Act (1994:1506) About The Double Taxation Treaty Between Sweden And France With Respect To Taxes On The Estate, Inheritance And Gift

Original Language Title: Lag (1994:1506) om dubbelbeskattningsavtal mellan Sverige och Frankrike beträffande skatter på kvarlåtenskap, arv och gåva

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section 1 of the agreement for the avoidance of double taxation and

Prevention of tax evasion with respect to taxes on the estate,

inheritance and gift that Sweden and France signed on 8 June

1994 shall apply as law in this country. The content of the contract evidenced by the

Annex to this law.



§ 2 in the case of application for tax relief applies to section 2 of the notice

(1967:721) on the procedure concerning remission of inheritance tax or

gift tax in double taxation.



3 § Deferment under paragraph 3 of the above-mentioned Decree may be granted under the

the following options provide the lowest amount, namely



1. tax paid or may required in France for

property under the agreement may be taxed where, or



2. the part of the Swedish tax on a pro rata

balance due for the same property.



If taxes are not paid in France and no data about how much

tax that may be payable where, defers permitted with

reasonable amount, up to an amount corresponding to the part of the

the Swedish tax on a prorate on

property which under the contract are taxable in France.



section 4 If a person believes it taken any measure of

He has led or will result in taxation

contrary to the provisions of the agreement, he can apply for redress

with the Government under article 14, paragraph 1, of the agreement.



Transitional provisions



1994:1506



1. this law shall enter into force on the day the Government determines.



2. By the Act repeals Decree (1967:724) on the application of

agreement on 24 december 1936 between Sweden and France for

avoidance of double taxation and the establishment of provisions

regarding assistance in relation to inheritance tax. Law (1995:546).



Annex



AGREEMENT BETWEEN THE GOVERNMENT OF THE KINGDOM OF SWEDEN AND THE REPUBLIC OF

THE GOVERNMENT OF THE FRENCH REPUBLIC FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF

FISCAL EVASION WITH RESPECT TO TAXES ON THE ESTATE, INHERITANCE AND GIFT



The Government of the Kingdom of Sweden and the Government of the French Republic,

Desiring to conclude an agreement in order to avoid dubbebeskattning

and the prevention of fiscal evasion with respect to taxes on the estate,

inheritance and gift, come have agreed the following provisions:



ARTICLE 1



ESTATE, INHERITANCE AND GIFTS THAT ARE COVERED BY THE AGREEMENT



This agreement shall apply:



(a)) on the estate and inheritance by persons who at the time of his/her death had

resident in one Contracting State or in both Contracting

States, and



b) on gifts from people who, at the time the gift was habitually resident

of a Contracting State or in both Contracting States.



ARTICLE 2



TAXES COVERED BY THE AGREEMENT



1. this Agreement shall apply to taxes on the estate, inheritance and gift

in respect of a Contracting State or its regional

authorities, irrespective of the manner in which taxes

be taken out.



2. With taxes on the estate and inheritance taxes, of course, on

because of deaths accrue in the form of tax on estate, inheritance,

transfer or gift of mortality. With taxes on

gift of course taxes imposed on transfers between the living

persons, but only on the condition that those taxes

withdrawn due to transfer occurs in whole or in part without

consideration.



3. The currently outgoing taxes, on which the agreement shall apply,

is



(a) ") for Sweden: the inheritance tax and gift tax;



b) in the case of France: levies on inheritances and gifts.



4. the agreement also apply to taxes for the same or essentially

Similarly, after the signing of the agreement accrue at

addition to or in place of the currently outgoing taxes.

The competent authorities of the Contracting States shall

notify each other of the essential changes taken in the respective

tax legislation.



ARTICLE 3



GENERAL DEFINITIONS



1. Unless the context gives rise to different, have in the application of

This agreement the following expressions the following meaning:



(a)) 1) ' Sweden ' refers to the Kingdom of Sweden and the includes

Sweden's territory, these territorial waters as well as the other

areas over which Sweden in accordance with international

the right exercise sovereign rights with respect to the exploration and

exploitation of natural resources on the seabed, in its surfaces

and above this existing water resources;



2) "France" refers to the Republic of France's European Department

and ministries on the other side of the sea, including its

territorial waters as well as the other areas of France in

conformity with international law exercises sovereign rights

with respect to the exploration and exploitation of natural resources

on the seabed, in its surface and above the existing

water resources;



b) "property included in the estate or gift from a

resident of a Contracting State "includes all

assets whose transfer or transfer is subject to a

taxes covered by this agreement, and which is paid according to the law

in a Contracting State;



c) "competent authority" refers to:



1) in Sweden: befullmäktige Finansministerna, his representative or the

authority for the uppdragtis to be the competent authority in

the application of the agreement;



2) in France: Minister in charge of the budget or his authorized

accredited representative.



