DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH MALAYSIA ORDER

DOUBLE TAXATION RELIEF ON TAXES ON INCOME

WITH MALAYSIA

SUBSIDIARY LEGISLATION 123.66

DOUBLE TAXATION RELIEF ON TAXES ON

INCOME WITH MALAYSIA ORDER

1st September, 2000

LEGAL NOTICE 281 of 2002.

The title of this order is the Double Taxation Relief on

Taxes on Income with Malaysia Order.

CONVENTION BETWEEN MALTA AND MALAYSIA

FOR THE AVOIDANCE OF DOUBLE TAXATION

Malta and Malaysia, desiring to conclude an Agreement for the Avoidance

of Double Taxation, have agreed as follows

Article 1

Personal Scope

This Agreement shall apply to persons who are residents of one or both of

the Contracting States.

Article 2

Taxes Covered

(1) This Agreement shall apply to taxes on income imposed by a Contracting

State, irrespective of the manner in which they are levied.

(2)

The taxes which are the subject of this Agreement are

(a) in Malaysia

(i) the income tax;

(ii) the supplementary income tax, that is, the development tax; and

(iii) the petroleum income tax;

(hereinafter referred to as "Malaysian tax').

(b) in Malta,

the income tax;

(hereinafter referred to as "Malta tax").

(3) Notwithstanding the other provisions of this Article this Agreement shall not

apply to tax paid or payable in Malta at the rate provided for in subsection (13) of

section 56 of the Income Tax Act.

(4) The Agreement shall also apply to any identical or substantially similar

taxes on income which are imposed after the date of signature of this Agreement in

addition to, or in place of, the existing taxes. The competent authorities of the

Contracting State shall notify each other of important changes which have been

made in their respective taxation laws.

Article 3

General Definitions

(1)

In this Agreement, unless the context otherwise requires

(a) the term "Malaysia" means the territories of the Federation of Malaysia,

the territorial waters of Malaysia and the sea-bed and subsoil of the

territorial waters, and includes any area extending beyond the limits of

the territorial waters of Malaysia, and the sea-bed and subsoil of any

such area, which has been or may hereafter be designated under the laws

of Malaysia and in accordance with international law as an area over

which Malaysia has sovereign rights for the purposes of exploring and

exploiting the natural resources, whether living or non-living;

(b) the term "Malta", when used in a geographical sense, means the Island

of Malta, the Island of Gozo and the other islands of the Maltese

archipelago, including the territorial waters thereof, and any area

outside the territorial sea of Malta which, in accordance with

international law, has been or may hereafter be designated, under the

law of Malta concerning the Continental Shelf, as an area within which

the rights of Malta with respect to the sea-bed and sub-soil and their

natural resources may be exercised;

(c) the terms "a Contracting State" and "the other Contracting State" mean

Malaysia or Malta as the context requires;

(d) the term "person" includes an individual, a company and any other body

of persons which is treated as a person for tax purposes;

(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 "tax" means Malaysian tax or Malta tax, as the context

requires;

(h) the term "national" means

(i)

any individual possessing the citizenship of a Contracting State;

(ii)

any legal person, partnership, association and any other entity

deriving its status as such from the laws in force in a Contracting

State;

(i)

the term "international traffic" means any transport by a ship or aircraft

operated by an enterprise of a Contracting State, except when the ship

or aircraft is operated solely between places in the other Contracting

State;

(j)

the term "competent authority" means

(i)

in the case of Malaysia, the Minister of Finance or his authorised

representative; and

(ii)

in the case of Malta, the Minister responsible for finance or his

authorised representative.

(2) In the application of this Agreement by a Contracting State, any term not

defined therein shall, unless the context otherwise requires, have the meaning which

it has under the laws of that State concerning the taxes to which this Agreement

Article 4

Resident

(1) For the purposes of this Agreement, the term "resident of a Contracting

State" means

(a) in the case of Malaysia, a person who is resident in Malaysia for the

purposes of Malaysian tax; and

(b) in the case of Malta, a person who is resident in Malta for the purposes

of Malta tax.

(2) Where by reason of the provisions of paragraph 1 an individual is a resident

of both Contracting States, then his status shall be determined in accordance with the

following rules

DOUBLE TAXATION RELIEF ON TAXES ON INCOME

WITH MALAYSIA

(a) he shall be deemed to be a resident solely of the State in which he has a

permanent home available to him. If he has a permanent home available

to him in both States, he shall be deemed to be a resident solely of the

State with which his personal and economic relations are closer (centre

of vital interests);

(b) if the State in which he has his centre of vital interests cannot be

determined, or if he has not a permanent home available to him in either

State, he shall be deemed to be a resident solely of the State in which he

has an habitual abode;

(c) if he has an habitual abode in both States or in neither of them, he shall

be deemed to be a resident solely of the State of which he is a national;

(d) if he is a national of both States or of neither of them, the competent

authorities of the Contracting States shall settle the question by mutual

agreement.

(3) Where by reason of the provisions of paragraph 1, a person other than an

individual is a resident of both Contracting States, then it shall be deemed to be a

resident solely of the State in which its place of effective management is situated.

Article 5

Permanent Establishment

(1) For the purposes of this Agreement, the term "permanent establishment"

means a fixed place of business through which the business of an enterprise is

wholly or partly carried on.

(2)

The term "permanent establishment" shall include especially

(a) a place of management;

(b) a branch;

(c) an office;

(d) a factory;

(e) a workshop;

(f)

a mine, an oil or gas well (including an offshore drilling site), a quarry

or any other place of extraction of natural resources including timber or

other forest produce;

(g) a farm or plantation;

(h) a building site or construction, installation or assembly project which

exists for more than 12 months.

(3) Notwithstanding the preceding provisions of this Article, the term

"permanent establishment" shall be deemed not to include

(a) the use of facilities solely for the purpose of storage, display or delivery

of goods or merchandise belonging to the enterprise;

(b) the maintenance of a stock of goods or merchandise belonging to the

enterprise solely for the purpose of storage, display or delivery;

(c) the maintenance of a stock of goods or merchandise belonging to the

enterprise solely for the purpose of processing by another enterprise;

(d) the maintenance of a fixed place of business solely for the purpose of

purchasing goods or merchandise or for collecting information, for the

enterprise;

(e) the maintenance of a fixed place of business solely for the purpose of

carrying on, for the enterprise, any other activity of a preparatory or

auxiliary character.

(4) An enterprise of a Contracting State shall be deemed to have a permanent

establishment in the other Contracting State if

(a) it carries on supervisory activities in that other State for more than 12

months in connection with a construction, installation or assembly

project which is being undertaken in that other State; or

(b) substantial equipment is in that other State being used or installed by,

for or under contract with, the enterprise.

(5) A person (other than a broker, general commission agent or any other agent

of an independent status to whom paragraph 6 applies) acting in a Contracting State

on behalf of an enterprise of the other Contracting State shall be deemed to be a

permanent establishment in the first-mentioned State, if

(a) he has, and habitually exercises in the first-mentioned State, an

authority to conclude contracts in the name of the enterprise, unless his

activities are limited to the purchase of goods or merchandise for the

enterprise; or

(b) he maintains in the first-mentioned State a stock of goods or

merchandise belonging to the enterprise from which he regularly fills

orders on behalf of the enterprise; or

(c) he manufactures or processes in the first-mentioned State for the

enterprise goods or merchandise belonging to the enterprise.

(6) An enterprise of a Contracting State shall not be deemed to have a

permanent establishment in the other Contracting State merely because it carries on

business in that other State through a broker, general commission agent or any other

agent of an independent status, where such persons are acting in the ordinary course

of their business.

However, when the activities of such an agent are devoted wholly or almost

wholly on behalf of that enterprise, he shall not be considered as agent of an

independent status if the transactions between the agent and the enterprise were not

made under arm’s length conditions.

(7) The fact that a company which is a resident of a Contracting State controls

or is controlled by a company which is a resident of the other Contracting State, or

which carries on business in that other State (whether through a permanent

establishment or otherwise), shall not of itself constitute either company a

permanent establishment of the other.

