31/1998 Coll.
The COMMUNICATION FROM the
Ministry of Foreign Affairs
Change: 99/2007 Coll.
Ministry of Foreign Affairs says that the 14 December. October 1996
Prague signed an agreement between the Government of the United Kingdom and the Government of Belarus
States on avoidance of double taxation and the prevention of fiscal evasion with respect
taxes on income and on capital.
With the Treaty, its assent, Parliament of the Czech Republic and the President of the
the Republic has ratified it. The instruments of ratification were exchanged in Minsk
on 15 December. January 1, 1998.
The contract on the basis of its article 28, paragraph 1. 2 entered into force on
January 15, 1998. In accordance with the provisions of paragraph 3 of the same article, the date of
on January 1, 1999, in relations between the Czech Republic and Belarus
Republic cease to apply:
Agreement on avoidance of double taxation of income and assets of natural persons,
signed at Miškovci on 27. May 1977, well-known under the No 30/1979 Sb.
and
Agreement on avoidance of double taxation of income and assets of legal entities,
signed at Ulan Bator on 19 December. May 1978, well-known under no. 49/1979
SB.
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 at the Ministry of
Foreign Affairs and the Ministry of finance.
CONTRACT
between the Government of the United Kingdom and the Government of the Republic of Belarus for the avoidance of
of double taxation and prevention of fiscal evasion with respect to taxes on income and
property
The Government of the United Kingdom and the Government of the Republic of Belarus, desiring to conclude a
agreement on avoidance of double taxation and the prevention of fiscal evasion with respect
taxes on income and on capital, have agreed as follows:
Article 1
The person to which the contract relates
This agreement shall apply to persons who are resident or established in
one or both of the Contracting States (residents).
Article 2
The tax, to which the contract relates
1. this Agreement shall apply to taxes on income and on capital imposed by the
on behalf of each Contracting State or of its local authorities, irrespective of the
way to select any.
2. taxes on income and on capital all taxes shall be levied on
total income, on total capital, or on elements of income or of capital,
including taxes on gains from the alienation of property, taxes on the total volume of wages
or salaries paid by enterprises as well as taxes on the increment property.
3. Current taxes, to which the contract relates, in particular:
and) in the Czech Republic:
(i) the tax on income of individuals;
(ii) the tax on income of legal persons;
(iii) tax on immovable property;
(hereinafter referred to as "Czech tax");
(b)) in the Republic of Belarus:
(i) income tax;
(ii) the tax on profits;
(iii) the tax on income of individuals;
(iv) the tax on immovable property;
(hereinafter referred to as "Belarusian tax").
4. the agreement shall also apply to any tax of the same or
the principle of a similar kind, that will be stored after signature of the contract in addition to the
or instead of the current taxes. The competent authorities of the Contracting States shall mutually
communicate any material changes that will be made in their
the relevant tax laws.
Article 3
General definitions
1. for the purposes of this agreement, unless the context requires a different interpretation:
and) the term "Czech Republic", when used in a geographical meaning,
indicates the territory of the Czech Republic, which can be, according to Czech
legislation and in accordance with international law, exercised
the sovereign rights of the United States;
(b)), the term "Belarus" refers to the Republic of Belarus and, if it is used in the
geographical importance, indicates the territory to which the Republic of Belarus
shall exercise, under the legislation of Belarus and in accordance with international
law, sovereign rights and jurisdiction;
(c)) the terms "a Contracting State" and "the other Contracting State" mean, as
context, the Czech Republic or Belarus;
(d)) the term "person" includes an individual, a company and any other
an Association of persons;
(e)) the term "company" refers to any legal entity or
the rightholder considered for the purposes of taxation under the legal person;
(f)) the terms "enterprise of a Contracting State" and "enterprise of the other Contracting
State "means, according to the context, the enterprise carried on by a resident
of a Contracting State and an enterprise carried on 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, partnership or association established
According to the law in force in a Contracting State;
h) the term "international traffic" means any transport by ship, boat,
by air, road or railway vehicle operated by an undertaking
of a Contracting State, except when the ship is operating, the boat
operated or aircraft, road or railway vehicle is operated
only between places in the other Contracting State;
I) the term "competent authority" means:
(i) in the case of the Czech Republic the Minister of finance or his authorized
representative;
(ii) in the case of the Republic of Belarus, the Ministry of taxes and fees or
his attorney, unless the context requires a different interpretation.
