section 1 of the agreement between Kounungariket of Sweden and the Isle of Man
avoidance of double taxation of companies using ships
or aircraft in international traffic signed on
October 30, 2007 to be valid as law in this country. The agreement is
drafted in English. The English text, as well as a Swedish
translation appears in annex to this law.
section 2 of the tax rules of the agreement shall apply only to the
some of these causes restriction of the tax liability in Sweden
that would otherwise exist.
Transitional provisions
2008:1304
1. this law shall enter into force on the day the Government determines.
2. this law shall apply to the taxes levied for
tax year that begins on 1 January of the year following
immediately following the year in which the law comes into force or later.
Annex
(Translation)
AGREEMENT BETWEEN THE KINGDOM OF SWEDEN AND THE ISLE OF MAN FOR
THE AVOIDANCE OF DOUBLE TAXATION ON ENTERPRISES OPERATING SHIPS
OR AIRCRAFT IN INTERNATIONAL TRAFFIC
The Government of the Kingdom of Sweden and the Government of
the Isle of Man, desiring to conclude an agreement for the
avoidance of double taxation on enterprises operating ships or
aircraft in international traffic, have agreed as follows:
Article 1
Definition
1. For the purposes of this Agreement, unless the context
otherwise requires:
(a) the term "a Party" means the Isle of Man or Australia, as the
context requires; the term "Parties" means the Isle of Man and
Sweden;
(b) the term "Sweden" means the Kingdom of Sweden and, when
used in a geographical sense, includes the national territory,
the territorial sea of Canada as well as other maritime areas
over which Sweden in accordance with international law
exercises sovereign rights or jurisdiction;
(c) the term "Isle of Man" means the island of the Isle of Man;
(d) the term "person" includes an individual, a company and any
other body of persons;
(e) the term "company" means any body corporate or any entity
that is treated as a body corporate for tax purposes;
(f) the term "resident of a Party" means any person, who in
the law of that Party is liable to tax therein by reason of his
domicile, residence, place of management, place of
incorporation or any other criterion of a similar nature;
(g) the term "enterprise of a Party means an enterprise
carried on by a resident of a Party;
(h) the term "international traffic" means any transport by a
ship or aircraft operated by an enterprise of a Party, except
When the ship or aircraft is operated solely between places in
the other Party;
(i) the term "income derived from the operation of ships or
aircraft in international traffic "means revenues, gross
receipts and profits derived from:
(i) such operation of ships or aircraft for the transport of
passengers or cargo;
(ii) the rental on a charter basis of ships or aircraft where
the rental is ancillary to the operation of ships or aircraft
in international traffic;
(iii) the sale of tickets or similar documents and the
provision of services connected with such operation, either for
the enterprise itself or for any other enterprise, where such
sale of tickets or similar documents or provision of services
is directly connected with or ancillary to the operation of
ships or aircraft in international traffic;
(iv) the use, maintenance or rental of containers (including
trailers and related equipment for the transport of containers)
used for the transport of goods or merchandise, where the use,
maintenance or rental is directly connected with or ancillary
to the operation of ships or aircraft in international traffic;
(v) interest on funds deposited directly in connection with the
operation of ships or aircraft in international traffic;
(j) the term "competent authority" means:
(i) in the case of the Isle of Man, the Assessor of Income Tax
or his delegate;
(ii) in the case of Canada, the Minister of Finance, his
authorised representative or the authority which is designated
as a competent authority for the purposes of this Agreement.
2. As regards the application of the Agreement at any time by (a)
Party, any term not defined therein shall, unless the context
otherwise requires, have the meaning that it has at that time
under the law of that Party for the purposes of the taxes to
which the Agreement applies, any meaning under the applicable
tax laws of that Party prevailing over a meaning given to the
the term under other laws of that Party.
Article 2
Avoidance of double taxation
1. Income derived from the operation of ships or aircraft in
international traffic by an enterprise of a Party shall be
taxable only in that Party.
