
The Russian Federation, however, allows to reduce the amount of tax calculated from such
the base of an amount equal to the tax paid in the Russian Federation. The amount,
the tax to be reduced, however, shall not exceed such a part of Czech taxes
calculated before the reduction, which rather falls on revenue or
assets that may be in accordance with the provisions of this Treaty, taxed
in the Russian Federation.
If, in accordance with any provision of this agreement, the income
pobíraný or property owned by a resident of the Czech Republic is here
exempted from taxation, the Czech Republic may nevertheless, in calculating the amount of tax
other income or assets of this resident, take into account the cut
income or assets.
2. in the case of the Russian Federation will be the Elimination of double taxation as follows:
If a resident of the Russian Federation is receiving income, or own property,
which may be taxed in accordance with the provisions of this Treaty in the Czech Republic,
the amount of tax on such income or property, which is to be paid in
The Czech Republic, will be deducted from the taxes provided for this person in Russian
the Federation. However, the amount deducted does not exceed the amount of tax determined on the
such income or assets in accordance with the legislation and the rules of the Russian
of the Federation.
Article 24
PROHIBITION OF DISCRIMINATION
1. nationals of one Contracting State shall not be subjected in the
the second Contracting State to any taxation or any obligations with him
United, which are different or more troubling than the taxation and connected
the duties, which are or may be subjected to nationals
This second State, in particular with regard to residence, in
the same situation. This provision shall, notwithstanding the provisions of article 1 of
also apply to persons who are not residents of one or both of the
of the Contracting States.
2. the taxation on a permanent establishment which an enterprise of one Contracting State has in the
the other Contracting State, or a permanent base, which is available to a resident of the
one Contracting State in the other Contracting State, it will not be in this second
State taxation of enterprises or less advantageous than the residents of this second
State, or who perform the same activity.
3. Nothing in this article shall not be construed as a commitment by one of the Contracting
the State admitted that residents of the other Contracting State any personal
rebates, discounts and tax reduction because of the personal status or duties to the
the family, which confers to its own residents.
4. If you do not apply the provisions of article 9, article 11, paragraph 5
or article 12 paragraph 6, interest, royalties and other expenses
paid by the enterprise of one Contracting State to the resident company of the other Contracting
State of the deductible for the purposes of determining the taxable profits of such
the undertaking under the same conditions as if they had been paid to a resident of the first
of the said State. Similarly, any debts of the company of one of the Contracting
of the State against a resident of the other Contracting State shall, for the purposes of determining the
the taxable assets of deductible under the same conditions,
as if they were the first to have the resident company of the said State.
5. Enterprises of a Contracting State, the capital of which is wholly or partly,
directly or indirectly owned or controlled by one or more
residents of the other Contracting State, shall not be subjected in the first mentioned
the State of any taxation or any obligations associated with him, that
others are more troubling than or taxation and obligations, which are
or may be subject to other similar enterprises of the first mentioned State.
6. The provisions of this article shall, notwithstanding the provisions of article 2
apply to taxes of every kind and name.
Article 25
Resolving cases by agreement
1. where a person considers that the actions of one or both of the Contracting
States lead or lead it to taxation, which is not in accordance with the
the provisions of this Treaty, may, notwithstanding the remedies,
that under the national law of those States, present
his case to the competent authority of the Contracting State of which he is a resident of,
or, if her case falls under article 24, paragraph 1, of the Office of the Contracting
the State, which is a national. The case must be presented within three
years from the first notification of the action of the head of taxation which is not in the
accordance with the provisions of the Treaty.
2. If the competent authority is to consider the objection as justified and
If it is not itself able to find a satisfactory solution, it will try to
case solved by mutual agreement with the competent authority of the other Contracting
the State so as to avoid taxation which is not in conformity with this
the Treaty. Any agreement reached shall be implemented notwithstanding
any time restrictions in national legislation
of the Contracting States.
3. the competent authorities of the Contracting States shall endeavour to resolve by mutual
the agreement any difficulties or doubts that might arise in
the interpretation or application of this agreement. They may also consult together for the
the purpose of the Elimination of double taxation in cases not covered by the Treaty.
4. the competent authorities of the Contracting States may come in direct contact with the purpose of
reaching an agreement in the sense of the preceding paragraphs.