2. As regards the implementation of the Treaty by a Contracting State, each expression in
It is not defined, it will have the meaning which it has under the law of that
the State, which regulates the taxes to which the Agreement relates, if the
the link does not require a different interpretation.
Article 4
A resident of the
1. the term "resident of a Contracting State" means for the purposes of this agreement,
any person who is under the legislation of that State, subject to the
that State taxation because of their place of residence, permanent residence, place of
the founding of the space of main lines, or any other similar
criteria, and also includes that State and any local authority of this
State. However, this term does not include any person who is subjected to
taxation in this State solely because of the income from sources in that State
or assets located there.
2. If the individual is under the provisions of paragraph 1, a resident of the
both of the Contracting States, the position specified in the following way:
and) it is assumed that this person is a resident of the State in which the
a permanent home; If he has a permanent home in both States, it is assumed that the
a resident of the State with which it has strong personal and economic relations
(Centre of vital interests);
(b)) if it cannot be determined which state the person Center
their vital interests, or if it does not have a permanent home in any State
It is assumed that there is a resident of the State in which it is usually
resides;
(c)) If this person usually resides in both States, or in any
of them, it is assumed that there is a resident of the State of which he is a
National;
(d) the status of that person) if it cannot be determined in accordance with
the provisions of the previous letters, it modifies the competent authorities of the Contracting States
the question by mutual agreement.
3. If a person other than an individual is subject to the provisions of paragraph 1,
a resident of both Contracting States, the competent authorities of the Contracting States shall adjust the
the question by mutual agreement.
Article 5
Permanent establishment
1. the term "permanent establishment" means for the purposes of this agreement, the Permanent
place to do business, through which is wholly or partly
operated business.
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, a quarry or any other place where
the benefits of natural resources.
3. the term "permanent establishment" also includes:
and) building site or construction, Assembly or installation project or
supervision associated, but only where such site, project or
supervision lasts more than twelve months;
(b)) the provision of services, including consultancy or managerial services,
the enterprise of a Contracting State through employees or
other workers hired by the enterprise for such 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, assume that
the term "permanent establishment" shall not include:
and) device that is used only for the purpose of storage, display
or delivery of the goods belonging to the enterprise;
(b)) the supply of goods belonging to the enterprise solely for the purpose
storage, display or delivery;
(c)) the supply of goods belonging to the enterprise solely for the purpose
the processing of another undertaking;
d) permanent place to do business, solely for the purpose of purchasing
goods, or collecting information for the enterprise;
e) permanent place for business, solely for the purpose of
carrying out any other activity that has for undertaking the preparatory or
auxiliary character;
f) permanent place for business, solely for the performance of
any combination of activities mentioned in subparagraphs (a) to (e))), if
the overall activity of the fixed place of business resulting from this
connection is established, the preparatory or auxiliary character.
5. If, notwithstanding the provisions of paragraphs 1 and 2, a person-other than
an independent representative, to whom paragraph 6 applies-is acting in a
a Contracting State on behalf of the enterprise and has, and usually uses the permission that
It allows you to enter into contracts on behalf of the company, it is considered that this
the enterprise has a permanent establishment in that State in relation to all activities,
This person performs for the enterprise if the activities of such person are not
limited to the activities listed in paragraph 4 which, if they were
exercised through a fixed place of business, would not based
from this fixed place of business a permanent establishment under for
the provisions of this paragraph.