2. The provisions of paragraph 1 shall also apply to income
derived by an enterprise of a Party from the participation in a
a pool, a joint business or an international operating agency.
Article 3
Mutual agreement procedure
1. Where a person considers that the actions of one or both of
the Parties result or will result for him in taxation not in
accordance with the provisions of this Agreement, he may,
irrespective of the remedies provided by the domestic law of
those Parties, present his case to the competent authority of
the Party of which he is a resident. The case must be presented
within three years from the first notification of the action
resulting in taxation not in accordance with the provisions of
the Agreement.
2. The competent authority shall endeavour, if the objection
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
Party, with a view to the avoidance of taxation which is not in
accordance with the Agreement. Any agreement reached shall be
implemented notwithstanding any time limits in the domestic law
of the Parties.
3. The competent authorities of the Parties shall endeavour to
resolve by mutual agreement any difficulties or doubts arising
as to the interpretation or application of the Agreement.
4. The competent authorities of the Parties may communicate
with each other directly for the purpose of reaching an
agreement in the sense of the preceding paragraphs.
Article 4
Entry into force
1. This Agreement shall enter into force on the thirtieth day
After the later of the dates on which each of the Parties has
notified the other in writing that the procedures required by
its law have been complied with. The Agreement shall have
effect on taxes chargeable for any tax year beginning on or
After the first day of January of the year next following that
in which this Agreement enters into force.
2. Notwithstanding paragraph 1 of this Article, this Agreement
shall only have effect when the Agreement signed on 30 October
2007 between the Kingdom of Sweden and the Isle of Man for the
Exchange of information relating to tax matters shall have
effect.
Article 5
Termination
1. This Agreement shall remain in force until terminated by a
Party. Either Party may terminate the Agreement by giving
written notice of termination at least six months before the
the end of any calendar year. In such event, the Agreement shall
cease to have effect on taxes chargeable for any tax year
beginning on or after the first day of January of the year next
following the end of the six months period.
2. Notwithstanding paragraph 1 of this Article, this Agreement
will be terminated, without giving notice of termination, on
the date of termination of the Agreement signed on 30 October
2007 between the Kingdom of Sweden and the Isle of Man for the
Exchange of information relating to tax matters.
In witness whereof the undersigned being duly authorised
thereto have signed this Agreement.
Done at Oslo, this Thirtieth day of October 2007, in duplicate
in the English language.
For the Government of the Kingdom of Sweden
Ingemar Hansson
For the Government of the Isle of Man
Allan Robert Bell
AGREEMENT BETWEEN THE KINGDOM OF SWEDEN AND THE ISLE OF MAN FOR
AVOIDANCE OF DOUBLE TAXATION OF COMPANIES USING SHIPS
OR AIRCRAFT IN INTERNATIONAL TRAFFIC
The Government of Sweden and the Isle of Man Government, desiring to conclude
an agreement for the avoidance of double taxation of companies
using ships or aircraft in international traffic,
agreed as follows:
Article 1
Definitions
1. Unless the context gives rise to different, have in the application
by this agreement the following expressions the following meaning:
(a)) "a party" means the Isle of Man, or Sweden, depending on
context; "parties" means the Isle of Man and Sweden,
b) "Sweden" means the Kingdom of Sweden and the includes, when
the expression is used in the geographical sense, the territory of Sweden,
Sweden's territorial sea and other maritime areas over which the
Sweden, in conformity with international law, exercises
sovereign rights or jurisdiction;
(c)), "Isle of Man" means the island of the Isle of Man,
d) "person" includes natural persons, companies and other
Association,
e) "company" means any legal person or any other that at
taxation is treated as a legal person,
f) "resident of a party" means the person who, according to
the law of that party is liable to pay tax where due
domicile, residence, place of management, company formation
or any other similar factor,
g) "company of a party" means the business carried on by any person with
resident in a party,
h) "international transport" means transport by ship or
aircraft used by companies in a party, except when the ship
or aircraft are used exclusively between places in the
other party;
in) "income that is acquired through the use of the ship or
aircraft in international traffic "means revenues,
gross revenue and profits acquired through:
1) such use of the ship or aircraft for the transport of
passengers or goods,
2) rental on charterbasis of the ship or aircraft when
the lease is incidental to
the use of ships or aircraft in international traffic,
3) the sale of tickets or similar documents, as well as
the provision of services in connection with such use,
either for the company or for other companies, when such
the sale of tickets or similar documents, or
provision of services such has immediate link with
or is incidental to
the use of ships or aircraft in international traffic,
4) the use, maintenance or rental of containers (in that
including trailers and other equipment for the transport of
containers) used for the transport of goods or merchandise, when
the use, maintenance or rental directly related
with, or is incidental to
the use of ships or aircraft in international traffic,
5) interest on deposited funds which are directly attributable to the
the use of ships or aircraft in international traffic,
j) "competent authority" means:
1) in the Isle of Man: "the Assessor of Income Tax" or his
authorised representative,
2) in Sweden: the Minister of finance or his authorised representative
or authority to whom be entrusted to be competent
authority for the purposes of this agreement.
