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Decree No. 2005-890 Of 27 July 2005 On The Publication Of The Convention Between The Government Of The French Republic And The Government Of The Czech Republic For The Avoidance Of Double Taxation And Prevention Of Evasion And The Fr...

Original Language Title: Décret n° 2005-890 du 27 juillet 2005 portant publication de la convention entre le Gouvernement de la République française et le Gouvernement de la République tchèque en vue d'éviter les doubles impositions et de prévenir l'évasion et la fr...

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Keywords foreign, INTERNATIONAL agreement, BILATERAL agreement, FRANCE, Czech Republic, CONVENTION, taxation, DOUBLE taxation, PREVENTION, tax EVASION, fraud tax, tax, income tax, IR, tax on the FORTUNE, ISF, Protocol JORF n ° 179, August 3, 2005 page 12678 text no. 20 Decree No. 2005-890 of 27 July 2005 on the publication of the agreement between the Government of the French Republic and the Government of the Czech Republic for the avoidance of double taxation and the prevention of evasion and tax fraud respect to taxes on income and on capital (set a Protocol), signed in Prague on April 28, 2003 (1) NOR: MAEJ0530040D ELI: https://www.legifrance.gouv.fr/eli/decret/2005/7/27/MAEJ0530040D/jo/texte Alias: https://www.legifrance.gouv.fr/eli/decret/2005/7/27/2005-890/jo/texte the President of the Republic, on the report of the Prime Minister and the Minister of Foreign Affairs , Having regard to articles 52 to 55 of the Constitution;
Pursuant to law n ° 2005-226 14 March 2005 authorising the approval of an agreement between the Government of the French Republic and the Government of the Czech Republic for the avoidance of double taxation and prevent tax evasion and fraud in respect to taxes on income and on capital (set a Protocol);
Having regard to Decree No. 53-192, 14 March 1953 as amended relating to the ratification and the publication of the international commitments entered into by France;
Mindful of Decree No. 75 - 894 dated 25 September 1975 on the publication of the convention between the Government of the French Republic and the Government of the Czechoslovak Socialist Republic for the avoidance of double taxation with respect to taxes on income, signed at Paris on 1 June 1973, enacts as follows: Article 1 the agreement between the Government of the French Republic and the Government of the Czech Republic for the avoidance of double taxation and prevention of evasion and fraud tax on income and on capital tax (set a Protocol), signed in Prague on April 28, 2003, will be published in the Official Journal of the French Republic.


Article 2 the Prime Minister and the Foreign Minister are responsible, each in relation to the implementation of this Decree, which shall be published in the Official Journal of the French Republic.


Annex C O N V E N T I O N between the Government of the Republic French and the Government of the Republic Czech for avoid the double taxation and of preventing the escape and the fraud tax for taxes on the income and on the FORTUNE the Government of the French Republic and the Government of the Czech Republic Desiring to conclude a Convention for the avoidance of double taxation and prevention of evasion and fiscal fraud tax on income and on capital, have agreed upon the following provisions: Article 1 persons concerned this Convention shall apply to persons who are residents of a Contracting State or the two Contracting States.
Article 2 taxes covered 1. This Convention shall apply to taxes on income and on capital imposed on behalf of a Contracting State or of its local authorities, irrespective of the collection system.
2 are considered as taxes on the income and capital taxes collected on total income, on total capital, or on elements of income or of capital, including taxes on gains from the alienation of movable or immovable property, taxes on the total amount of salaries paid by employers, as well as taxes on capital gains.
3. the existing taxes to which the Convention shall apply are in particular: has) with regard to 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) with respect to the France: i) the income tax;
(ii) the corporate income tax);
(iii) the tax on salaries);
IV) the solidarity tax on wealth, including all deductions at source, all prepayment and advances credit on these taxes (hereinafter referred to as "french tax").
4. the Convention shall apply also to any identical or substantially similar taxes which are imposed after the date of signature of the Convention and additional to existing taxes or place. The competent authorities of the Contracting States shall communicate to the significant changes made to their respective taxation laws.
Article 3 General Definitions 1. For the purposes of this Convention, unless the context otherwise requires: a) «Czech Republic» means the territory of the Czech Republic over which the Czech Republic has, in accordance with its domestic law and with international law, sovereign rights;
(b) the term "France" means the European departments and overseas of the French Republic, including the territorial sea, and beyond areas on which, in accordance with international law, the French Republic has sovereign rights for the purpose of exploration and exploitation of the natural resources of the seabed, its subsoil and the superjacent waters;
(c) the terms «A Contracting State» and «The other Contracting State» mean, as the case, the France or the Czech Republic;
(d) the term "person" includes natural persons, companies and any other body of persons;
(e) the term "company" means any body corporate or any entity which is treated as a body corporate for tax purposes;
(f) the terms "enterprise of a Contracting State" and "enterprise of the other Contracting State" mean respectively an 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 possesses the nationality of a Contracting State;
(ii) any legal person, partnership or association established in accordance with the legislation in force in a Contracting State;
(h) the term "international traffic" means any transport by a ship, boat or aircraft operated by an enterprise which the place of effective management is situated in a Contracting State, except when the ship, the ship or aircraft is operated solely 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 France, the Minister in charge of the budget or his representative authorized.