6. Not considered that the enterprise has a permanent establishment in a Contracting State
just because in this State, carries on business through a
a broker, General Commission agent or any other independent
the representative, if such persons are acting within their proper operation.
7. the fact that a company which is a resident of a Contracting
State controls or is controlled by a company which is a resident of the other
Contracting State or that in that other State carries on business
(whether through a permanent establishment or otherwise), will not make itself from
either this company a permanent establishment of the other company.
Article 6
Income from immovable property
1. Income derived by a resident of a Contracting State from immovable
property (including income from agriculture or forestry) situated in the
the other Contracting State, may be taxed in that other State.
2. the term "immovable property" is of such importance that it under the
the law of the Contracting State in which such property is located. Ships, boats and
the aircraft will not be regarded as immovable property.
3. The provisions of paragraph 1 shall apply to income derived from the direct use,
hire or any other manner of use of immovable property.
4. The provisions of paragraphs 1 and 3 shall also apply to the income from immovable property
the assets of the company and to income from immovable property used for the performance of
an independent profession.
Article 7
The profits of enterprises
1. The profits of an enterprise of a Contracting State shall be taxable only in that
State if the undertaking does not pursue its activities in the other Contracting State
through a permanent establishment that is located there. If
the enterprise carries on business in this way, the profits of the enterprise may be
taxed in the other State, but only to the extent that they can be
attributable to that permanent establishment.
2. If an enterprise of a Contracting State, carries on business in the
the other Contracting State through a permanent establishment that is there
placed, attach, subject to the provisions of paragraph 3, in each
Contracting State of such permanent establishment profits which could
so if it were a separate enterprise carried 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. when calculating the profits of a permanent establishment shall be allowed to deduct the costs of
spent on the objectives of the permanent establishment, including Executive and
General administrative expenses, whether incurred in this way in the State
which the permanent establishment is situated or elsewhere.
4. If a Contracting State determine the gains that
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 by the usual
the Division; the method of distribution must, however, be such that the result of the
in accordance with the principles laid down in this article.
5. no permanent establishment of nepřičtou gains based on the fact that
only goods for the company.
6. The profits to be attributed to a permanent establishment for purposes of
the preceding paragraphs shall each year, in the same way, if the
There are insufficient grounds for a different procedure.
7. where profits include the part of the income which are 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
International transport
1. The profits of an enterprise of a Contracting State from the operation of ships, boats,
aircraft, road or railway vehicles in international traffic
shall be taxable only in that State.
2. The provisions of paragraph 1 shall also apply to profits derived from the participation in the
pool, joint operation or an international operating organization.
Article 9
Associated enterprises
If
and the company) of a Contracting State participates directly or indirectly in the
management, control or capital of an undertaking of the other Contracting State, or
(b)) the same persons participate directly or indirectly in the management, control or
the assets of the enterprise of a Contracting State and enterprise of the other Contracting
State,
and if in these cases are both enterprises in their commercial or
bound by the terms of the financial relations which have negotiated or they were
stored and which differ from those which would have been agreed upon between the
independent enterprises, can any profits which would, but for those
conditions have been accrued to one of the enterprises, but due to these
conditions were not achieved, be included in the profits of this business and
subsequently taxed.
Article 10
Dividends
1. dividends paid by a company which is a resident of a
of a Contracting State to a resident of the other Contracting State may be taxed in the
that other State.
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
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:
and 5% of the gross amount) of the dividends if the beneficial owner is
company (other than a partnership) which holds directly at least 25%
the company's capital, which paid dividends;
b) 10% of the gross amount of the dividends in all other cases.
The competent authorities of the Contracting States shall by mutual agreement settle the mode
the application of these restrictions.
This paragraph shall not affect the taxation of the profits of the company, all of which are
dividends are paid.
3. the term "dividends" as used in this article means income from shares
or other rights, with the exception of receivables, with a share of the profits, as well as
other revenues, which are subjected to the same tax regime as income
of shares pursuant to the tax laws of the State of which the company that performs the
the payment is a resident.
4. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of
of the dividends, being a resident of a Contracting State, carries on business in the
the other Contracting State of which he is a resident company paying
dividends, industrial or commercial activity through a fixed
the establishment, which is located there, or performs in that other State
independent profession from a permanent base located there and if the participation, for the
which the dividends are paid is effectively connected to such permanent establishment
or a permanent base. In such a case, the provisions of article 7
or article 14, depending on what matters.
5. Where a company which is a resident of a Contracting State,
achieves profits or income from the other Contracting State, that
the second State to tax dividends paid by the company, unless such
dividends are paid to a resident of that other State or to participate,
for which the dividends are paid is effectively binds to a permanent establishment
or a permanent base, which is located in that other State, nor
subject to the company's retained profits tax on retained earnings
the company, even if the dividends paid or the undistributed profits
consists wholly or partly of profits or income with a source in the
that other State.
Article 11
Interest
1. interest arising in a Contracting State and paid to a resident of the
of the other Contracting State may be taxed in that other State.
2. However, such interest may also be taxed in the Contracting State in which the
have a source, 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 5% of the gross amount of the interest.
3. Notwithstanding the provisions of paragraph 2, interest arising shall be subject to:
and in the Republic of Belarus) and paid to a resident of the United States, which
is their a beneficial owner, taxable only in the Czech Republic, if the
such interest is paid to:
(i) from any loan, which was granted by the Bank, or from any
the loan, which was provided by the Bank;
(ii) the Government of the United States or any local Office of the United
Republic, the Czech National Bank, the Czech Export Bank or Export
guarantee and insurance company or any other institution that
is wholly or mainly owned by the Government of the United States and to which the
the Governments of the Contracting States may agree or the authorities empowered by the Governments;
(b)) in the Czech Republic and paid to a resident of the Republic of Belarus, which
is the beneficial owner thereof, the tax only in the Republic of Belarus
If such interest is paid to:
(i) from any loan, which was granted by the Bank, or from any
the loan, which was provided by the Bank;
(ii) the Government of the Republic of Belarus or any local authority
The Republic of Belarus, the National Bank of the Republic of Belarus or any
another institution which is wholly or mainly owned by the Government of Belarus
States and may agree to the Government of the Contracting States or
the authorities empowered by the Governments.
The competent authorities of the Contracting States shall by mutual agreement settle the mode
application restrictions referred to in paragraphs 2 and 3.
4. The term "interest" as used in this article means income from debt-claims
of any kind, whether or not a lien on
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
debentures, including premiums and prizes attaching to such a valuable
securities, bonds or debentures. Penalty charges for late payment shall
not regarded as interest for the purpose of this article. The term "interest" does not include
No part of the income that is treated as a dividend under the provisions of
Article 10, paragraph 3.
5. The provisions of paragraphs 1, 2 and 3 shall not apply if the beneficial
owner of the interest, being a resident of a Contracting State, carries on business in the
the other Contracting State in which they have interest, industrial or source
business through a permanent establishment that is there
located, or performs in that other State independent of the profession of
a permanent base located there, and if the claim from which the interest
paid, it is actually tied to such permanent establishment or fixed base.
In such a case, the provisions of article 7 or article 14, as
of this, about what matters.
6. It is anticipated that interest to arise in a Contracting State when the
the payer is a resident of that State. However, if the payer of interest, whether
or is not a resident of a Contracting State, has in a Contracting State
a permanent establishment or a fixed base in connection with which there has been a
debt, from which interest paid, and such interest shall be charged to such
permanent establishment or fixed base, it is assumed that such interest
to arise in the State in which the permanent establishment or a permanent
the base is located.
7. If the amount of interest that are applicable to the claim from which they are
paid, exceeds, due to the special relationship between the payer and the
the beneficial owner or between both of them and some other person,
the amount you 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 that
latter amount. The amount of the payments, which will be in excess
this case taxed pursuant to the legislation of each Contracting State to the
reference to the other provisions of this agreement.