Article 6

Income from Immovable Property

(1) Income derived by a resident of a Contracting State from immovable

property situated in the other Contracting State may be taxed in that other State.

(2) For the purposes of this Agreement, the term "immovable property" shall be

defined in accordance with the laws of the Contracting State in which the property in

question is situated. The term shall in any case include property accessory to

immovable property, livestock and equipment used in agriculture and forestry, rights

to which the provisions of general law respecting landed property apply, usufruct of

immovable property and rights to variable or fixed payments as consideration for the

working of, or the right to work, mineral deposits, oil or gas wells (including an

offshore drilling site), quarries and other places of extraction of natural resources

including timber or other forest produce. Ships, boats and aircraft shall not be

regarded as immovable property.

(3) The provisions of paragraph 1 shall apply to income derived from the direct

use, letting, or use in any other form of immovable property.

(4) The provisions of paragraphs 1 and 3 shall also apply to the income from

immovable property of an enterprise and to income from immovable property used

for the performance of independent personal services.

Article 7

Business Profits

(1) The profits of an enterprise of a Contracting State shall be taxable only in

that State unless the enterprise carries on business in the other Contracting State

through a permanent establishment situated therein. If the enterprise carries on

business as aforesaid, the profits of the enterprise may be taxed in the other State but

only on so much thereof as is 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 Contracting State through a

permanent establishment situated therein, there shall in each Contracting State be

attributed to that permanent establishment the profits which it might be expected to

make if it were a distinct and separate enterprise engaged in the same or similar

activities under the same or similar conditions and dealing wholly independently

with the enterprise of which it is a permanent establishment.

(3) In determining the profits of a permanent establishment, there shall be

allowed as deductions expenses including executive and general administrative

expenses, which would be deductible if the permanent establishment were an

independent enterprise, insofar as they are reasonably allocable to the permanent

establishment, whether incurred in the State in which the permanent establishment is

situated or elsewhere.

(4) If the information available to the competent authority is inadequate to

determine the profits to be attributed to the permanent establishment of an

enterprise, nothing in this Article shall affect the application of any law of that State

relating to the determination of the tax liability of a person by the exercise of a

discretion or the making of an estimate by the competent authority, provided that the

law shall be applied, so far as the information available to the competent authority

permits, in accordance with the principle of this Article.

(5) No profits shall be attributed to a permanent establishment by reason of the

mere purchase by that permanent establishment of goods or merchandise for the

enterprise.

(6) For the purposes of the preceding paragraphs, the profits to be attributed to

the permanent establishment shall be determined by the same method year by year

unless there is good and sufficient reason to the contrary.

(7) Where profits include items of income which are dealt with separately in

other Articles of this Agreement, then the provisions of those Articles shall not be

affected by the provisions of this Article.

Article 8

Shipping and Air Transport

(1)

Profits derived by an enterprise of a Contracting State from the operation of

ships or aircraft in international traffic shall be taxable only in that State.

(2) Paragraph 1 shall also apply to the share of the profits from the operation of

ships or aircraft derived by a resident of a Contracting State through participation in

a pool, a joint business or an international operating agency.

(3) Notwithstanding the other provisions of this Article, profits from the

operation of a ship in international traffic derived by a company which is a resident

of Malta having more than 25 per cent of its capital owned, directly or indirectly, by

persons not residents of Malta, may be taxed in Malaysia unless the company proves

that the profits derived from the operation of such ship are subject to Malta tax

without regard to any relief therefrom as provided for in section 86 of the Merchant

Shipping Act (Cap. 234) or in any identical or similar provision.

Article 9

Associated Enterprises

Where -

(a) an enterprise of a Contracting State participates directly or indirectly in

the management, control or capital of an enterprise of the other

Contracting State, or

(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 in either case conditions are made or imposed between the two enterprises in

their commercial or financial relations which differ from those which would be made

between independent enterprises, then any profits which would, but for those

conditions, have accrued to one of the enterprises, but, by reason of those conditions,

have not so accrued, 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) Dividends paid by a company which is a resident of Malaysia to a resident of

Malta who is the beneficial owner thereof shall be exempt from any tax in Malaysia

which is chargeable on dividends in addition to the tax chargeable in respect of the

income of the company. Nothing in this paragraph shall affect the provisions of the

Malaysian law under which the tax in respect of a dividend paid by a company which

is a resident of Malaysia from which Malaysian tax has been, or has deemed to be,

deducted may be adjusted by reference to the rate of tax appropriate to the Malaysian

year of assessment immediately following that in which the dividend was paid.

(3)

(a) Dividends paid by a company which is a resident of Malta to a resident

of Malaysia who is the beneficial owner thereof may be subjected to

Malta tax on the gross amount of such dividends, but the tax so charged

shall not exceed that chargeable on the profits out of which the

dividends are paid.

(b) Where such dividends are paid out of profits of a company which are

subject to tax at a reduced rate of tax under special provisions designed

to promote investments necessary for the economic development of

Malta, the rate of Malta tax on the dividends shall not exceed such

reduced rate.

(4) The term ''dividends'' as used in this Article means income from shares or

other rights, not being debt-claims, participating in profits, as well as income from

other corporate rights which is subjected to the same taxation treatment as income

from shares by the laws of the State of which the company making the distribution is

a resident.

(5) The provisions of paragraphs 1, 2 and 3 shall not apply if the beneficial

owner of the dividends, being a resident of a Contracting State, carries on business

in the other Contracting State, of which the company paying the dividends is a

resident, through a permanent establishment situated therein, and the holding in

respect of which the dividends are paid is effectively connected with such permanent

establishment. In such case, the provisions of Article 7 shall apply.

(6) Where a company which is a resident of a Contracting State derives income

or profits from the other Contracting State, that other State may not impose any tax

on the dividends paid by the company to persons who are not residents of that other

State, or subject the company’s undistributed profits to a tax on undistributed profits,

even if the dividends paid or the undistributed profits consist wholly or partly of

income or profits arising in that other State.

Article 11

Interest

(1) Interest arising in a Contracting State and paid to a resident of the other

Contracting State may be taxed in that other State.

(2) However, such interest may be taxed in the Contracting State in which it

arises, and according to the laws of that State, but if the recipient is the beneficial

owner of the interest, the tax so charged shall not exceed 15 per cent of the gross

amount of the interest.

(3) Notwithstanding the provisions of paragraph 2, interest to which a resident

of Malta is beneficially entitled shall be exempt from Malaysian tax if the loan or

other indebtedness in respect of which the interest is paid is an approved loan as

defined in section 2(1) of the Income Tax Act, 1967 of Malaysia (as amended).

(4) Notwithstanding the provisions of paragraphs 2 and 3, the Government of a

Contracting State shall be exempt from tax in the other Contracting State in respect

of interest derived by the Government from that other State.

(5)

For the purposes of paragraph 4, the term "Government'

(a) in the case of Malaysia means the Government of Malaysia and shall

include

(i)

the government of the States;

(ii)

the local authorities;

(iii)

the statutory bodies;

(iv)

the Bank Negara Malaysia;

(v)

such institutions, the capital of which is wholly owned by the

Government of Malaysia or the governments of the States, or the

local authorities or the statutory bodies thereof, as may be agreed

upon from time to time between the competent authorities of the

Contracting States;

(b) in the case of Malta means the Government of Malta and shall include

(i)

the Central Bank of Malta;

(ii)

the Malta Development Corporation;

(iii) the statutory bodies;

(iv) such institutions, the capital of which is wholly owned by the

Government of Malta, as may be agreed upon from time to time

between the competent authorities of the Contracting States.

(6) The term "interest' as used in this Article means income from debt-claims of

every kind, whether or not secured by mortgage, and whether or not carrying a right

to participate in the debtor's profits, and in particular, income from government

securities and income from bonds or debentures.

(7) The provisions of paragraphs 1, 2 and 3 shall not apply if the beneficial

owner of the interest, being a resident of a Contracting state, carries on business in

the other Contracting State in which the interest arises, through a permanent

establishment situated therein and the debt-claim in respect of which the interest is

paid is effectively connected with such permanent establishment. In such a case, the

provisions of Article 7 shall apply.