2. for the purposes of the Convention at any time by a Contracting State, any term or phrase that is not defined has, unless the context otherwise requires, meaning that assigns, at that time, the law of that State concerning the taxes covered by the Convention, the meaning given to this term or expression by the tax of that State prevailing on the meaning attributed to it by the other branches of the law of This state.
Article 4 Resident 1. For the purposes of this Convention, the term "resident of a Contracting State" means any person who, under the laws of that State, is liable to tax in that State, due to his home, his residence, place of management or any other criterion of a similar nature and also applies to that State as well as to all of its local communities. However, this term does not include persons who are subject to tax in that State for income from sources in that State or capital which is located.
2. where, under the provisions of paragraph 1 an individual is a resident of both Contracting States, his status is set as follows: a) this person is considered to be a resident only of the State where it has a permanent home; If it has a permanent home in the two States, it is considered as a resident only of the State with which his personal and economic relations are closer (centre of vital interests);
(b) if the State where he has his centre of vital interests cannot be determined, or if it does not have a permanent home in any of the States, it is considered to be a resident only of the State where she is staying in usual manner;
(c) if he has habitual abode in both States or if it resides habitually in any of them, it is considered to be a resident only of the State in which it has the nationality;
(d) If this person is a national of both States or it possesses the nationality of any of them, the competent authorities of the Contracting States settle the question by mutual agreement.
3. where, under the provisions of paragraph (l), one person other than an individual is a resident of both Contracting States, it is considered to be a resident only of the State in which its place of effective management is situated.

4. the term "resident of a Contracting State" includes partnerships and groups of persons who have their place of effective management in that State, and who are not subject in that State to corporation tax where that State is the France or to the tax on income of legal persons when this is in the Czech Republic , which all the shareholders and other Member shall be personally liable in that State's tax at the rate of their share of income corresponding to their rights or shares in these companies of persons or groups of persons.
Article 5 establishing stable 1. For the purposes of this Convention, the term "permanent establishment" means a fixed place of business through which a company carries on all or part of its activity.
2. the term "permanent establishment" includes especially: a) a place of management, b) a branch, c) desks, d) a plant, e) a workshop and f) a mine, a well of oil or gas, a quarry or any other place of extraction of natural resources.
3. the term "permanent establishment" also includes: a) a construction or Assembly or installation if its duration exceeds twelve months;
(b) supervision related to a construction site under the a and activities made in the Contracting State where the building site or construction or installation is situated, but only if these services continue for a period or periods together exceeding twelve months;
(c) the provision of services including consultation or direction, by an enterprise of a Contracting State through employees or other personnel engaged by the enterprise for this purpose, but only when these activities are continuing in the territory of the other contracting during a period or periods exceeding in total nine months during the State any of fifteen months.
4. Notwithstanding the preceding provisions of this article, considering that it has not 'permanent establishment' if: has) it is made use of facilities for the sole purpose of storage, exposure or delivery of goods belonging to the enterprise;
(b) goods belonging to the company are stored for the sole purpose of storage, exposure or delivery;
(c) goods belonging to the company are stored for the sole purpose of processing by another enterprise;
(d) a fixed place of business is used solely to purchase merchandise or to gather information, for the enterprise;
(e) a fixed place of business is used for the sole purpose to exercise, for the enterprise, any other activity of a preparatory or auxiliary character;
(f) a fixed place of business is used for the sole purpose of fiscal year cumulative of activities mentioned in subparagraphs a to e, provided that the activity of the fixed place of business resulting from this combination set keeps a preparatory or auxiliary character.
5. Notwithstanding the provisions of paragraphs 1 and 2, where one person - other than an agent of an independent that status applies paragraph 6 - acts on behalf of an enterprise and has in a Contracting State powers which it undertakes there usually to conclude contracts on behalf of the company, this company is considered as having a permanent establishment in that State for all the activities that this person performs for the company unless the activities of such person are limited to those mentioned in paragraph 4 and which, if they were exercised through a fixed place of business, would not consider this facility as a permanent establishment under the provisions of this paragraph.
6. an enterprise shall not be considered as having a permanent establishment in a Contracting State merely because it carries its activity through a broker, general Commission agent or any other agent of an independent status, provided that such persons are acting in the ordinary activity course.
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 State Contracting or which carries on business (whether through an establishment stable or not) does not, in itself, to make one any of these companies a permanent establishment of the other.
Article 6 property income 1. Income received by a resident of a Contracting State from immovable property (including income from agricultural or forestry) situated in the other Contracting State may be taxed in that other State.
2. the term "immovable property" has the meaning given to it by the law of the Contracting State where the property in question is situated. The term includes in any case accessories, livestock dead or alive of agricultural and forestry, rights to which the provisions of private law concerning land ownership, usufruct of real property and rights to variable or fixed payments for the operation or the concession of exploitation of mineral deposits, sources and other natural resources, as well as options promises of sale and similar rights relating to such property; ships, boats and aircraft are not considered to be real property.