2. Where a Contracting State applies, unless the contract is considered

context gives rise to different, each expression that is not defined

in the agreement have the same meaning as the expression has, according to the State's

legislation in respect of such taxes to which the agreement applies.

The meaning of an expression according to the fiscal legislation of the State shall

take precedence over any other meaning as that expression has in

other legislation of that State.



ARTICLE 4



BENEFICIAL OWNER



1. for the purposes of this agreement reference to the expression "any person with

resident in one Contracting State "person who under the law

habitual residence in that State in which in respect of the taxes

covered by the agreement. The term includes, however, not the person whose

kvalåtenskap or gift is taxable in that State only in so far as

refers to where the located property.



2. where by reason of the provisions of paragraph 1 an individual is

a resident of both Contracting States, is determined his residence on

the following ways:



a) He shall be deemed to have established in the State where he has a home that

permanently available to him; If he has such a dwelling

in both States, he shall be deemed to be a resident of the State with which his

personal and economic relations are the strongest (Centre for

life interests);



(b)) if it cannot be settled in the State he has the Centre of its

living or if he's not in either State has a home

permanently at his disposal, he is deemed to be a resident

in the State where he usually resides.



(c)) if he usually resides in both States, or if he does not

reside permanently in any of them, he is considered to be resident in the

State of which he is a national;



d) if he is a national of both States, or if he is not a national

in one of them, the competent authorities of the Contracting

States the question by mutual agreement.



3. where by reason of the provisions of paragraph 1 a person other is physical

person is a resident of both Contracting States, the person is deemed to

be a resident of the State in which its place of effective management.



ARTICLE 5



IMMOVABLE PROPERTY



1. Immovable property included in the estate or gift from

resident of a Contracting State which is situated in

the other Contracting State, may be taxed in that other State.



2. The term "immovable property" has the meaning the term has

According to the legislation of the Contracting State in which the property is

located, however, that the debt for which the real property, mortgages

or otherwise securing, never be regarded as immovable property.

The expression inebegriper however always assets forming accessories

immovable property, buildings, the living and the dead furniture in agriculture

and forestry, rights to which the provisions of private law

If real property is applicable, tenancies of immovable property

as well as the right of changing or fixed remuneration for the use

of, or the right to use mineral resource, source or other

natural resource. Ships, boats and aircraft is not considered to be fixed

property.



3. The term "immovable property" includes shares, units or

other rights in a company or legal entity whose assets,

directly or through one or more other companies or legal

people mainly consists of immovable property situated in a

Contracting State or rights pertaining to such

property. In such a case, the shares, units or

rights are deemed to be located in the State in which the property

is located.



4. paragraph 1 shall also apply to immovable property

belonging to the company and on immovable property used for the exercise

by profession or other independent operations.



ARTICLE 6



PERSONAL PROPERTY ABANDONED IN PERMANENT ESTABLISHMENT OR PERTAINS TO

PERMANENT DEVICE



1. With the exception of such property as set out in article 7, get loose

property which belongs to a company and is part of the estate

After or gift from a resident of a Contracting

State and forming part of the business assets of a permanent

establishment situated in the other Contracting State, be taxed in that

other State.



2. for the purposes of this agreement reference to the expression "fixed

establishment means a fixed place of business from

What a business is wholly or partly carried on




3. The term "permanent establishment" includes especially:



a) place for business management;

b) branch;

c) Office;

d) facility;

e) workshop; and

f) mine, an oil or gas well, a quarry or any other place of

the extraction of natural resources.



4. Place for building, construction, or installation activities

constitutes a permanent establishment only if the operation lasts more than twelve

months.



5. Notwithstanding the preceding provisions of this article shall be deemed to

the term "permanent establishment" shall not include:



(a)) the use of facilities solely for storage, exhibition

or disclosure of the company belonging to goods;



(b) holding of a company belonging to) stock in trade solely

for storage, exhibition, or disclosure;



(c) holding of a company belonging to) stock in trade solely

for working or processing by other company merchandise;



d) holding of fixed place of business

exclusively for the purchase of goods or obtaining information

for the company;



e) holding of fixed place of business

exclusively for the company engage in other activities

is preparatory or auxiliary nature;



f) holding of a fixed place of business

exclusively for combining activities listed in (a))-e)

above, provided by all the activities

from the habitual place of business because

This combination is of a preparatory or auxiliary character.