(8) Interest shall be deemed to arise in a Contracting State when the payer is

that State itself, a political subdivision, a local authority or a statutory body thereof,

or a resident of that State. Where, however, the person paying the interest, whether

he is a resident of a Contracting State or not, has in a Contracting State a permanent

establishment in connection with which the indebtedness on which the interest is

paid was incurred, and such interest is borne by such permanent establishment, then

such interest shall be deemed to arise in the State in which the permanent

establishment is situated.

(9) Where, by reason of a special relationship between the payer and the

beneficial owner or between both of them and some other person, the amount of the

interest paid, having regard to the debt-claim for which it is paid, exceeds the

amount which would have been agreed upon by the payer and the beneficial owner in

the absence of such relationship, the provisions of this Article shall apply only to the

last-mentioned amount. In such a case, the excess part of the payment shall remain

taxable according to the laws of each Contracting State, due regard being had to the

other provisions of this Agreement.

Article 12

Royalties

(1) Royalties arising in a Contracting State and paid to a resident of the other

Contracting State may be taxed in that other State.

(2) However such royalties may also be taxed in the Contracting State in which

they arise, and according to the laws of that State, but if the recipient is the

beneficial owner of the royalties, the tax so charged shall not exceed 15 per cent of

the gross amount of the royalties.

(3) The term "royalties' as used in this Article means payments of any kind to

the extent to which they are paid as consideration for

(a) the use of, or the right to use, any

(i)

copyright, patent, design or model, plan, secret formula or

process, trade mark, or other like property or right;

(ii) industrial, commercial or scientific equipment; or

(iii) cinematograph film or tape for radio or television broadcasting;

(b) the supply of scientific, technical, industrial or commercial knowledge

or information;

(c) the supply of any assistance that is ancillary and subsidiary to, and is

furnished as a means of enabling the application or enjoyment of, any

such property or right as is mentioned in subparagraph (a)(i), any such

equipment as is mentioned in subparagraph (a)(ii), or any such

knowledge or information as is mentioned in subparagraph (b).

(4) The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner

of the royalties, being a resident of a Contracting State, carries on business in the

other Contracting State in which the royalties arise through a permanent

establishment situated therein and the right or property in respect of which the

royalties are paid is effectively connected with such permanent establishment. In

such a case, the provisions of Article 7 shall apply.

(5) Royalties shall be deemed to arise in a Contracting State when the payer is

that State itself, a political subdivision, a local authority or a statutory body thereof,

or a resident of that State. Where, however, the person paying such royalties,

whether he is a resident of a Contracting State or not, has in a Contracting State a

permanent establishment in connection with which the obligation to pay the royalties

was incurred, and such royalties are borne by such permanent establishment, then

such royalties shall be deemed to arise in the State in which the permanent

establishment is situated.

(6) Where, by reason of a special relationship between the payer and the

beneficial owner or between both of them and some other person, the amount of the

royalties paid or credited, having regard to the use, right or information for which

they are paid or credited, exceeds the amount which would have been agreed upon

by the payer and the beneficial owner in the absence of such relationship, the

provisions of this Article shall apply only to the last-mentioned amount. In such a

case, the excess part of the royalties paid or credited shall remain taxable according

to the laws of each Contracting State, due regard being had to the other provisions of

this Agreement.

Article 13

Technical fees

(1) Technical fees arising in a Contracting State which are derived by a resident

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

(2) However, such technical fees may also be taxed in the Contracting State in

which they arise, and according to the laws of that State; but if the recipient is a

beneficial owner of the technical fees, the tax so charged shall not exceed 10 per cent

of the gross amount of the technical fees.

(3) The term "technical fees" as used in this Article means payments of any kind

to any person, other than to an employee of the person making the payments, in

consideration for any services of a technical, managerial or consultancy nature.

(4) The provisions of paragraph 1 and 2 of this Article shall not apply if the

beneficial owner of the technical fees, being a resident of a Contracting State, carries

on business in the other Contracting State in which the technical fees arise through a

permanent establishment situated therein, or performs in that other State independent

personal services, and the technical fees are effectively connected with such

permanent establishment or such services. In such case, the provisions of Article 7 or

Article 15, as the case may be, shall apply.

(5) Technical fees shall be deemed to arise in a Contracting State when the

payer is that State itself, a political subdivision, a local authority or a statutory body

thereof, or a resident of that State. Where, however, the person paying the technical

fees, whether he is a resident of a Contracting State or not, has in a Contracting State

a permanent establishment in connection with which the obligation to pay the

technical fees was incurred, and such technical fees are borne by that permanent

establishment, then such technical fees shall be deemed to arise in the Contracting

State in which the permanent establishment is situated.

(6) Where, by reason of a special relationship between the payer and the

recipient or between both of them and some other person, the amount of the

technical fees paid exceeds, for whatever reason, the amount which would have been

agreed upon by the payer and the beneficial owner in the absence of such

relationship, the provisions of this Article shall apply only to the last-mentioned

amount. In such case, the excess part of the payments shall remain taxable according

to the law of each Contracting State due regard being had to the other provisions of

this Agreement.

Article 14

Alienation of property

(1) Income or gains from the alienation of immovable property, as defined in

paragraph 2 of Article 6, may be taxed in the Contracting State in which such

property is situated.

(2) Income or gains from the alienation of movable property forming part of the

business property of a permanent establishment which an enterprise of a Contracting

State has in the other Contracting State or of movable property available to a

resident of a Contracting State in the other Contracting State for the purpose of

performing professional services, including such income or gains from the alienation

of such a permanent establishment (alone or together with the whole enterprise) may

be taxed in that other State. However, income or gains from the alienation of ships or

aircraft operated by an enterprise of a Contracting State in international traffic and

movable property pertaining to the operation of such ships or aircraft shall be

taxable only in the State of which the enterprise is a resident.

(3) Income or gains from the alienation of shares of a company, the property of

which consists principally of immovable property situated in a Contracting State,

may be taxed in that State. Income or gains from the alienation of an interest in a

partnership or a trust, the property of which consists principally of immovable

property situated in a Contracting State, may be taxed in that State.

(4) Income or gains from the alienation of any property or assets, other than

those mentioned in paragraphs 1, 2 and 3 of this Article, shall be taxable only in the

Contracting State of which the alienator is a resident.

Article 15

Independent personal services

(1) Subject to the provisions of Article 13, income derived by a resident of a

Contracting State in respect of professional services or other independent activities

of a similar character shall be taxable only in that State. However, if such income is

derived from the other Contracting State it may be taxed in that other State if

(a) his stay in that other State is for a period or periods amounting to or

exceeding in the aggregate 183 days during any calendar year; or

(b) the remuneration for his services in that other State is either derived

from residents of that State or borne by a permanent establishment

which the person paying the remuneration has in that State and in either

case it exceeds the equivalent in the currency of that State of five

thousand U.S. dollars (US $5,000) during the calendar year.

(2) The term "professional services" includes, especially, independent

scientific, literary, artistic, educational or teaching activities as well as the

independent activities of physicians, lawyers, engineers, architects, dentists and

accountants.

Article 16

Dependent personal services

(1) Subject to the provisions of Articles 17, 19, 20, 21 and 22, salaries, wages

and other similar remuneration derived by a resident of a Contracting State 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 so exercised, such

remuneration as is derived therefrom 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-mentioned State if

(a) the recipient is present in the other State for a period or periods not

exceeding in the aggregate 183 days in the calendar year concerned; and

(b) the remuneration is paid by, 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 which the

employer has in the other State.

(3) Notwithstanding the preceding provisions of this Article, remuneration in

respect of an employment exercised on board a ship or aircraft operated in

international traffic by an enterprise of a Contracting State may be taxed in that

State.

Article 17

Directors’ fees

Directors’ fees and similar payments derived by a resident of a Contracting

State in his capacity as a member of the board of directors, or other comparable body

however described, of a company which is a resident of the other Contracting State

may be taxed in that other State.