3. the provisions of paragraph 1 shall apply to income derived from the direct use, letting or use, as well as any other form of immovable property.
4. the provisions of paragraphs 1 and 3 shall apply also to income from real property of an enterprise and to income from real property used for the pursuit of an independent profession.
5. when shares, or other rights in a company, give the enjoyment of immovable property situated in a Contracting State and held by that company, the income from the direct use, rental or use in any other form of this right of enjoyment are taxable in that State notwithstanding the provisions of articles 7 and 14.
Article 7 1 corporate profits. The profits of an enterprise of a Contracting State shall be taxable only in that State unless the company operates in the other State Contracting through a permanent establishment situated therein. If the enterprise carries on business in such a way, the profits of the enterprise are taxable in the other State but only insofar as they are attributable to that permanent establishment.
2. subject to the provisions of paragraph 3, where an enterprise of a Contracting State carries on business in the other State Contracting through a permanent establishment situated, it is charged, in each Contracting State, to that permanent establishment profits that he could achieve if it had been a separate business operating identical or analogous in identical or similar conditions and dealing independently with the enterprise of which it is a permanent establishment.
3. in determining the profits of a permanent establishment, are allowed as deductions expenses incurred for the purposes of establishment, including Executive and general expenses so incurred administration, either in the State where the permanent establishment is situated or elsewhere.
4. If it has been customary in a Contracting State to determine the profits attributable to a permanent establishment on the basis of an apportionment of the total profits of the enterprise to the various parties, nothing in paragraph 2 shall preclude that Contracting State from determining the profits to be taxed according to the distribution in use; the adopted allocation method should be such that the result is consistent with the principles contained in this article.
5. no benefit is attributed to a permanent establishment that he simply bought goods for the company.
6. for the purposes of the preceding paragraphs, the profits to be attributed to the permanent establishment are determined each year by the same method, unless there is good and sufficient contrary reasons.
7. where profits include items of income which are dealt with separately in other articles of this Convention, the provisions of these articles are not affected by the provisions of this article.
Article 8 shipping and air transport 1. Profits from the operation in international traffic of ships, boats or aircraft shall be taxable only in the Contracting State where the place of effective management of the enterprise is situated. Notwithstanding the provisions of article 12, these benefits also include revenues obtained by this company from the use, maintenance or rental of containers for the transport of goods or merchandise in international traffic, provided that these activities are ancillary to the operation, in international traffic, ships, boats or aircraft by the company.
2. If the seat of effective management of a shipping enterprise is aboard a ship or a boat, this seat is considered to be situated in the Contracting State where the home port of the ship of this boat, or absence of homeport, in the Contracting State of which the operator of the ship or boat is a resident.

3. the provisions of paragraph 1 of this article shall also apply to profits from the participation in a group ("pool"), a joint operation or an international operating agency.
4. Notwithstanding the provisions of article 2: a) a company which has its place of effective management in Czech Republic and which operates in international aircraft traffic is dégrevée Office in France of business tax, due at the rate of this activity;
(b) an enterprise which has its place of effective management in France and operates in international traffic of aircraft is dégrevée Office in Czech Republic of any tax analogous to French professional tax due at the rate of this activity.
Article 9 companies associated when: a) an enterprise of a Contracting State participates directly or indirectly in the management, control or capital of an enterprise of the other State Contracting, or that b) the same persons participate directly or indirectly in the management, control or capital of an enterprise of a Contracting State and an enterprise of the other Contracting State, and that in the other case, the two companies are in their commercial or financial relations, bound by conditions agreed or imposed that differ from those which would be agreed between independent companies, profits which, without these conditions, would have been made by one business but were unable to be actually due to these conditions, may be included in the profits of that enterprise and taxed accordingly.
Article 10 dividends 1. Dividends paid by a company which is a resident of a Contracting State to a resident of the other Contracting State may be taxed in 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 of that State, but if the beneficial owner is a resident of the other Contracting State, the tax so charged may not exceed: a) 0% of the gross amount of the dividends if the beneficial owner is a company which holds directly at least 25% of the capital of the company paying the dividends;
(b) 10% of the gross amount of the dividends in all other cases.
The provisions of this subsection do not affect the taxation of the company in respect of the benefits that are used for the payment of dividends.
3. a resident of the Czech Republic who receives dividends paid by a company which is a resident of France may obtain reimbursement of the withholding tax insofar as it was actually paid by the company at the rate of such dividends. The gross amount of the refund check is treated as a dividend for the purposes of the Convention. It is taxable in France in accordance with the provisions of paragraph 2.
4. the term "dividend" means income from shares, or other rights, with the exception of receivables, as well as revenues subject to the regime of distributions by the taxation law of the State of which the company making the distribution is a resident. It is understood that the term "dividend" does not include income dealt with in article 16.