2. When a party applies the agreement at a particular time are considered,
unless the context gives rise to different, every expression
not defined in this agreement have the meaning the term has
at this time, according to the party's legislation in respect of
such taxes to which the agreement shall apply. The importance of the
the term has under the applicable tax laws of that party
prevail over the relevant term has under other
legislation of that party.
Article 2
Avoidance of double taxation
1. The revenue acquired through the use of the ship or
aircraft in international traffic by an enterprise of a party,
shall be taxable only in that party.
2. the provisions of paragraph 1 shall also apply to income as a
companies in a party acquires through participation in a pool, a
joint business or an international operating agency.
Article 3
Mutual agreement
1. If a person believes that a party, or both parties took
measures for him, causes or will cause
taxation contrary to the provisions of this agreement,
He, without prejudice to his right to make use of the
legal remedies in the domestic legal system, these parties
submit the matter to the competent authority of the party where the
He is a resident. The thing to be presented within three years from the
time when the person in question had knowledge of the action
given rise to taxation contrary to the provisions of
the agreement.
2. If the competent authority finds the complaint justified but
Unable to achieve a satisfactory solution,
authority search decide by mutual agreement
with the competent authority of the other party in order to
avoid taxation contrary to the agreement. Agreement
reached are implemented notwithstanding the time limits in the parties '
internal legislation.
3. the competent authorities of the Parties shall, by mutual
understanding search determine difficulty or doubt as
arise regarding the interpretation or application of the agreement.
4. the competent authorities of the parties may enter into direct
connected with each other in order to reach agreement in
the meaning of the previous paragraphs.
Article 4
Date of entry into force
1. This agreement shall enter into force on the thirtieth day following the
date of the last written notification-as
each Government should leave when the measures taken
required under their respective legislation, has been provided.
The agreement shall apply to taxes levied for fiscal years
beginning on January 1 of the year following the year after
This agreement enters into force or later.
2. Notwithstanding paragraph 1 of this article, this agreement
only applicable when the agreement between the Kingdom of Sweden and
The Isle of Man on the exchange of information in tax matters
signed on 30 October 2007.
Article 5
Termination
1. this Agreement shall remain in force until terminated by a
party. Either party may terminate the agreement by
notice to that effect at least six months before the expiry of any
calendar year. In the event of such termination, the agreement ceases to
apply in respect of tax charged for tax years beginning
on 1 January of the year immediately following the end of
the six-month period or later.
2. Notwithstanding paragraph 1 of this article, this agreement will terminate
to apply, without written notice of termination, on the date of the agreement between the
The Kingdom of Sweden and the Isle of Man for the exchange of information
in tax matters signed on 30 October 2007 ceases to
apply.
In witness whereof the undersigned, being duly
authorised, have signed this agreement.
Which took place in Oslo on 30 October 2007, in duplicate in the
English language.
For the Government of the Kingdom of Sweden
Ingemar Hansson
For the Government of the Isle of man
Allan Robert Bell