6. Movable property that is included in the estate after or as a gift

from the resident of a Contracting State and which are used

in the exercise of the profession or other independent activity

as well as being attributable to permanent device located in the

other Contracting State, may be taxed in that other State.



ARTICLE 7



SHIPS AND AIRCRAFT



1. Ships and aircraft in international traffic by

an enterprise that has its place of effective management in a Contracting

State, as well as movable property which are attributable to the use of

such ships or aircraft, and included in the estate

After or gift from a resident of the other

a Contracting State may be taxed in that State.



2. The term "international traffic" refers to the transport of

ship or aircraft that is used by companies who have their real

management in a Contracting State, except when the ship or

the aircraft are used exclusively between places in the other

Contracting State.



ARTICLE 8



MOVABLE TANGIBLE PROPERTY



Movable tangible (biens mobiliers corporels) not discussed in

articles 6 and 7 and which is included in the estate after

or gift from a resident of a Contracting State

may, if the property is situated in the other Contracting

the State, be taxed in that other State.



ARTICLE 9



OTHER PROPERTY



Property that is not mentioned in articles 5, 6, 7 and 8 and included

in the estate or gift from a resident

in a Contracting State are taxable, regardless of where that property is

situated, only in that State.



ARTICLE 10



DEDUCTION OF LIABILITIES



1. Liabilities incurred in connection with the acquisition, construction,

remodeling, improvement, repair or maintenance of such

property referred to in article 5, shall be deducted from the value of this

property.



2. Except where the provisions of paragraph 1 shall give rise to another, shall

liabilities, which are attributable to such permanent establishment

referred to in article 6, paragraph 1, or to such permanent

device referred to in article 6, paragraph 6, shall be deducted from the value

of the permanent establishment resektive the Permanent

the device.



3. Liabilities related to ships and aircraft used in the

international traffic as well as to loose agendom that are attributable

to the use of such ships and aircraft, shall be drawn

of the value of such ships, aircraft and such loose

property.



4. Liabilities hänförilga to such loose material property (biens

mobiliers corporels) referred to in article 8 shall be deducted from

the value of this property.



5. Other liabilities shall be deducted from the value of such property

on which the provisions of article 9 shall apply.



6. If the debt exceeds the value of such property from which

the debt pursuant to the provisions of paragraphs 1, 2, 3 and 4 shall

drawn by in a Contracting State, the excess amount

deducted from the value of other property which may be taxed in the

This state.



7. for the purposes of applying the provisions of paragraphs 1, 2, 3, 4, 5

and 6 shall, in the event that a Contracting State according to its

internal law only taxes the part of a property

value, less the liabilities may be made only in proportion to this

part.



8. Debt surplus arising in a Contracting State after

the deduction referred to in paragraphs 5 and 6 shall be deducted from the value

of property that is taxable in the other Contracting

State.



ARTICLE 11



PUBLIC AND NON-COMMERCIAL INSTITUTIONS



1. exemption from and reduction of taxes or other

tax advantages as a Contracting State or its

regional authorities enjoy under that State's legislation

also, under the same conditions shall apply as regards

equivalent authorities of the other Contracting State.



2. Public and non-commercial institutions, which

the term may be formed or organized in a

Contracting State and carrying on religious, scientific,

artistic, cultural, educational or charitable activities

shall in the other Contracting State shall enjoy equivalent

exemptions, reductions or other tax advantages that

similar institutions established or organized in this second

State owns enjoy under its legislation concerning taxes

on inheritance and gifts.



3. The exemption, reduction of taxes or other fiscal

benefits in accordance with paragraphs 1 and 2 is given to where the

designated authorities or institutions under a Contracting

State law may not exceed the tax benefits

that these authorities or institutions shall enjoy in the territory of the other

Contracting State under this other State.



ARTICLE 12



AVOIDANCE OF DOUBLE TAXATION



Double taxation shall be avoided as follows:



1. a) of the Contracting State in which the deceased person or the dealer

domicile at the time of the gift, the dösfallet and

taxing all property included in the estate or gift

including the property which may be taxed in the other Contracting

State in accordance with the provisions of this agreement and shall from

This tax set off an amount equal to the tax paid

in the other Contracting State for property because of the same

event and according to the provisions of this agreement, may be taxed in the

This other State. Settlement amount shall not, however, in

exceed the amount of tax in the first-mentioned

Contracting State, calculated without such a settlement, charged

on the property in respect of which the deduction shall be allowed.