5. the provisions of paragraphs 1, 2 and 3 do not apply if the beneficial owner of the dividends, being a resident of a State Contracting, carries on in the other Contracting State of which the company paying the dividends is a resident, either an industrial or commercial activity through a permanent establishment situated therein, an independent profession through a fixed base which is located , and generating participation of dividends related actually. In this case, the provisions of article 7 or article 14, as the case may be, shall apply.
6. where a company which is a resident of a Contracting State derives profits or income from the other State Contracting, that other State may levy no tax on dividends paid by the company, except to the extent where such dividends are paid to a resident of that other State or insofar as where the dividends generating participation relates effectively to a permanent establishment or a fixed base situated in that other State , or impose any tax in respect of the taxation of retained earnings, retained earnings of the company, even if the dividends paid or the undistributed profits consist wholly or partly of profits or income from that other State.
Article 11 interest 1. Interest arising in a Contracting State and which the beneficial owner is a resident of the other Contracting State shall be taxable only in that other State.
2. the term "interest" means income of claims of any nature, secured or not secured by mortgage or a right to participate in the debtor's profits, and including income on public funds and bonds of debentures, including premiums and prizes attaching to such securities. The penalties for late payment are not considered as interest within the meaning of this article. The term "interest" does not include items of income which are considered as dividends in accordance with the provisions of article 10.
3. the provisions of subsection 1 do not apply if the beneficial owner of the interest, being a resident of a State Contracting, carries on in the other Contracting State comes the interests, either an industrial activity or business through a permanent establishment situated therein, or independent through a fixed base which is located, and that the generator of the interest receivable related actually. In this case, the provisions of article 7 or article 14, as the case may be, shall apply.
4. the interests are considered as coming from a Contracting State when the payer is a resident of that State. However, when the debtor of interests, whether or not a resident of a Contracting State, has in a State Contracting a permanent establishment or a fixed base which the debt giving rise to the payment of interest was contracted and which supports the load of these interests, these are considered as coming from the State where the permanent establishment or fixed base is located.
5. when, due to special relationship between the payer and the beneficial owner or that one and the other have with third parties, the amount of interest, taking into account the debt for which they are paid, exceeds the amount which would be agreed upon the payer and the beneficial owner in the absence of such relationship, the provisions of this article apply only to the latter amount. In this case, the excess part of the payments is taxable according to the laws of each Contracting State and in light of the other provisions of this Convention.
Article 12 royalties 1. The royalties from a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State.
2. However, royalties, except the case of payments of any kind referred to in paragraph 3 a, may also be taxed in the Contracting State in which they arise and according to the laws of that State, but if the beneficial owner of the royalties is a resident of the other Contracting State, the tax so charged shall not exceed: a) 5% of the gross amount of the royalties for the remuneration referred to in paragraph (b) of paragraph 3;
(b) 10% of the gross amount for the remuneration referred to in paragraph (c) of paragraph 3.
3. the term "royalties" means payments of any kind paid for the use or the right to use: has) a right of literary, artistic or scientific author with the exception of computer software, including also cinematographic films and recordings for television or radio broadcasts;
(b) to equipment industrial, commercial or scientific;
(c) to a patent, a trademark or trade, a drawing or a model, a plan, a formula or a process secret computer software or information relating to experience gained in the industrial, commercial or scientific (know-how).
4. the provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the royalties, being a resident of a State Contracting, carries on in the other Contracting State comes royalties, either an activity or business through a permanent establishment situated therein, or independent through a fixed base is situated, and that the right or well Builder royalty related actually. In this case, the provisions of article 7 or article 14, as the case may be, shall apply.
5. royalties shall be deemed as coming from a Contracting State when the payer is a resident of that State. However, when the debtor's royalties, whether or not a resident of a Contracting State, has in a State a permanent establishment or a fixed base, for which the obligation giving rise to the payment of the royalties was incurred and that supports the load of these charges, they are considered as coming from the State where the permanent establishment or the fixed base is situated.

6. when, due to special relationship between the payer and the beneficial owner or that one and the other have with third parties, the amount of fees, taking into account the provision for which they are paid, exceeds the amount which would be agreed upon the payer and the beneficial owner in the absence of such relationship, the provisions of this article apply only to the latter amount. In this case, the excess part of the payments is taxable according to the laws of each Contracting State and in light of the other provisions of this Convention.
Article 13 Gains in capital 1. (a) 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 State may be taxed in that other State.
(b) gains from the alienation of shares, units or other rights in a company, other than a corporation of which the actions are the subject of regular transactions on a regulated exchange, which the assets or property are made for more than 50% of their value or derive more than 50% of their value - directly or indirectly by the interposition of one or several other companies - real property referred to in article 6 and situated in a Contracting State or of rights relating to such property may be taxed in that State. For the purposes of this provision, are not supported considered real property affected by such a company its own industrial, commercial or agricultural operation or exercise it independent professional.
2. gains from the alienation of movable property forming part of the assets of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State, or movable property which belong to a fixed base available to a resident of a Contracting State in the other Contracting State for the exercise of an independent profession, including such gains from the alienation of this establishment stable (alone or with the whole of the company) or the basic fixed may be taxed in that other State.