Article 18

Artistes and athletes

(1) Notwithstanding the provisions of Articles 15 and 16, income derived by a

resident of a Contracting State as an entertainer, such as a theatre, motion picture,

radio or television artiste, or a musician, or as an athlete, from his personal activities

as such exercised in the other Contracting State, may be taxed in that other State.

(2) Where income in respect of personal activities exercised by an entertainer or

an athlete in his capacity as such accrues not to the entertainer or athlete himself but

to another person, that income may, notwithstanding the provisions of Articles 7, 15

and 16, be taxed in the Contracting State in which the activities of the entertainer or

athlete are exercised.

(3) The provisions of paragraphs 1 and 2 shall not apply to remuneration or

profits derived from activities exercised in a Contracting State if the visit to that

State is directly or indirectly supported wholly or substantially from the public funds

of the other Contracting State, a political subdivision, a local authority or a statutory

body thereof.

Article 19

Pensions and annuities

(1) Subject to the provisions of paragraph 2 of Article 20, any pensions and

other similar remuneration for past employment or any annuity arising in a

Contracting State and paid to a resident of the other Contracting State shall be

taxable only in that other State.

(2) Pensions and other payments made under the social security legislation of a

Contracting State shall be taxable only in that State.

(3) The term "annuity" includes a stated sum payable periodically at stated

times, during life or during a specified or ascertainable period of time, under an

obligation to make the payments in return for adequate and full consideration in

money or money's worth.

Article 20

Government service

(1)

(a) Remuneration, other than a pension, paid by a Contracting State or a

political subdivision or a local authority or a statutory body thereof to

any individual in respect of services rendered to that State or political

subdivision or a local authority or statutory body thereof 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 that State who

(i)

is a national of that State, or

(ii)

did not become a resident of that State solely for the purpose of

performing the services.

(2) Any pension paid by, or out of funds created by, a Contracting State or a

political subdivision or a local authority or a statutory body thereof to any individual

in respect of services rendered to that State or political subdivision or local authority

or a statutory body thereof shall be taxable only in that State.

(3) The provisions of Articles 16, 17 and 19 shall apply to remuneration and

pensions in respect of services rendered in connection with any trade or business

carried on by a Contracting State or a political subdivision or a local authority or a

statutory body thereof.

Article 21

Students and trainees

An individual who is a resident of a Contracting State immediately before making

a visit to the other Contracting State and is temporarily present in the other State

solely

(a) as a student at a recognised university, college, school or other similar

recognised educational institution in that other State;

(b) as a business or technical apprentice; or

(c) as a recipient of a grant, allowance or award for the primary purpose of

study, research or training from the government of either State or from a

scientific, educational, religious or charitable organisation or under a

technical assistance programme entered into by the Government of

either State,

shall be exempt from tax in that other State on

(a) all remittances from abroad for the purposes of his maintenance,

education, study, research or training;

(b) the amount of such grant, allowance or award; and

(c) any remuneration not exceeding the equivalent in the currency of that

other State of two thousand U.S. dollars (US $2,000) in respect of

services in that other State provided the services are performed in

connection with his study, research or training or are necessary for the

purposes of his maintenance.

Article 22

Teachers and researchers

(1) An individual who is a resident of a Contracting State immediately before

making a visit to the other Contracting State, and who, at the invitation of any

university, college, school or other similar educational institution, visits that other

State for a period not exceeding two years solely for the purpose of teaching or

research or both at such educational institution shall be exempt from tax in that other

State on any remuneration for such teaching or research or both.

(2) This Article shall not apply to income from research if such research is

undertaken primarily for the private benefit of a specific person or persons.

Article 23

Income not expressly mentioned

Items of income of a resident of a Contracting State which are not expressly

mentioned in the foregoing Articles of this Agreement shall be taxable only in that

Contracting State except that if such income is derived from sources in the other

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

Article 24

Elimination of double taxation

(1) Subject to the laws of Malaysia regarding the allowance as a credit against

Malaysian tax of tax payable in any country other than Malaysia, Malta tax payable

under the laws of Malta and in accordance with this Agreement by a resident of

Malaysia in respect of income derived from Malta shall be allowed as a credit

against Malaysian tax payable in respect of that income. The credit shall not,

however, exceed that part of the Malaysian tax, as computed before the credit is

given, which is appropriate to such item of income.

(2) For the purposes of paragraph 1, the term "Malta tax payable" shall be

deemed to include the amount of Malta tax which would, under the laws of Malta

and in accordance with this Agreement, have been payable on any income derived

from sources in Malta had the income not been taxed at a reduced rate or exempted

from Malta tax in accordance with

(a) the Aids to Industries Ordinance, 1959 and Industrial Development Act,

1988 in so far as they were in force on, and have not been modified

since, the date of signature of this Agreement or have been modified

only in minor respects so as not to affect their general character; or

(b) any other provisions which may subsequently be introduced in Malta in

modification of or in addition to, the existing special incentive laws so

far as they are agreed by the competent authorities of the Contracting

States to be of a substantially similar character.

(3) Subject to the laws of Malta regarding the allowance as a credit against

Malta tax of tax payable in any country other than Malta, Malaysian tax payable

under the laws of Malaysia and in accordance with this Agreement by a resident of

Malta in respect of income derived from Malaysia shall be allowed as a credit

against the Malta tax payable in respect of that income. The credit shall not,

however, exceed that part of the Malta tax, as computed before the credit is given,

which is appropriate to such item of income.

(4) For the purposes of paragraph 3, the term "Malaysian tax payable" shall be

deemed to include Malaysian tax which would, under the laws of Malaysia and in

accordance with this Agreement, have been payable on any income derived from

sources in Malaysia had the income not been taxed at a reduced rate or exempted

from Malaysian tax in accordance with

(a) the Income Tax Act, 1967 and the Promotion of Investment Act, 1986 in

so far as they were in force on, and have not been modified since, the

date of signature of this Agreement or have been modified only in minor

respects so as not to affect their general character; or

(b) any other provisions which may subsequently be introduced in Malaysia

in modification of, or in addition to, the investment incentives laws so

far as they are agreed by the competent authorities of the Contracting

States to be of a substantially similar character; and

(c) interest to which paragraph 3 of Article 11 applies had that interest not

been exempted from Malaysian tax in accordance with that paragraph.

(5) For the purposes of paragraph 3, where royalties derived by a resident of

Malta are, as film rentals, subject to cinematograph film-hire duty in Malaysia, that

duty shall be deemed to be Malaysian tax.

Article 25

Non-discrimination

(1) The nationals of a Contracting State shall not be subjected in the other

Contracting State to any taxation or any requirement connected therewith which is

other or more burdensome than the taxation and connected requirements to which

nationals of that other State in the same circumstances are or may be subjected.

(2) The taxation on a permanent establishment which an enterprise of a

Contracting State has in the other Contracting State shall not be less favourably

levied in that other State than the taxation levied on enterprises of that other State

carrying on the same activities.

(3) Enterprises of a Contracting State, the capital of which is wholly or partly

owned or controlled, directly or indirectly, by one or more residents of the other

Contracting State, shall not be subjected in the first-mentioned State to any taxation

or any requirement connected therewith which is other or more burdensome than the

taxation and connected requirements to which other similar enterprises of that first-

mentioned State are or may be subjected.

(4)

Nothing in this Article shall be construed as obliging

(a) a Contracting State to grant to individuals who are resident of the other

Contracting State any personal allowances, reliefs and reductions for

tax purposes on account of civil status, family responsibilities or any

other personal circumstances which it grants to its own residents;

(b) Malaysia to grant to nationals of Malta not resident in Malaysia those

personal allowances, reliefs and reductions for tax purposes which are

by law available on the date of signature of this Agreement only to

nationals of Malaysia who are not resident in Malaysia.

(5) In this Article, the term "taxation" means taxes to which this Agreement

applies.

Article 26

Mutual agreement procedure

(1) Where a resident of a Contracting State considers that the actions of one or

both of the Contracting States result or will result for him in taxation not in

accordance with this Agreement, he may, notwithstanding the remedies provided by

the taxation laws of those States, present his case to the competent authority of the

State of which he is a resident or, if his case comes under paragraph 1 of Article 25,

to that of the State of which he is a national. 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 this Agreement.