Article 12
License fees
1. Royalties arising in a Contracting State and paid to the
a 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 arise, and according to the laws of that State,
But if the beneficial owner of the royalties is a resident of
of the other Contracting State, the tax so charged shall not exceed 5% of the gross amount of
license fees. The competent authorities of the Contracting States shall by mutual
agreement the mode of application of this limitation.
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 for literary, artistic or
scientific, including cinematograph films and films or recordings for
radio or television broadcasting, any patent, trade
mark, design or model, plan, secret formula or production
procedure or any scientific, industrial or commercial
devices (it also means any means of transport), or
information relating to experience gained in the field of industrial,
commercial or scientific.
4. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of
of the royalties, being a resident of a Contracting State,
carries on 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 profession from a permanent base located there, and if the right or
assets that give the emergence of royalty actually bind to
such permanent establishment or fixed base. In that case, shall apply
the provisions of article 7 or article 14, depending on what matters.
5. It is assumed that the licence fees to arise in a Contracting State,
If the payer is a resident of that State. However, if the payer
royalties, whether he is or is not a resident of a Contracting
State, has in a Contracting State a permanent establishment or a fixed base in
connection with which the obligation to pay the royalties was created, and these
royalties are borne by such permanent establishment or a permanent
the base, it is assumed that such license fees in
the Contracting State in which the permanent establishment or fixed base
located.
6. If the amount of the license fees that are related to the use,
law or information for which they are paid, exceeds, in consequence of the
the special relationship between 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 it wasn't for such relationships, the
the provisions of this article to the latter amount. The amount of the
payments that it exceeds, in this case will be taxed according to the legal
the laws of each Contracting State, taking into account the other provisions
of this agreement.
Article 13
Gains from the alienation of property
1. Gains derived by a resident of a Contracting State from the alienation of
immovable property referred to in article 6 and situated in the other Contracting
the State, may be taxed in that other State.
2. Gains from the alienation of property other than immovable property, which is
part of the business property of a permanent establishment which an enterprise of a
Contracting State in the other Contracting State or of property other than
immovable property, which belongs to the base, which has a resident
of a Contracting State in the other Contracting State for the purpose of carrying out
an independent profession, including gains from the alienation of such a permanent establishment
(alone or together with the whole enterprise) or of such fixed base, may
be taxed in that other State.
3. Gains from the alienation of ships, boats, aircraft, road or railway
vehicles operated in international traffic by an undertaking of a Contracting
State, or from the alienation of property other than immovable property
is used for the operation of such ships, boats, aircraft, road or
railway vehicles, shall be taxable only in that State.
4. Gains derived by a resident of a Contracting State from the alienation of
shares or other shares of the company which is a resident of the other
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 taxable only in the Contracting State of which the
the alienator is a resident.
Article 14
An independent profession
1. Income derived by a resident of a Contracting State from the free
profession or other activities of an independent character, shall be subject to
taxable only in that State except in the following cases, when such
income may also be taxed in the other Contracting State:
and) if regularly available in the other Contracting State a permanent
base in order to carry out its activities; in this case, the only
that portion of the income which is attributable to that fixed base may be
taxed in that other State;
or
b) if his stay in the other State for a period or periods
exceeding in the aggregate 183 days in any 12-month period; in
this case just a portion of the revenue derived from its activities
carried on in that other State, may be taxed in that other
State.
2. When calculating the period referred to in paragraph 1 (b). (b)) shall apply mutatis
the provisions of article 15, paragraph 2. 3.
3. the term "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.
4. The term "permanent base" means for the purposes of this agreement a permanent place,
through which is wholly or partly operated by physical activity
persons performing an independent profession.
Article 15
Employment
1. a salaries, wages and other similar remuneration derived by a resident of a
Contracting State of employment shall, subject to the provisions of articles
16, 18 and 19 of the taxable only in that State unless the employment is exercised
in the other Contracting State. If the employment is exercised, there may be
the rewards of it taxed in that other State.