3. gains from the alienation of property forming part of the assets of a business and which consist of ships, boats or aircraft operated in international traffic or movable property pertaining to the operation of such ships, boats or aircraft shall be taxable only in the Contracting State where the place of effective management of the enterprise is situated.
4. gains from the alienation of any property other than those referred to in paragraphs 1, 2 and 3 shall be taxable only in the Contracting State of which the alienator is a resident.
Article 14 independent personal services 1. Income derived by a resident of a Contracting State of a liberal profession or other activities of an independent character shall be taxable only in that State, with the exception of the following circumstances in which these revenues may also be taxed in the other State Contracting: a) the resident has habitually in the other Contracting State a fixed for the exercise of its activity base; in this case, only those revenues attributable to that fixed base may be taxed in that other State; or (b) the resident is present in the other State for a period or periods exceeding in the aggregate 183 days in any period of twelve months commencing or ending in the fiscal year concerned; in this case, only the income he derived from his activities performed in that other State may be taxed in that other State.
2. the term "professional services" includes especially independent scientific, literary, artistic, educational or teaching activities as well as the activities of physicians, lawyers, engineers, architects, dentists and accountants.
Article 15 dependent personal services 1. Subject to the provisions of articles 16, 18, 19 and 20, salaries, wages and other similar remuneration that a resident of a Contracting State receives in respect of an employment shall be taxable only in that State unless the employment is exercised in the other Contracting State. If the employment is exercised, the remuneration received for this may be taxed in that other State.
2. Notwithstanding the provisions of paragraph 1, remuneration derived by a resident of a Contracting State in respect of an employment exercised in the other Contracting State shall be taxable only in the first State, if: a) the recipient is present in the other State for a period or periods exceeding not in the aggregate 183 days in any period of 12 consecutive months commencing or ending in the fiscal year concerned ((, and b) the remuneration is paid by an employer, or on behalf of an employer who is not a resident of the other State, and c) the remuneration is not borne by a permanent establishment or a fixed base that the employer has in the other State.
3. Notwithstanding the preceding provisions of this article, remuneration received in respect of an employment exercised aboard a ship, boat or aircraft operated in international traffic may be taxed in the Contracting State where the place of effective management of the enterprise is situated.
Article 16 Director's fees the chips and other similar payments that a resident of a Contracting State in his capacity as member of the Board of Directors receives or of a company which is one resident of the other Contracting State may be taxed in that other State.
Article 17 Artistes and sportspersons 1. Notwithstanding the provisions of articles 14 and 15, income derived by a resident of a Contracting State from his personal activities exercised in the other Contracting State as an artist of the show, as an artist of theatre, film, radio or television, or a musician, or as a sportsperson, may be taxed in that other State.
2. where the income from activities exercised by an entertainer or a sportsperson personally and as such are attributed not to the entertainer or athlete himself but to another person, whether or not a resident of a Contracting State, such income are taxable, notwithstanding the provisions of articles 7, 14 and 15, in the Contracting State where the activities of the entertainer or athlete are exercised.
3. the provisions of paragraphs 1 and 2 do not apply to income from activities exercised in a Contracting State by an entertainer or a sportsperson when these activities in the first State funded wholly or mainly by public funds of one or both Contracting States or of their local authorities. In this case, the income is taxable only in the Contracting State where the artist or sportsman is a resident.
Article 18 Pensions subject to the provisions of paragraph 2 of article 19, pensions and other similar remuneration paid to a resident of a Contracting State in respect of past employment shall be taxable only in that State.
Article 19 remuneration public 1. (a) remuneration, other than a pension, paid by a Contracting State or a local authority to an individual in respect of services rendered to that 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 is a resident of this State and has citizenship.
2. a) pensions paid by a Contracting State or a local authority either directly or by out of funds that they have established, to an individual in respect of services rendered to that State or community shall be taxable only in that State.
(b) However, such pensions are taxable only in the other Contracting State if the individual is a resident of this State and has the nationality.
3. the provisions of articles 15, 16 and 18 shall apply to remuneration as well as pensions paid in respect of services rendered in connection with a business carried on by a State Contracting or mood of its local communities.
Article 20 students and teachers 1. The sums as a student or a trainee who is, or was immediately before visiting a Contracting State, a resident of the other Contracting State and who is staying in the first State sole purpose of pursuing his studies or training, receives to cover maintenance costs, for studies or training are not taxable in that State provided that they are derived from sources outside that State.
2. under subject to the provisions of article 19, and notwithstanding the provisions of articles 14 and 15, the remuneration received by a teacher who is, or was immediately before visiting a Contracting State, a resident of the other Contracting State and who is staying in the first State solely to teaching, which are derived from these activities are taxable only in the other State when these activities are financed mainly by public of this other State or one of its local communities. This article shall apply for a period not exceeding 24 months from the date of arrival of the teacher in the first State for the purposes of teaching.
Article 21 other income 1. Items of income of a resident of a Contracting State as they come, this resident is the beneficial owner and who are not covered by the preceding articles of this Convention shall be taxable only in that State.