(2) The competent authority shall endeavour, if the objection appears to be

justified and it is not itself able to arrive at an appropriate solution, to resolve the

case by mutual agreement with the competent authority of the other Contracting

State, with a view to the avoidance of taxation which is not in accordance with this

Agreement. Any agreement reached shall be implemented notwithstanding any time

limits in the domestic law of the Contracting States.

(3) The competent authorities of the Contracting States shall endeavour to

resolve by mutual agreement any difficulties or doubts arising as to the

interpretation or application of this Agreement. They may also consult together for

the elimination of double taxation in cases not provided for in this Agreement.

(4) The competent authorities of the Contracting State may communicate with

each other directly for the purpose of reaching an agreement in the sense of the

preceding paragraphs.

Article 27

Exchange of information

(1) The competent authorities of the Contracting States shall exchange such

information as is necessary for carrying out the provisions of this Agreement for the

prevention or detection of evasion or avoidance of taxes covered by this Agreement.

Any information so exchanged shall be treated as secret and shall be disclosed only

to any persons or authorities (including a Court or reviewing authority) concerned

with the assessment, collection, enforcement or prosecution in respect of, or the

determination of appeals in relation to the taxes which are the subject of this

Agreement. Such persons or authorities shall use the information only for such

purposes. They may disclose the information in public court proceedings or in

judicial decisions.

(2) In no case shall the provisions of paragraph 1 be construed so as to impose

on a Contracting State the obligation

(a) to carry out administrative measures at variance with the laws or the

administrative practice of that or of the other State;

(b) to supply particulars which are not obtainable under the laws or in the

normal course of the administration of that or of the other State;

(c) to supply information which would disclose any trade, business,

industrial, commercial or professional secret, trade process or

information the disclosure of which would be contrary to public policy.

Article 28

Diplomatic and consular officials

Nothing in this Agreement shall affect the fiscal privileges of diplomatic or

consular officials under the general rules of international law or under the provisions

of special agreements.

Article 29

Entry into force

(1) The Governments of the Contracting States shall notify each other that the

constitutional requirements for the entry into force of this Agreement have been

complied with.

(2) The Agreement shall enter into force thirty days after the date of the latter of

the notifications referred to in paragraph 1 of this Article and its provisions shall

have effect in respect of taxes for any year of assessment beginning on or after

January 1st in the second calendar year following the year in which this Agreement

enters into force.

Article 30

Termination

This Agreement shall remain in effect indefinitely, but either Contracting

State may terminate the Agreement, through diplomatic channels, by giving to the

other Contracting State written notice of termination on or before June 30th in any

calendar year beginning after the expiration of a period of five years from the date of

its entry into force. In such an event the Agreement shall cease to have effect in

respect of taxes for the year of assessment beginning on January 1st in the second

calendar year next following the year in which the notice is given and for subsequent

years of assessment.

IN WITNESS WHEREOF the undersigned, duly authorised thereto, by their

respective Governments, have signed this Agreement.

DONE in duplicate at Kingston, Jamaica this 3rd day of October 1995, each

in Bahasa Malaysia and the English language, both texts being equally authentic.

For the Government of Malaysia

For the Government of Malta

Wong see Wah

John Dalli

Deputy Minister of Finance

Minister of Finance

PROTOCOL

(1) At the time of signing the Agreement between the Government of Malaysia

and the Government of Malta for the avoidance of Double Taxation and the

Prevention of Fiscal Evasion with respect to Taxes on Income, both Governments

have agreed that the following provisions shall form an integral part of the

Agreement

(2)

In connection with Article 7 "Business Profits"

Nothing in this Agreement shall affect the operation of any law of a

Contracting State relating to the taxation of income or profits from any insurance

business provided that if the relevant law in force in either Contracting State at the

date of signature of this Agreement is amended (otherwise than in minor respects so

as not to affect its general character) the States shall consult with each other with a

view to agreeing to any amendment of this paragraph that may be appropriate.

(3)

In connection with Article 10 "Dividends"

Under the Malta law in force, income tax paid by a company, as is referable

to that part of its profits which is distributed by way of dividends, is assimilated with

the personal income tax of the shareholder in receipt of such a dividend. In the

shareholder's hands the dividend is charged to tax gross and the relevant amount of

tax, so assimilated, is set off against the shareholder's tax liability on his income

from all sources liable to tax.

(4) In connection with paragraph 4 of Article 13 "Technical Fees' it is

understood that where paragraph 1 (a) or (b) of Article 15 is applicable, the

provisions of Article 15 shall apply.

IN WITNESS WHEREOF the undersigned, duly authorised thereto, by their

respective Governments, have signed the Protocol.

DONE in duplicate at Kingston, Jamaica this 3rd day of October 1995, each

in English and Bahasa Malaysia language, both texts being equally authentic.

For the Government of Malaysia

For the Government of Malta

Wong see Wah

John Dalli

Deputy Minister of Finance

Minister of Finance

It is hereby declared:-

(a) that the arrangements specified in the Agreement set

out in the Schedule to this Order have been made with

Malaysia with a view to affording relief from double

taxation in relation to the following taxes imposed by

the laws of Malaysia

(i)

the income tax;

(ii)

the supplementary income tax, that is, the

development tax; and

(iii) the petroleum income tax;

(b) that it is expedient that those arrangements should

have effect;

(c) that the Agreement has entered into force on the 1 st

September, 2000.

DOUBLE TAXATION RELIEF ON TAXES ON INCOME

WITH MALAYSIA

Minkejja d-disposizzjonijiet l-o]ra ta’ dan l-Artikolu, dan il-Ftehim ma

g]andux japplika g]al taxxa li tkun t]allset jew li tit]allas f’Malta bir-rata li hemm

provdut dwarha fis-subartikolu (13) ta’ l-artikolu 56 ta’ l-Att dwar it-Taxxa fuq l-

Income (Kap. 123).

Il-Ftehim g]andu japplika wkoll g]al kull taxxa fuq l-income identika jew

sostanzjalment simili li ti[i imposta wara d-data meta ji[i ffirmat dan il-Ftehim

b’\ieda ma’, jew minflok, it-taxxi e\istenti. L-awtoritajiet kompetenti ta’ l-Istat

Kontraenti g]andhom jg]arrfu lil xulxin b’kull tibdil importanti li jkun sar fil-li[ijiet

rispettivi tag]hom dwar it-taxxa.

Artikolu 3

Tifsiriet [enerali

1. F’dan il-Ftehim, kemm-il darba r-rabta tal-kliem ma tkunx te]tie[ xort’o]ra

(a) il-fra\i "Malasja" tfisser it-territorji tal-Federazzjoni tal-Malasja, l-

ib]ra territorjali tal-Malasja u qieg] il-ba]ar u s-sottoswol ta’ l-ib]ra

territorjali, u tinkludi kull area li testendi lil hinn mil-limiti ta’ l-ib]ra

territorjali tal-Malasja, u qieg] il-ba]ar u s-sottoswol ta’ kull area b]al

dik, li [ew jew li jistg]u ji[u msemmija minn issa ’l quddiem ta]t il-

li[ijiet tal-Malasja u skond id-dritt internazzjonali b]ala area li fuqha l-

Malasja g]andha drittijiet sovrani g]all-finijiet ta’ l-esplorazzjoni g]al,

u l-esplojtazzjoni tar-ri\orsi naturali, kemm dawk li jg]ixu kemm dawk

li ma jg]ixux;

(b) il-fra\i "Malta" meta u\ata f’sens [eografiku, tfisser il-G\ira ta’ Malta,

il-G\ira ta’ G]awdex u l-g\ejjer l-o]ra ta’ l-ar`ipelagu Malti inklu\i l-

ib]ra territorjali tag]hom, u kull area ’l barra mill-ba]ar territorjali ta’

Malta skond il-li[i internazzjonali li [iet jew tista’ minn issa ’l quddiem

ti[i msemmija, ta]t il-li[i ta’ Malta li tirrigwarda l-Blata Kontinentali,

b]ala area li [ewwa fiha d-drittijiet ta’ Malta g]ar-rigward ta’ qieg] il-

ba]ar u s-sottoswol u r-ri\orsi naturali tag]hom jistg]u ji[u e\er`itati;