(b)) the part of the tax in the first-mentioned Contracting State as

mentioned in paragraph (a)) refers to:



1) if the tax on such property in the first State is calculated

After a portionell tax rate, the tax on the net value of this

property calculated in accordance with the applicable tax rate,



2) if the tax on such property in the förstnämda State is calculated

After a progressive tax scale, the tax on the net value of this

property estimated at the rate is obtained by

the tax is payable on the whole for the sake of property is taxable

According to the law of that State is compared to the net value of

the whole property.



2. Tax on property which in accordance with the provisions of articles 5, 6, 7

or 8 of this agreement, may be taxed in the Contracting State

in which the deceased at the time of death or the dealer

at the time of the gift not resident, is calculated using the

rate applicable to the whole of the property which is taxable

where under the legislation of that State.



3. a) However, if the deceased or the donor has been domiciled

in the other Contracting State referred to in paragraph 1 for at least

five of the last seven years immediately preceding death and

Gift occasion and at this time is a national of that other

State but not both Contracting States may, by way of

the provisions of article 9, the other State in accordance with its

internal legislation to tax such property, provided

in article 9. In such cases, however, the other State grant

a deduction from that tax an amount equal to the tax

paid in the first-mentioned Contracting State as set in

paragraph 1 to such property, in which case the provisions of paragraph 1

apply as if the deceased and the dealer had his habitual residence

in that other State.



b) If a period longer than the period of seven years as mentioned in

paragraph (a)) was agreed between France and the Member State in

EC or a State which is a member of the Nordic Council after this

agreements have been signed, the competent authorities shall consult

to change the period of this agreement.



ARTICLE 13



TIME LIMIT



Request for a tax credit or refund of tax shall be made

within five years from the date of the event giving rise to

the tax liability or within two years from the last date of electro-

taxes are due, if the latter time occurs

later.



ARTICLE 14



THE PROCEDURE FOR THE MUTUAL AGREEMENT



1. If a person believes that a Contracting State or both

Contracting States took measures to him causes

or will result in taxation contrary to the provisions


in this agreement, he may, without prejudice to his right to

make use of the remedies available in those States ' internal

legal order, submit the matter to the competent authority in

either State. The matter shall be presented within three years from the time

When the person in question had knowledge of the action that gave 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, the

authority to resolve the matter by mutual agreement with the

the competent authority of the other Contracting State in

purpose of avoiding taxation contrary to the provisions of

the agreement. Agreement is carried out without prejudice

time limits in the domestic law of the Contracting States.



3. the competent authorities of the Contracting States shall

by mutual agreement, seek to determine or

doubts arising concerning the interpretation or application

of the agreement. They can also consult in order to eliminate

double taxation in cases not covered by the agreement.



4. the competent authorities of the Contracting States may

enter into direct relations with each other in order to meet

agreement in the cases specified in the preceding paragraphs. If

oral deliberations considered to facilitate an agreement,

such consultations shall take place within a Commission consisting of

representatives of the competent authorities of the Contracting

States.



5. the competent authorities of the Contracting States may

together or individually, provide and

föreksriva form to be used, to the extent

necessary or appropriate for carrying out the provisions of this

agreements.



ARTICLE 15



EXCHANGE OF INFORMATION



1. the competent authorities of the Contracting States shall

Exchange such information as is necessary to implement the

the provisions of this agreement or of the Contracting State

internal legislation concerning taxes covered by the agreement,

insofar as the taxation thereunder is not contrary

against the agreement. Exchange of information is not restricted by article 1.

Information received as a Contracting State shall be treated

such as secret in the same manner as information obtained

According to the internal law of that State and shall be disclosed

only to persons or authorities (including courts therein

and management bodies) as faställer, or collect

the taxes covered by the agreement or deal with prosecution or

complaints in respect of those taxes. Such persons or authorities

shall use the information only for such purposes. They get

disclose the information in public court proceedings or in

Court decisions.



2. the provisions of paragraph 1 shall be considered under no circumstances entail

the obligation of a Contracting State that:



a) take administrative measures derogating from the legislation

or administrative practices in force in that State or that

Contracting State;



b) provide information that is not available under the legislation

or the usual administrative practice of that or of the other

Contracting State;



c) supply information which would disclose any commercial, industrial, commercial

or professional secret or of a commercial project.

procedures or information whose transmission would

contrary to General considerations of public policy.