2. the provisions of paragraph 1 shall not apply to income other than income from real property as defined in paragraph 2 of article 6, if the beneficial owner of such income, being a resident of a State Contracting, carries on in the other Contracting State, or industrial and commercial activity through a permanent establishment situated therein, or an independent profession with a base fixed which is located , and that the right or the generator of income related actually. In this case, the provisions of article 7 or article 14, as the case may be, shall apply.
Article 22 Fortune 1. (a) capital represented by immovable property referred to in article 6 is taxable in the Contracting State where the immovable property is situated.
(b) capital represented by shares, shares or other rights in a company, including the asset or assets are made up more than 50% of their value or derive more than 50% of their value - directly or indirectly by the interposition of one or more other companies – of immovable property referred to in article 6 and situated in a Contracting State or of rights relating to such property is taxable in that State. For the purposes of this provision, are ignored into consideration real property affected by such a company its own industrial, commercial or agricultural operation, or the exercise by it of an independent profession.
2. capital represented by movable property forming part of the assets of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State, or by movable property which belong to a fixed base which a resident of a State Contracting has in the other Contracting State for the exercise of an independent profession, may be taxed in that other State.
3. capital represented by assets forming part of the assets of a company and which consist of ships, boats and aircraft operated in international traffic and by movable property pertaining to the operation of these vessels, vessels or aircraft is taxable only in the Contracting State where the place of effective management of the enterprise is situated.
4. all other elements of capital of a resident of a Contracting State shall be taxable only in that State.
Article 23 Elimination of double taxation 1. With regard to the France, double taxation is eliminated as follows: a) Notwithstanding any other provision of this Convention income that are taxable or taxable only in Czech Republic in accordance with the provisions of the Convention are taken into account for the calculation of tax french when they are not exempt from the corporation tax under French internal legislation. In this case, the Czech tax is not deductible from the income, but the resident of France is entitled, subject to the conditions and limits laid down in the i and ii, a tax credit due on french tax. This tax credit is equal: i) for income not mentioned in ii, in the amount of french tax corresponding to such income provided that the recipient is subject to the Czech tax at the rate of these revenues;
(ii) for income subject to tax french companies referred to in article 7 and paragraph 2 of article 13 and for income referred to in article 10, article 12, paragraph 1 of article 13, paragraph 3 of article 15, article 16 and paragraphs 1 and 2 of article 17, the amount of the tax paid in Czech Republic in accordance with the provisions of these articles. However, this tax credit cannot exceed the amount of french tax corresponding to such income.
(b) a resident of France who owns taxable capital in Czech Republic in accordance with the provisions of paragraphs 1 and 2 of article 22 is also taxable in France at the rate of this fortune. The french tax is calculated after deduction of a tax credit equal to the amount of tax paid in Czech Republic on the fortune. However, this tax credit cannot exceed the amount of french tax corresponding to this fortune.
c) i) it is understood that the expression "amount of french tax corresponding to such income" used in paragraph a denotes:-when tax payable at the rate of such income is calculated by applying a proportional rate, the product of the amount of net revenues considered by the rate actually applied;
-When tax payable at the rate of such income is calculated by applying a progressive scale, the product of the amount of net revenues considered by the rate resulting from the ratio between the tax actually due at the rate of the total net income taxable under the French legislation and the amount of such net income overall.
This interpretation applies by analogy to expression "amount of french tax corresponding to this fortune" as used in paragraph (b).
(ii) it is understood that the expression "amount of tax paid in Czech Republic" in paragraphs a and b means the amount actually supported Czech tax definitive as to why income or fortune elements considered, in accordance with the provisions of the Convention, by the resident of France receiving such income or that has these elements of fortune.
2. as regards the Czech Republic, double taxation is eliminated as follows: the Czech Republic, when it imposes its residents, may include in the basis taxable such taxes, the items of income or capital which are also taxable in France under the provisions of the Convention, but grants a deduction from the tax on such a basis in an amount equal to the tax paid in France. This deduction cannot exceed that portion of the Czech tax calculated before deduction, corresponding as applicable to income or taxable capital in France in accordance with the provisions of the Convention.
When, by virtue of any provision of the Convention, income or wealth that receives or has a resident of the Czech Republic are tax-exempt in Czech Republic, the Czech Republic may nevertheless, calculate the tax due at the rate of other elements of income or wealth of the resident taking into account income or tax-exempt fortune.
Article 24 non-discrimination 1. (a) nationals of a Contracting State not be subjected in the other Contracting State to any taxation or obligation y, which is other or more heavy than those which are or may be subjected nationals of that other State who are in the same situation, including with regard to the residence. This provision applies also, notwithstanding the provisions of article 1, individuals who are not residents of a Contracting State or the two Contracting States.
(b) for the purposes of paragraph a, it is understood that a natural or legal person, a partnership or an association which is a resident of a Contracting State is not in the same situation as a natural or legal person, a partnership or an association that is not a resident of this State; and this, regardless of the definition of nationality, even if legal persons, partnerships or associations are considered to be nationals of the Contracting State of which they are residents.