(`) il-fra\ijiet "Stat Kontraenti" u "l-Istat Kontraenti l-ie]or" ifissru il-

Malasja jew Malta, skond ir-rabta tal-kliem;

(d) il-fra\i "persuna" tinkludi individwu, kumpannija u kull korp ta’ persuni

ttrattati b]ala persuna g]all-finijiet ta’ taxxa;

(e) il-fra\i "kumpannija" tfisser korp mag]qud jew enti li jkunu trattati

bhala korp mag]qud g]all-iskopijiet ta’ taxxa;

(f)

il-fra\i "impri\a ta’ Stat Kontraenti" u "impri\a ta’ l-Istat Kontraenti l-

ie]or" ifissru rispettivament impri\a [estita minn residentii ta’ Stat

Kontraenti u impri\a [estita minn residenti ta’ l-Istat Kontraenti l-ie]or;

(g) il-fra\i "taxxa" tfisser it-taxxa tal-Malasja jew it-taxxa ta’ Malta, skond

ir-rabta tal-kliem;

(h) il-fra\i "`ittadin" tfisser

(i)

individwu li jkollu `-`ittadinanza ta’ Stat Kontraenti;

(ii)

persuna legali, so`jetà, asso`jazzjoni u kull entità o]ra li tikseb l-

istatus tag]ha b]ala tali mil-li[ijiet li jkunu jse]]u fi Stat

Kontraenti;

(i)

il-fra\i "traffiku internazzjonali" tfisser trasport li jsir b’bastiment jew

in[enji ta’ l-ajru m]addma minn impri\a ta’ Stat Kontraenti, ]lief meta

l-bastiment jew l-in[enji ta’ l-ajru ji[u unikament im]addma bejn

postijiet fl-Istat Kontraenti l-ie]or;

(j)

il-fra\i "awtorità kompetenti" tfisser

(i)

fil-ka\ tal-Malasja, il-Ministru tal-Finanzi jew ir-rappre\entant

awtorizzat tieg]u; u

(ii)

fil-ka\ ta’ Malta, il-Ministru responsabbli g]all-finanzi jew ir-

rappre\entant awtorizzat tieg]u.

2. Fl-applikazzjoni ta’ dan il-Ftehim minn Stat Kontraenti kull fra\i li ma

tkunx imfissra fih g]andha, kemm-il darba r-rabta tal-kliem ma tkunx te]tie[

xort’o]ra, ikollha t-tifsir kif mog]ti lilha ta]t il-li[ijiet ta’ dak l-Istat g]all-finijiet

tat-taxxi li dan il-Ftehim japplika g]alihom.

Artikolu 4

Residenti

1. G]all-finijiet ta’ dan il-Ftehim, il-fra\i "residenti ta’ Stat Kontraenti"

(a) fil-ka\ tal-Malasja, persuna li tkun residenti fil-Malasja g]all-finijiet

tat-taxxa tal-Malasja; u

(b) fil-ka\ ta’ Malta, persuna li tkun residenti f’Malta g]all-finijiet tat-

taxxa ta’ Malta.

2. Meta min]abba d-disposizzjonijiet tal-paragrafu 1 individwu jkun residenti

ta\-\ew[ Stati Kontraenti, allura l-istatus tieg]u g]andu ji[i stabbilit skond dawn ir-

E|ENZJONI MILL-}LAS TA’ TAXXA DOPPJA

FUQ L-INCOME MAL-MALASJA

regoli li [ejjin

(a) huwa g]andu jitqies li jkun residenti unikament ta’ l-Istat li fih ikollu

dar permanenti g]ad-disposizzjoni tieg]u. Jekk huwa jkollu dar

permanenti g]ad-disposizzjoni tieg]u fi\-\ew[ Stati, huwa g]andu

jitqies li huwa residenti unikament ta’ l-Istat li mieg]u r-relazzjonijiet

personali u ekonomi`i tieg]u ikunu l-aktar marbuta (`entru ta’ interessi

vitali);

(b) jekk l-Istat li fih huwa jkollu `-`entru ta’ interessi vitali ma jistax ji[i

determinat, jew jekk huwa ma jkollux g]ad-disposizzjoni tieg]u dar

permanenti f’ebda Stat, huwa g]andu jitqies li jkun residenti unikament

ta’ l-Istat li fih soltu jirrisjedi;

(`) jekk huwa soltu jirrisjedi fi\-\ew[ Stati jew f’ebda wie]ed minnhom,

huwa g]andu jitqies li jkun residenti ta’ l-Istat li tieg]u jkun `ittadin;

(d) jekk huwa jkun `ittadin ta\-\ew[ Stati jew ta’ l-ebda wie]ed minnhom,

l-awtoritajiet kompetenti ta’ l-Istati Kontraenti g]andhom jidde`iedu l-

ka\ bi ftehim bejnithom.

3. Meta min]abba d-disposizzjonijiet tal-paragrafu 1 persuna li ma tkunx

individwu tkun residenti ta\-\ew[ Stati Kontraenti, din g]andha g]aldaqstant titqies

b]ala residenti unikament ta’ l-Istat fejn ikun jinsab il-post effettiv tal-mani[[

Artikolu 5

Stabbiliment permanenti

1. G]all-finijiet ta’ dan il-Ftehim, il-fra\i "stabbiliment permanenti" tfisser

post tan-negozju fiss li minnu jitmexxa g]alkollox jew f’parti minnu x-xog]ol ta’

2. Il-fra\i "stabbiliment permanenti" g]andha tinkludi b’mod spe`jali

(a) post ta’ mani[[,

(b) ferg]a,

(`) uff``ju,

(d) fabbrika,

(e) ]anut tax-xog]ol, u

(f)

minjiera, bir ta\-\ejt jew tal-gass (inklu\ sit ta’ offshore drilling),

barriera jew kull post ie]or ta’ estrazzjoni ta’ ri\orsi naturali inklu\i s-

si[ar li jag]tu l-injam jew prodotti o]ra tal-foresta;

(g) razzett jew qasam;

(h) art li tkun qeg]da tinbena jew kostruzzjoni, stallazzjoni jew pro[ett ta’

assembla[[ li je\isti g]al i\jed minn tnax-il xahar.

3. Minkejja d-disposizzjonijiet ta’ qabel ta’ dan

l-Artikolu,

il-fra\i

"stabbiliment permanenti" g]andha titqies li ma tinkludix

(a) l-u\u ta’ fa`ilitajiet unikament g]all-iskop ta’ ]a\na, wiri jew kunsinna

ta’ o[[etti jew merkanzija li jkunu proprjetà ta’ l-impri\a;

(b) il-manutenzjoni ta’ ]a\na ta’ o[[etti jew merkanzija li tkun proprjetà ta’

l-impri\a unikament g]all-iskop ta’ ]a\na, wiri jew kunsinna;

(`) il-manutenzjoni ta’ ]a\na ta’ o[[etti jew merkanzija li tkun proprjetà ta’

l-impri\a g]all-iskop uniku ta’ pro`essar minn impri\a o]ra;

(d) il-manutenzjoni ta’ post fiss ta’ negozju g]all-iskop uniku ta’ xiri ta’

o[[etti jew merkanzija, jew ta’ [bir ta’ tag]rif g]all-impri\a;

(e) il-manutenzjoni ta’ post fiss ta’ negozju g]all-iskop uniku li ti[i [estita,

g]all-impri\a, xi attività o]ra ta’ xorta preparatorja jew aw\iljarja.

4. Impri\a ta’ Stat Kontraenti g]andha titqies b]ala li jkollha stabbiliment

permanenti fl-Istat Kontraenti l-ie]or jekk

(a) twettaq attivitajiet ta’ sorveljanza f’dak l-Istat l-ie]or g]al i\jed minn

tnax-il xahar b’konnessjoni ma’ kostruzzjoni, stallazzjoni jew pro[ett

ta’ assembla[[ li jkun qieghed isir f’dak l-Istat l-ie]or; jew

(b) jkun hemm tag]mir sostanzjali f’dak l-Istat l-ie]or li jkun qieg]ed

jintu\a jew ji[i installat minn, g]al jew skond kuntratt ma’ l-impri\a.