2. remuneration derived by a resident of a Contracting State from employment
exercised in the other Contracting State shall be liable, regardless of the
the provisions of paragraph 1, taxable only in the first-mentioned State if
all of the following conditions are met: (a) the recipient is present in the)
other State for a period or multiple periods
not exceeding in the aggregate 183 days in any 12-month period; and
(b)) the rewards are paid by the employer or by the employer, that
is not a resident of the other State; and
(c) the remuneration is not borne by) of a permanent establishment or a fixed base, which has
employer in the other State.
3. The counting period referred to in paragraph 2 (a). and) will
include the following days:
and all the days of physical presence), including arrivals and departures; and
b) days spent outside the State activities such as Saturday and Sunday, the national
holidays, vacations and business trips directly related to employment of the recipient
in this State, which has been in operation in the territory of that State
continued.
4. the term "employer" referred to in paragraph 2 (a). (b)) identifies the person
who has the right to work and that carries the responsibility and risk
associated with the performance of the work.
5. Notwithstanding the preceding provisions of this article may be rewards
received from employment exercised aboard a ship, boat, plane and in
a road or railway vehicle operated in international traffic
the enterprise of a Contracting State are taxed in that State.
Article 16
Royalties
Directors ' fees and other similar payments derived by a resident of a Contracting
the State as a member of the management board or any other similar body
a company which is a resident of the other Contracting State, may be
taxed in that other State.
Article 17
Artists and athletes
1. Income derived by a resident of a Contracting State as to the
public entertainer, such as a theatre, film, radio or
television artist, or a musician, or as an athlete of such personally
activities in the other Contracting State, may be, regardless of the
the provisions of articles 14 and 15 of the taxed in that other State.
2. If the income from the activities carried out by the artist in person or
athlete accrues not artists or athletes, but to another person,
This revenue may be, notwithstanding the provisions of articles 7, 14 and 15
taxed in the Contracting State in which the activities of the artist or
athletes performed.
Article 18
Board
1. Pensions and other similar salaries paid to a resident of a Contracting
State due to past employment shall, subject to the provisions of
Article 19, paragraph 2. 2 taxable only in that State.
2. Notwithstanding the provisions of paragraph 1, payments received by a natural person,
that is a resident of a Contracting State from the statutory social
the insurance of the other Contracting State shall be taxable only in that other
State.
Article 19
Public function
1., and the remuneration other than pensions) paid by one Contracting State or
local authority thereof to an individual for services rendered to the
State or authority shall be taxable only in that State.
(b) However, Such remuneration) shall be taxable only in the other Contracting State,
If the services are rendered in that State and the individual who
is a resident of this State:
(i) is a national of that State; or
(ii) did not become a resident of that State for the provision of such
services.
2.
and pension paid by one) of any Contracting State or a local authority
of this State or paid from the funds, which have established, the physical person for
of services rendered to that State or authority shall be taxable only in that
State.
(b) However, Such pension) shall be taxable only in the other 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 for
services rendered in connection with the industrial or commercial activities
by any Contracting State or a local authority thereof.
Article 20
Students
Payments which a student or an apprentice who is, or immediately before the
arriving in one Contracting State he was a resident of the other Contracting
State and who is present in the first-mentioned State solely for the purpose of its
education or training, receives for the purpose of reimbursement of the costs of their diet,
education or training, shall not be subject to tax in that State in
provided that such payments arise from sources outside that State.
Article 21
Other revenue
1. Part of the income of a resident of a Contracting State, wherever
anywhere, which are not dealt with in the foregoing articles of this agreement,
shall be taxable 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
the recipient of such income, being a resident of a Contracting State,
carries on in the other Contracting State having an industrial or commercial activity
through a permanent establishment situated therein, or performs
in that other State independent of the profession of a permanent base located there
and if the right or property in respect of which the income is paid is effectively
attaching to such permanent establishment or fixed base. In this case,
provisions of article 7 or article 14, depending on which case
it comes.