Article 26
THE EXCHANGE OF INFORMATION
1. the competent authorities of the Contracting States shall exchange such information,
for which it can be assumed that they are relevant to the implementation of the
the provisions of this contract or in relation to the administration or enforcement of the
national legislation, that apply to taxes of every kind
and the naming of the imposed on behalf of the Contracting States or of their lower
administrative departments or local authorities if the taxation, regulating,
is not in conflict with the Treaty. Exchange of information is not restricted by articles 1 and 2.
2. any information received by a Contracting State under paragraph 1 shall be
kept a secret in the same manner as information obtained under the
national law of that State and shall be made available only to
to persons or authorities (including courts and administrative authorities), which deal with
vyměřováním or collecting taxes, which are listed in paragraph 1,
the enforcement or prosecution in respect of such taxes, deciding about
appeals in respect of those taxes or above
said. Such persons or authorities shall use the information only to those
purposes. May communicate such information in public court proceedings
or in judicial decisions.
3. The provisions of paragraphs 1 and 2 shall not be in any way interpreted so that
the Contracting Government imposing the obligation to:
and perform administrative measures) that would infringe on the laws and
the administrative practice of that or of the other Contracting State;
(b)), to provide information that cannot be obtained on the basis of the legal
regulations or in the normal course of administrative proceedings of this or of the other Contracting
State;
(c)) to provide information, which would have revealed any business,
economic, industrial, commercial or professional secret or of a commercial
process, or information, the disclosure of which would be contrary to the public
policy.
4. If, in accordance with this article in one Contracting State
required information, the other Contracting State shall use its measures
aimed at obtaining information, in order to obtain the requested information, even
When this second State does not need such information for its own
tax purposes. The obligation contained in the preceding sentence is subject to restrictions
paragraph 3 but in no case will these restrictions should be interpreted so that the
allow the Contracting State to refuse to provide information only
the reason that it does not have domestic interest in such information.
5. The provisions of paragraph 3 are not in any way be interpreted so that the
allow the Contracting State to refuse to provide information only
the reason that the information has a Bank, other financial institution,
trustee or person acting on behalf of or as agent,
or, therefore, that the information related to the ownership of shares to a person.
Article 27
Members of diplomatic missions and consular officials
Nothing in this Agreement shall affect the fiscal privileges of members of diplomatic missions
or consular officials under the General rules of international law
or on the basis of the provisions of special agreements.
Article 28
Entry into force of the
1. this Treaty is subject to ratification and the instruments of ratification shall be exchanged
as soon as possible.
2. the contract shall enter into force by the exchange of instruments of ratification and its
the provisions will apply:
and) with regard to taxes withheld at source, on income paid or
attributed to a 1. January or later in the calendar year following the
the year in which the Agreement enters into force;
(b)) in respect of other taxes on income and property taxes, to revenue or
property for each tax period, beginning with 1. January or later in
the calendar year following the year in which the contract shall enter into
force.
3. from the entry into force of this Treaty in the relations between the Czech
Republic and Russia cease to apply the Multilateral Agreement on the prevention of
double taxation of income and assets of natural persons, signed at Miškovci
27. in May 1977, and the multilateral agreement on the avoidance of double taxation
the income and property of legal persons, signed at Ulan Bator 19. may
1978.
Article 29
Notice of termination
This agreement will remain in force until denounced by one of the
of the Contracting States. Each Contracting State may terminate the contract in writing
through diplomatic channels, at least six months before the end of each
the calendar year following the expiry of five years from the date of entry into
force of this Treaty. In this case, the contract will cease to apply:
and) with regard to taxes withheld at source, on income paid or
attributed to a 1. January or later in the calendar year following the
the year in which the notice of termination has been given;
(b)) in respect of other taxes on income and property taxes, to revenue or
property for each tax period, beginning with 1. January or later in
the calendar year following the year in which the notice of termination has been given.
Done in duplicate at Prague on 17. November 1995 in Czech,
the Russian and English languages, all the texts are authentic. In
the event of any differences of interpretation between the Czech and Russian text
It will be the decisive English text.
For the Government of the Czech Republic:
Ing. Ivan Kočárník, CSc., in r.
Deputy Prime Minister and Minister of finance
For the Government of the Russian Federation:
Yuri Jarov in r.
the Deputy Prime Minister