Persuna (li ma tkunx sensal, a[ent b’kummissjoni [enerali jew xi a[ent

ie]or bi status indipendenti li g]alih japplika l-paragrafu 6 li tkun qed ta[ixxi fi Stat

Kontraenti f’isem impri\a ta’ l-Istat Kontraenti l-ie]or g]andha titqies li tkun

stabbiliment permanenti fl-Istat l-ewwel imsemmi, jekk dik il-persuna

(a) ikollha, u abitwalment teser`ita fl-Istat l-ewwel imsemmi, awtorità li

tag]mel kuntratti f’isem l-impri\a, kemm-il darba l-attivitajiet tag]ha

ma jkunux limitati g]ax-xiri ta’ o[[etti jew merkanzija g]all-impri\a;

jew

(b) tkun abitwalment i\\omm fl-Istat l-ewwel imsemmi ]a\na ta’ o[[etti

jew ta’ merkanzija li jkunu jappartjenu lill-impri\a li minnha hija

regolarment taqdi ordnijiet f’isem l-impri\a;

(`) tkun timmanifattura jew tipprocessa fl-Istat l-ewwel imsemmi g]all-

impri\a o[[etti jew merkanzija li jkunu jappartjenu lill-impri\a.

Impri\a ta’ Stat Kontraenti ma g]andhiex titqies li jkollha stabbiliment

permanenti fl-Istat Kontraenti l-ie]or biss min]abba li tkun ti[[estixxi negozju f’dak

l-Istat l-ie]or permezz ta’ sensal, a[ent b’kummissjoni [enerali jew kull a[ent ie]or

bi status indipendenti, meta dawk il-persuni jkunu qed ja[ixxu fil-kors ordinarju tan-

negozju tag]hom.

Madankollu, meta l-attivitajiet ta’ a[ent b]al dak ikunu g]alkollox, jew

kwa\i g]alkollox, dedikati f’isem dik l-impri\a, huwa m’g]andux jitqies b]ala a[ent

bi status indipendenti jekk it-transazzjonijiet bejn l-a[ent u l-impri\a ma jkunux saru

ta]t arm's length conditions.

Il-fatt li kumpannija li tkun residenti ta’ Stat Kontraenti tkun tikkontrolla

jew tkun kontrollata minn kumpannija li tkun residenti ta’ l-Istat Kontraenti l-ie]or,

jew li tkun ti[[estixxi negozju f’dak l-Istat l-ie]or (sew permezz ta’ stabbiliment

permanenti sew xort’o]ra), m’g]andux fih innifsu jikkostitwixxi lil xi kumpannija

wa]da jew l-o]ra stabbiliment permanenti tal-kumpannija l-o]ra.

Artikolu 6

Income minn proprjetà immobbli

1. Income li jinkiseb minn residenti ta’ Stat Kontraenti minn proprjetà

immobbli li jkunu jinsabu fl-Istat Kontraenti l-ie]or jista’ ji[i intaxxat f’dak l-Istat l-

ie]or.

2. G]all-finijiet ta’ dan il-Ftehim, il-fra\i "proprjetà immobbli" g]andha

titfisser skond il-li[ijiet ta’ l-Istat Kontraenti li fih tkun tinsab il-proprjetà involuta.

Il-fra\i g]andha f’kull ka\ tinkludi proprjetà a``essorja g]al proprjetà immobbli,

bhejjem f’razzett u tag]mir li jintu\a fl-agrikoltura u fil-]idma fil-boskijiet, drittijiet

li g]alihom japplikaw id-disposizzjonijiet tal-li[i [enerali dwar il-proprjetà ta’ l-art,

l-u\ufrutt tal-proprjetà immobbli u drittijiet dwar ]lasijiet varjabbli jew fissi b]ala

korrispettiv g]al ]idma fi, jew id-dritt li jin]admu, depo\iti minerali, bjar ta\-\ejt

jew tal-gass (inklu\ sit ta’ offshore drilling), barrieri u postijiet o]ra mnejn issir l-

estrazzjoni ta’ ri\orsi naturali inklu\i si[ar li minnhom isir l-injam jew prodotti o]ra

[ejjin mill-foresti. Bastimenti, opri tal-ba]ar u in[enji ta’ l-ajru ma g]andhomx

jitqiesu b]ala proprjetà immobbli.

3. Id-disposizzjonijiet tal-paragrafu 1 g]andhom ikunu japplikaw g]al income

li jinkiseb mill-u\u dirett, kiri, jew u\u ta’ kull xorta ta’ proprjetà immobbli.

4. Id-disposizzjonijiet tal-paragrafi 1 u 3 g]andhom japplikaw ukoll g]all-

income minn proprjetà immobbli ta’ impri\a u g]al income minn proprjetà immobbli

u\ata g]all-g]emil ta’ servizzi personali indipendenti.

Artikolu 7

Profitti minn negozju

1. Il-profitti ta’ impri\a ta’ Stat Kontraenti g]andhom ikunu biss taxxabbli

f’dak l-Istat kemm-il darba l-impri\a ma tmexxix negozju fl-Istat Kontraenti l-ie]or

permezz ta’ stabbiliment permanenti li jkun qieg]ed hemmhekk. Jekk l-impri\a tkun

qeg]da tmexxi negozju kif hawn aktar qabel imsemmi, il-profitti ta’ l-impri\a

jistg]u ji[u intaxxati fl-Istat l-ie]or imma biss fuq dik il-parti minnhom daqskemm

tkun attribwibbli g]al dak l-istabbiliment permanenti.

2. Bla ]sara g]ad-disposizzjonijiet tal-paragrafu 3, meta impri\a ta’ Stat

Kontraenti tkun tmexxi negozju fl-Istat Kontraenti l-ie]or permezz ta’ stabbiliment

permanenti li jkun qieg]ed hemmhekk, g]andhom f’kull Stat Kontraenti ji[u

attribwiti lil dak l-istabbiliment permanenti il-profitti li kien ikun mistenni jag]mel

kieku kien impri\a distinta u separata li ta]dem fl-istess attivitajiet jew o]rajn

b]alhom ta]t l-istess kondizzjonijiet jew o]rajn b]alhom u li ta]dem

indipendentement g]alkollox mill-impri\a li tag]ha tkun stabbiliment permanenti.

3. Sabiex ji[u stabbiliti l-profitti ta’ stabbiliment permanenti, g]andhom ikunu

permessi b]ala tnaqqis dawk l-ispejje\ inklu\i spejje\ amministrattivi e\ekuttivi u

[enerali, li jkunu jistg]u jitnaqqsu li kieku l-istabbiliment permanenti kien impri\a

indipendenti, fil-qies li dawn ikunu ra[onevolment allokabbli ghall-istabbiliment

permanenti, sew jekk isiru fl-Istat Kontraenti fejn ikun hemm l-istabbiliment

permanenti sew band’o]ra.

4. Jekk l-informazzjoni disponibbli g]all-awtorità kompetenti ma jkunx

adegwat biex jistabbilixxi l-profitti li g]andhom ji[u attribwiti lill-istabbiliment

permanenti ta’ impri\a, ebda ]a[a f’dan l-Artikolu ma g]andha tolqot l-

applikazzjoni ta’ xi li[i ta’ dak l-Istat g]ar-rigward ta’ kif ti[i stabbilita t-taxxa li

g]andha tit]allas minn persuna bl-e\er`i\\ju ta’ diskrezzjoni jew bl-g]emil ta’ stima

mill-awtorità kompetenti, i\da l-li[i g]andha ti[i applikata, sakemm l-informazzjoni

disponibbli g]all-awtorità kompetenti tkun tippermetti, skond il-prin`ipju li jinsab

f’dan l-Artikolu.

5. Ebda profitti ma g]andhom ji[u attribwiti lil stabbiliment permanenti

min]abba biss f’li jsir ix-xiri minn dak l-istabbiliment permanenti ta’ o[[etti jew

merkanzija g]all-impri\a.