Article 22
Property
1. Capital represented by immovable property referred to in article 6, which
own a resident of a Contracting State and which is located on the second
a Contracting State may be taxed in that other State.
2. Capital represented by assets other than immovable property, which
It is part of the business property of a permanent establishment which an enterprise of a
of a Contracting State in the other Contracting State, or property other than
immovable property, which belongs to the base, which has a resident
of a Contracting State in the other Contracting State for the purpose of carrying out
an independent profession, may be taxed in that other State.
3. Capital represented by ships, boats, aircraft, road or
railway vehicles operated in international traffic by an undertaking
of a Contracting State and the property other than immovable property, which
is used for the operation of such ships, boats, aircraft, road or
railway vehicles, shall be subject to tax only in that Contracting State.
4. All other elements of property of a resident of a Contracting State shall be subject to
taxable only in that State.
Article 23
Elimination of double taxation
1. in the case of a resident of the Republic of Belarus double taxation will be avoided
in the following way: If a resident of the Republic of Belarus is receiving
income or a custom section property that may be in accordance with the
the provisions of this Treaty are taxed in the Czech Republic, Belarus
States shall allow:
and) reduce income tax for this resident, an amount equal to the tax on
income paid in the Czech Republic;
(b)) to reduce the tax on assets of this resident, an amount equal to the
property tax paid in the Czech Republic.
The amount by which the tax decrease, however, in no case shall not exceed that part of the
income tax or property tax, depending on what matters,
calculated before the reduction, that fairly falls on revenue or
part of the property which may be taxed in the Czech Republic.
2. in the case of a resident of the United States double taxation will be avoided
in the following way:
and Czech Republic) may, when depositing taxes its residents included in the
the tax base from which such a tax imposed under the income or
assets that may be in accordance with the provisions of this agreement, also
taxed in the Republic of Belarus, however, allows to reduce the amount of tax
calculated from such a base an amount equal to the tax paid in
The Republic of Belarus. The amount of the tax is to be reduced, however, shall not exceed the
part of the Czech tax calculated prior to its reduction, that fairly falls on a
income or property that may be in accordance with the provisions of this
the contract taxed in the Republic of Belarus.
(b)) If, in accordance with any provision of the contract income received
or property owned by a resident of the United States is exempt from
taxation, the Czech Republic may nevertheless, in calculating the amount of tax
the remaining income or property of such resident, take into account
exempt income or property.
Article 24
Prohibition of discrimination
1. nationals of a Contracting State shall not be subjected in the
the other Contracting State to any taxation or any requirement connected therewith
United, which is other or more burdensome than the taxation and connected with it
the obligations to which they are or may be subjected by nationals
This second State, in particular with respect 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 a Contracting State in the
the other Contracting State, or permanent base available to a resident of the
a Contracting State in the other Contracting State, it will not be in this second
State corporate taxation or less advantageous than the residents of this second
State, or who perform the same activity. This provision
shall not be construed as an obligation of a Contracting State, to admit
residents of the other Contracting State any personal credits, discounts and
the tax reduction because of the status or family obligations, which
It grants to its own residents.
3. If you will apply the provisions of article 9, article 11, paragraph 2. 7
or article 12 para. 6, interest, royalties and other expenses
paid by the enterprise of a Contracting State to a resident of the other Contracting
State deductible for 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 that State. Similarly, any debts of the enterprise of a Contracting
State to a resident of the other Contracting State for the purposes of determining the
of the undertaking's taxable property deductible under the same conditions,
as if they had been contracted to a resident of the first-mentioned State.
4. 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
State to any taxation or any requirement connected therewith, which
is other or more burdensome than the taxation and connected requirements to which
are or may be subjected to other similar businesses of former
State.
