S.I. No. 26/1977 - Double Taxation Relief (Sea Or Air Transport) (Spain) Order, 1977.

1. This Agreement shall be ratified and the instruments of ratification shall be exchanged at Dublin as soon as possible.

2. The Agreement shall enter into force on the day of the exchange of instruments of ratification and thereupon its provisions shall have effect in respect of income and profits derived on or after the 1st January, 1969.

Article

4.

The Agreement shall continue in force indefinitely but may be terminated by either Contracting Party by notice in writing addressed to the other Contracting Party, provided that such notice of termination shall have effect only in respect of income and profits derived after a period of at least six months from the date of such notice.

IN WITNESS WHEREOF the undersigned, duly authorised thereto by their respective Governments, have signed this Agreement.

DONE at Madrid this 25th day of February 1975, in duplicate, in the English and Spanish languages, both texts being equally authoritative.

For the Government of Ireland,

C. V. WHELAN.

For the Government of Spain,

P. CORTINA.

GIVEN under the Official Seal of the Government, this 1st day of February, 1977.

LIAM MAC COSGAIR,

Taoiseach.

EXPLANATORY NOTE.

The purpose of this Order is to give the force of law in Ireland to the Agreement dated 25th February, 1975, between Ireland and Spain for the purpose of avoiding double taxation of income derived from the business of sea or air transport.

3. Interest and dividends paid out of such income as is referred to in paragraph 1 of this Article shall be exempt in Ireland except if the interest or dividends are paid to a person resident in Ireland for the purposes of Irish tax.

4. Interest and dividends paid out of such income as is referred to in paragraph 2 of this Article shall be exempt in Spain except if the interest or dividends are paid to a person resident in Spain for the purposes of Spanish tax.

5. Earnings of personal work derived by the members of the board of administration of a Spanish enterprise in connection with the operation of such business as is referred to in paragraph 1 of this Article, shall be exempt from tax in Ireland, except if those earnings are paid to a person resident in Ireland for the purposes of Irish tax.

6. Earnings of personal work derived by the members of the board of administration of an Irish enterprise in connection with the operation of such business as is referred to in paragraph 2 of this Article, shall be exempt from tax in Spain, except if those earnings are paid to a person resident in Spain for the purposes of Spanish tax.

Article

3.

S.I. No. 26 of 1977.

DOUBLE TAXATION RELIEF (SEA OR AIR TRANSPORT) (SPAIN) ORDER, 1977.

WHEREAS it is enacted by

section 362

of the

Income Tax Act, 1967

(No. 6 of 1967), that the Government may by order confirm and give the force of law to an arrangement entered into by the Government with the government of a foreign state with a view to affording relief from double taxation in cases where income derived from the business of sea or air transport is chargeable both in the State and in the foreign state to income tax, or to any tax corresponding to income tax, or to any other tax on profits

AND WHEREAS it is further enacted by section 362 (4) of that Act that where an order is proposed to be made under that section, a draft thereof shall be laid before Dáil Éireann and the order shall not be made until a resolution approving of the draft has been passed by Dáil Éireann.

AND WHEREAS a draft of this Order has been laid before Dáil Éireann and a resolution approving of the draft has been passed by Dáil Éireann

NOW, the Government, in exercise of the powers conferred on them by

section 362

of the

Income Tax Act, 1967

(No. 6 of 1967), hereby order as follows