ARTICLE 16



ASSISTANCE WITH HELPING HAND



1. At the request of the requesting State, the requested

the State, except where the provisions of paragraphs 7, 9 and 10 shall give rise

otherwise, take the necessary measures to recover the former

the State's tax requirements as if they were its own. The expression

the "tax receivables" includes each skatteblopp as well as the interest rate,

fines or penalties and costs of collection incurred

Subsequently, and which are past due and not yet paid.



2. the provisions of paragraph 1 apply only to such asset

in respect of which there is one in the requesting State a valid

the enforcement title, and, unless the competent authorities

concerned agreed otherwise, which is not disputed.



3. the obligation to provide assistance for the recovery of skattefordan

relating to the deceased person or his or her estate is limited to

estate value and the value of the estate of delägarnas shares

of the estate, depending on if recovery of the claim shall be directed

against the estate or its partners.



4. At the request of the requesting State, the requested

State shall take measures to ensure the recovery of taxes,

Although the tax claim is challenged or if no

the enforcement title even exists.



5. The request for assistance shall be accompanied by:



a) a declaration which States that tax asset relates to a tax

subject to this agreement and, in the case where the request

referring to the recovery, that, except where the provisions of paragraph 2 shall give rise

otherwise, the tax asset is not or can be disputed,



b) an official copy of it in the requesting State valid

the enforcement title, and



(c)) the other documents needed for recovery or

security measures.



6. An enforcement title that is valid in the requesting State

shall, where appropriate and in accordance with the provisions applicable in the

the requested State as soon as possible after the request

has received approval, recognised, supplemented or replaced

with an enforcement title that is valid in the latter State.



7. With regard to time limits after which the tax asset not

can be enforced should the requesting State shall apply.

The request for assistance shall contain detailed

data on such a period.



8. The recovery measures taken by the requested State, after

request for assistance and who, under the law of

This State will defer or interrupt the period referred to in paragraph

7, shall also have this effect in the application of the law of

the requesting State. The requested State shall facilitate the

requesting State, in the event that such measures are taken.



9. Under no circumstances is the requested State is obliged to

approve an assistance request made more than 15 years

After the date of the original PDP enforcement title is dated.



10. Tax asset for which recovery assistance is provided

do not enjoy in the requested State any special preferential rights

due to that State's tax claims while at the

recovery applied the same procedure applicable at the

the collection of its own tax claims.



11. the requested State may grant deferred payment or

admit that this occurs by instalments, where this is allowed

under similar circumstances in accordance with legislation or

administrative practice of the requested State, but shall first

inform the requesting State.



ARTICLE 17



DIPLOMATIC REPRESENTATIVES AND CONSULAR OFFICIALS



The provisions of this Agreement shall not affect the privileges at the

taxation which, according to the General rules of international law or

bestämmselser in special agreements apply diplomatic

representatives or consular officials.



ARTICLE 18



DATE of ENTRY INTO FORCE



1. the Contracting States shall notify each other when they

measures needed to this Agreement shall enter into

force. The agreement shall enter into force on the first day of the second

month following the last of these notifications.



2. The provisions of this Agreement shall apply for the first time in respect of the

Heritage after the person dies on the day of entry into force of the agreement

or thereafter and beträffaned gift which is given on the day on which the contract

enters into force or thereafter.



3. The provisions of the agreement on 24 december 1936 between Sweden

and France for the avoidance of double taxation and the establishment

the provisions relating to assistance in respect of inheritance tax

as well as the provisions of the Protocol signed at Paris on 1 July

in 1963, shall cease to have effect from the date on which the corresponding

provisions of this agreement will be applicable for the first time.



ARTICLE 19



TERMINATION



This agreement will remain in effect until the termination of either

Contracting State. Each Contracting State may, at the

terminate the agreement through diplomatic channels after it has been in force

for at least five years if the notification to this effect has been made with at least six

months ' notice. In the event of such termination, the agreement will terminate

at the end of the period specified in the notice

However, that agreement shall continue to apply beträffaned heritage

After the person dies before the expiration of the above stated

time space and the gift that is given before the expiry of the above

the specified time span.



In witness whereof the undersigned, being duly

authorization, have signed this agreement.



That took place in Stockholm on 8 June 1994 in duplicate in French

the language.



For The Kingdom Of

Sweden's Government



Bo Lundgren



For The Republic Of

The Government of the French Republic



J. Timsit

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