2. the imposition of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State, or a fixed base which a resident of a Contracting State has in the other Contracting State for the exercise of an independent profession, is not established in that other State to less favourably than the taxation of businesses or residents of that other State carrying on the same activities. This provision cannot be interpreted as obliging a Contracting State to grant to residents of the other State contracting the personal allowances, reliefs and reductions for tax depending on the situation or family responsibilities which it grants to its own residents.
3. unless the provisions of article 9, paragraph 5 of article 11 or paragraph 6 of article 12 are applicable, interest, royalties and other expenses paid by an enterprise of a Contracting State to a resident of the other Contracting State are deductible in determining taxable profits of the undertaking, under the same conditions as if they had been paid to a resident of the first State. Similarly, the debts of an enterprise of a Contracting State to a resident of the other Contracting State are deductible, for the determination of the fortune of this company, under the same conditions as if they had been contracted to a resident of the first State.
4. enterprises of a Contracting State, whose capital is wholly or in part, directly or indirectly owned or controlled by one or more residents of the other Contracting State, are subject in the first State to any taxation or obligation y, which is other or more heavy than those which are or may be subject other similar of the first State businesses.

5. has) when a natural person employed paid in a Contracting State, contributions to a pension plan established and recognised for the purposes of taxation in the other State Contracting that are supported by this person are deductible in the first State for the determination of the taxable income of that person, and are processed fiscally in this first State in the same manner as contributions to a pension plan recognized for the purposes of taxation in that other State and subject to the same conditions and restrictions, provided that the pension plan is accepted by the competent authority of that State as a correspondent generally to a pension plan recognized for tax purposes in that State.
((b) for the purposes of paragraph: i) "pension plan" means a plan in which the individual participates in order to benefit from pension benefits payable in respect of the employment referred to in paragraph, and ii) a pension plan is recognized for the purposes of taxation"in a Contracting State if the contributions to the plan are eligible for tax relief in that State.
6. exemptions from tax and other benefits provided by the taxation laws of a Contracting State for the benefit of that State or of its local authorities whose activity is not an industrial character or commercial shall apply under the same conditions respectively to the other Contracting State or its local authorities whose activity is identical or substantially similar. Notwithstanding the provisions of paragraph 7, the provisions of this paragraph do not apply to taxes or taxes due as consideration for services rendered.
7. the provisions of this article shall apply notwithstanding the provisions of article 2, taxes of any nature or description.
Article 25 mutual agreement Procedure 1. Where a person considers that the measures taken by a Contracting State or by the two Contracting States result or will result in taxation not in accordance with the provisions of this Convention for it, it may, irrespective of the remedies provided by the domestic law of those States, submit his case to the competent authority of the Contracting State of which it is a resident or, if his case comes under paragraph 1 of article 24 , to that of the Contracting State in which it is a national. The case must be submitted within three years following the first notification of the action resulting in taxation not in accordance with the provisions of the Convention.
2. the competent authority shall endeavour, if the claim appears to it to be justified and if it is not itself able to arrive at a satisfactory solution, to resolve the case by mutual agreement with the competent authority of the other Contracting State, with a view to avoidance of taxation not in accordance with the Convention. The agreement is applied irrespective of the time limits provided by the domestic law of the Contracting States.
3. the competent authorities of the Contracting States shall endeavour by mutual agreement, to resolve any difficulties or doubts arising as to which can lead the interpretation or application of the Convention. They may also consult to eliminate double taxation in cases not provided for in the Convention.
4. the competent authorities of the Contracting States or their representatives may communicate directly with each other to reach an agreement as indicated in the preceding paragraphs of this article. If oral exchanges of views seem them timely, they can be for this purpose a commission composed of the competent authorities of the Contracting States or their representatives.
Article 26 exchange of information 1. The competent authorities of the Contracting States shall exchange relevant information to apply the provisions of this Convention or of the domestic laws of Contracting States concerning taxes covered by the Convention insofar as the taxation thereunder is not contrary to the Convention. The exchange of information is not restricted by article 1. Information received by a Contracting State are confidential in the same way that the information obtained in accordance with the internal law of that State and not be disclosed only to persons or authorities (including courts and administrative bodies) concerned with the establishment or collection of the taxes covered by the Convention, procedures or proceedings in respect of those taxes , or by the decisions on appeals related to these taxes. These persons or authorities use this information for these purposes only. They can reveal such information public hearings of courts or in judgments.
2. the provisions of paragraph 1 shall not be interpreted as imposing a State Contracting obligation: has) to take administrative measures derogating from its legislation and its administrative practice or those of the other Contracting State;
b) to provide information that could be obtained on the basis of its legislation or in the framework of his practiced administrative normal or those of the other Contracting State;
(c) to provide information that would reveal a commercial, industrial or professional secret or trade process, or information the disclosure of which would be contrary to public order.
Article 27 diplomatic and consular officials 1. The provisions of the present Convention shall affect the fiscal privileges enjoyed by members of diplomatic missions, members of the consular posts and members of permanent delegations to international organizations in virtue or the General rules of international law or the provisions of special agreements.