5. the provisions of this article shall, notwithstanding the provisions of article 2 of
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 not in accordance with the
the provisions of this Treaty, may, notwithstanding the remedies that
under the national laws of those States, present your
the 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. 1, the Office of a Contracting State,
of which he is a national. The case must be presented within three years from the
the first notification of the measure to taxation not in accordance with the
provisions of the Treaty.
2. If the competent authority of the objection to be 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 accordance with the Treaty.
Any agreement reached shall be made without regard to any time
the time limits in the domestic law 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 the Treaty. They may also consult together for the
the purpose of the Elimination of double taxation in cases where the Treaty
not dealt with.
4. the competent authorities of the Contracting States may come in direct contact with a view to
reaching an agreement in the sense of the preceding paragraphs. If oral
Exchange of views appears to be effective for the achievement of the agreement, can such exchange
opinions to take place through the Commission, composed of representatives of
the competent authorities of the Contracting States.
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 implementation or enforcement of the
the national laws that apply to taxes of every kind
and naming the stored on behalf of the Contracting States or of their local
the authorities, if the taxation thereunder is not contrary to the agreement.
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
charge of the assessment or collection of taxes, which are listed in paragraph 1,
enforcement or criminal prosecution in the case 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. They may disclose the information in public court proceedings
or in judicial decisions.
3. The provisions of paragraphs 1 and 2 shall not be in any way interpreted as
store the Contracting State the obligation:
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 supply information which would disclose any trade,
economic, industrial, commercial or professional secret or of a commercial
procedure, or information, the disclosure of which would be contrary to the public
policy.
4. where, 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 any case, these limits will not be interpreted as
allow the Contracting Government refuse to provide information only
because it has no domestic interest in such information.
5. The provisions of paragraph 3 shall not be in any way interpreted as
allow the Contracting Government 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 because the information is relevant to the ownership shares of the person.
Article 27
Diplomats and consular officials
Nothing in this Agreement shall affect the fiscal privileges of diplomatic or
consular officials attributed to them on the basis of the General rules of
of international law or under the provisions of special agreements.
Article 28
Entry into force
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 on the date of exchange of instruments of ratification and its
the provisions will be carried out:
and) with regard to taxes withheld at source, on income received for 1.
January or later in the calendar year following the year in which the
The Treaty enters into force.
(b)) in respect of other taxes on income and property taxes, to revenue or
the assets in each fiscal year beginning 1. January or later in
calendar year following the year in which the Agreement enters
force.
3. After the entry into force of this Treaty in the relations between the Czech
Republic and the Republic of Belarus cease to apply the multilateral
Agreement on avoidance of double taxation of income and assets of natural persons,
signed at Miškovci 27. in May 1977, and the multilateral treaty on avoidance
double taxation of income and property of legal persons, signed at
Ulan Bator 19. May 1978.
Article 29
Notice of termination
This agreement shall remain in force until denounced by one
Contracting State. Any Contracting State may withdraw from the Contract in writing
through diplomatic channels, at least six months before the end of each
the calendar year following after the period of five years from the date on which the
The Treaty enters into force. In this case, the contract ceases to
carry out:
and) with regard to taxes withheld at source, on income received for 1.
January or later in the calendar year following the year in which the
given notice of termination;
(b)) in respect of other taxes on income and property taxes, to revenue or
the assets in each fiscal year beginning 1. January or later in
calendar year following the year in which the notice of termination has been given.
In witness whereof, the duly authorised thereto, have signed this agreement.
Done at Prague on 14. October 1996 in two original copies, each in the
Czech, English, Belarusian and English languages, all three texts being
verified. In the case of divergence of interpretation, the English will be decisive
the text.
For the Government of the United States:
Ing. Ivan Kočárník, CSc. v. r.
Deputy Prime Minister and Minister
Finance
For the Government of the Republic of Belarus:
Mikalaj Mikalaevič Děmčuk in r.
the President of a major state tax
inspection