2. Notwithstanding the provisions of article 4, any natural person who is a member of a diplomatic mission, a consular post or a delegation of permanent of a Contracting State situated in the other Contracting State or in a third State is considered, for the purposes of the Convention, as a resident of the sending State, provided that it is subject in the State sending the same obligations tax on all his income and his fortune, as are residents of that State.
3. the Convention does not apply to international organizations, their bodies or their officials, or persons are members of a diplomatic mission, a consular post or a permanent delegation of a third State, when they are located on the territory of a Contracting State which are not submitted in a Contracting State to the same obligations, income tax on all their income and their fortunes that the residents of that State.
Article 28 implementing rules 1. The competent authorities of the Contracting States can regulate jointly or separately detailed rules for the application of this Convention.
2. in particular, to get in a State contracting the benefits provided for in articles 10, 11 and 12, residents of the other Contracting State shall, unless otherwise provided by the competent authorities, submit a certificate of residence indicating, in particular, the nature and the amount or value of the relevant income, and with the certification of tax services in that other State.
Article 29 entry into force 1. Each of the Contracting States shall notify to the other the completion of the required procedures in regard to the entry into force of this Convention. It will enter into force the first day of the second month following the day of receipt of the later of these notifications.
2. the provisions of the Convention apply: has) with respect to taxes on income levied by deduction at source, for amounts taxable after the calendar year in which the Convention has entered into force;
(b) with respect to taxes on income which are not collected by deduction at source, to income derived, depending on the case, in any calendar year or any fiscal year beginning after the calendar year in which the Convention has entered into force;
(c) with regard to other taxes, charges which the operative will take place after the calendar year in which the Convention has entered into force.
3. from the date of the agreement, the application of the Convention between the Government of the French Republic and the Government of the Socialist Republic of Czechoslovakia, signed at Paris on June 1, 1973, for the avoidance of double taxation with respect to taxes on the income ceases to apply in relations between the France and the Czech Republic.
Article 30 denunciation 1. This Convention shall remain in force until its withdrawal by a Contracting State. However, after a period of five calendar years from the date of entry into force of the Convention, each of the Contracting States may denounce notice notified through diplomatic channels at least six months before the end of any calendar year.
2. in this case, the Convention will be more applicable: has) with respect to taxes on income levied by deduction at source, for amounts taxable after the calendar year in which the information has been notified;
(b) with respect to taxes on income which are not collected by deduction at source, related income, as the case may be, any calendar year or any fiscal year beginning after the calendar year in which the withdrawal has been notified;

(c) with regard to other taxes, charges which the operative will take place after the calendar year in which the information has been notified.
In witness whereof the undersigned, being duly authorized thereto, have signed the present Convention.
Done at Prague, on 28 April 2003, in duplicate, in Czech, and French languages both texts being equally authentic.
For the Government of the French Republic: Dominique de Villepin, Minister for Foreign Affairs for the Government of the Czech Republic: Cyril Svoboda, Deputy Prime Minister, Minister of Foreign Affairs Protocol at the time to proceed with the signing of the Convention between the Government of the French Republic and the Government of the Czech Republic for the avoidance of double taxation and prevention of evasion and fraud tax respect to taxes on income and on capital the representatives of the Governments have agreed upon the following provisions which are an integral part of the Convention.
1. as regards paragraph 3 of article 2 b, the payroll tax is governed by the provisions of the Convention applicable, as appropriate, to corporate profits or income of the self-employed.
2. it is understood that the terms "a Contracting State" or "the other Contracting State" and the expression "local communities" referred to in paragraph 1 of article 4, paragraph 3 of article 17, article 19, paragraph 2 of article 20 and paragraph 6 of article 24 are also legal persons of public right of each of the Contracting States or of their local communities.
3. with regard to article 5, a construction, Assembly or installation project or supervisory of construction activities which began before the date of entry into force of the Convention are not considered as stable institutions.
4. as regards article 12, remuneration paid for technical services, including analyses and studies of a scientific, geological or technical nature, for engineering including plans work y thereto, or consultation or monitoring, services are not considered to be remuneration for information relating to experience gained in the industrial field commercial or scientific.
5. the provisions of article 16 shall apply to income referred to in article 62 of the general tax code french, returning to a natural person who is a resident of the Czech Republic in his capacity as partner or Manager of a company which is a resident of France and that is subject to corporate income tax.
6. it is understood that the provisions of article 21 shall not apply to dividends, interest and royalties referred to respectively in articles 10, 11 and 12.
In witness whereof the undersigned, being duly authorized thereto, have signed this Protocol.
Done at Prague, on 28 April 2003, in duplicate, in Czech, and French languages both texts being equally authentic.
For the Government of the French Republic: Dominique de Villepin, Minister for Foreign Affairs for the Government of the Czech Republic: Cyril Svoboda, Deputy Prime Minister Minister for Foreign Affairs made in Paris, July 27, 2005.
Jacques Chirac by the President of the Republic: the Prime Minister, Dominique de Villepin, Foreign Minister Philippe Douste-Blazy