6. G]all-g]anijiet tal-paragrafi pre`edenti, l-profitti li g]andhom ji[u attribwiti

lill-istabbiliment permanenti g]andhom ji[u stabbiliti bl-istess metodu sena wara l-

o]ra kemm-il darba ma jkunx hemm ra[uni tajba u suffi`jenti biex dan ma jsirx.

7. Meta l-profitti jkunu jinkludu o[[etti ta’ income li qeg]din ji[u trattati

separatament f’Artikoli o]ra ta’ dan il-Ftehim, g]aldaqshekk id-disposizzjonijiet ta’

dawk l-Artikoli ma jintlaqtux bid-disposizzjonijiet ta’ dan l-Artikolu.

Artikolu 8

Tba]]ir u trasport bl-ajru

1. Il-profitti li jinkisbu minn impri\a ta’ Stat Kontraenti mit-t]addim ta’

bastimenti jew in[enji ta’ l-ajru fi traffiku internazzjonali g]andhom ikunu taxxabbli

biss f’dak l-Istat.

2. Il-paragrafu 1 g]andu wkoll japplika g]as-sehem mill-profitti mit-t]addim

ta’ bastimenti jew ta’ in[enji ta’ l-ajru li jinkisbu minn residenti ta’ Stat Kontraenti

mill-parte`ipazzjoni f’pool, negozju bi s]ab jew a[enzija b’operat internazzjonali.

3. Minkejja d-disposizzjonijiet l-o]ra ta’ dan l-Artikolu, il-profitti mit-t]addim

ta’ bastiment fi traffiku internazzjonali li jinkiseb minn kumpannija li tkun residenti

ta’ Malta u li jkollha i\jed minn 25 fil-mija mill-kapital tag]ha li jkun, direttament

jew mhux, jappartjeni lil persuni li ma jkunux residenti f’Malta, jistg]u ji[u

intaxxati fil-Malasja kemm-il darba l-kumpannija ma [[ibx prova li l-profitti li

jinkisbu mit-t]addim ta’ dak il-bastiment ikunu so[[etti g]at-taxxa ta’ Malta

ming]ajr ma jitqies ebda ]elsien minnha skond ma hemm provdut fl-artikolu 86 ta’

l-Att dwar il-Bastimenti Merkantili (Kap. 234) jew f’xi disposizzjoni identika jew

simili.

Artikolu 9

Impri\i asso`jati

Meta

(a) impri\a ta’ Stat Kontraenti tipparte`ipa sew direttament sew

indirettament fit-tmexxija, kontroll jew kapital ta’ impri\a ta’ l-Istat

Kontraenti l-ie]or, jew

(b) l-istess persuni jipparte`ipaw sew direttament sew indirettament fit-

tmexxija, kontroll jew kapital ta’ impri\a ta’ Stat Kontraenti u ta’

impri\a ta’ l-Istat Kontraenti l-ie]or,

u f’kull ka\ isiru jew ji[u imposti kondizzjonijiet bejn i\-\ew[ impri\i fir-

relazzjonijiet kummer`jali jew finanzjarji tag]hom li ma jkunux jaqblu ma’ dawk li

kieku kienu ji[u mag]mula bejn impri\i indipendenti, f’dak il-ka\ il-profitti li, kieku

ma kienux dawk il-kondizzjonijiet, kienu jakkumulaw g]al wa]da mill-impri\i, i\da,

min]abba dawk il-kondizzjonijiet, ma [ewx hekk akkumulati, jistg]u ji[u inklu\i

fil-profitti ta’ dik l-impri\a u intaxxati skond hekk.

Artikolu 10

Dividendi

1. Dividendi m]allsa minn kumpannija li tkun residenti ta’ Stat Kontraenti lil

residenti ta’ l-Istat Kontraenti l-ie]or tista’ ti[i intaxxata f’dak l-Istat.

2. Dividendi li jit]allsu minn kumpannija li tkun residenti tal-Malasja lil

residenti ta’ Malta li jkun is-sid benefi`jarju tad-dividendi g]andhom ikunu e\enti

minn kull taxxa fil-Malasja li jkollha tit]allas fuq dividendi b’\jieda mat-taxxa li

jkollha tit]allas g]ar-rigward tal-kumpannija. Ebda ]a[a f’dan il-paragrafu ma

g]andha tolqot id-disposizzjonijiet tal-li[i tal-Malasja li ta]tha t-taxxa dwar

dividend m]allsa minn kumpannija li tkun residenti tal-Malasja li minnha t-taxxa

tal-Malasja tkun [iet, jew tkun tqieset li [iet, imnaqqsa tkun tista’ ti[i a[[ustata

b’riferenza g]ar-rata ta’ taxxa adatta g]as-sena ta’ stima tal-Malasja li ti[i minnufih

wara dik li fiha jkun t]allas id-dividend.

3. (a) Dividendi li jit]allsu minn kumpannija li tkun residenti ta’ Malta lil

residenti tal-Malasja li jkun is-sid benefi`jarju tad-dividendi jistg]u

jkunu so[[etti g]at-taxxa ta’ Malta fuq l-ammont gross ta’ dawk id-

dividendi, imma t-taxxa li hekk tit]allas m’g]andhiex tkun i\jed minn

dik li tit]allas fuq il-profitti li minnhom jit]allsu d-dividendi.

(b) Meta dawk id-dividendi jit]allsu minn profitti li tag]mel kumpannija u

li jkunu so[[etti g]at-taxxa b’rata mnaqqsa ta’ taxxa ta]t

disposizzjonijiet spe`jali inti\i biex i[ibu ’l quddiem l-investimenti

me]tie[a g]all-i\vilupp ekonomiku ta’ Malta, ir-rata tat-taxxa ta’ Malta

fuq id-dividendi ma g]andhiex tkun i\jed minn dik ir-rata mnaqqsa.

4. Il-fra\i "dividendi" kif din tintu\a f’dan l-Artikolu tfisser income minn

ishma jew minn drittijiet o]ra, li ma jkunux pretensjonijiet ta’ debitu, il-

parte`ipazzjoni fi profitti, kif ukoll income minn drittijiet korporattivi li jing]ata l-

istess trattament fl-intaxxar b]allikieku kien income minn ishma skond il-li[ijiet ta’

l-Istat li tieg]u l-kumpannija li tkun qed tag]mel it-tqassim tkun residenti.

5. Id-disposizzjonijiet tal-paragrafi 1, 2 u 3 m’g]andhomx japplikaw jekk is-

sid benefi`jarju tad-dividendi, li jkun residenti ta’ Stat Kontraenti, imexxi negozju

fl-Istat Kontraenti l-ie]or li tieg]u tkun residenti l-kumpannija li t]allas id-

dividendi, permezz ta’ stabbiliment permanenti li jkun sitwat hemmhekk, u l-holding

li dwarhom id-dividendi jkunu mhallsa jkollu x’jaqsam effettivament ma’ dak l-

istabbiliment permanenti. F’dak il-ka\, g]andhom japplikaw id-disposizzjonijiet ta’

l-Artikolu 7.

6. Meta kumpannija li tkun residenti ta’ Stat Kontraenti tikseb income jew

profitti mill-Istat Kontraenti l-ie]or, dak l-Istat l-ie]or ma jista’ jimponi ebda taxxa

fuq id-dividendi m]allsa mill-kumpannija lil persuni li ma jkunux residenti ta’ dak l-

Istat l-ie]or, jew jasso[[etta l-profitti mhux imqassma tal-kumpannija g]al taxxa fuq

il-profitti mhux imqassma, ukoll jekk id-dividendi m]allsa jew il-profitti mhux

imqassma jkunu kollha kemm huma jew f’parti minnhom jikkonsistu f’income jew fi

profitti li jinqalg]u f’dak l-Istat l-ie]or.

Artikolu 11

Mg]ax

1. Mg]ax li jinqala’ fi Stat Kontraenti u jit]allas lil residenti ta’ l-Istat

Kontraenti l-ie]or g]andu jkun taxxabbli biss f’dak Istat l-ie]or.

2. Madankollu, dak l-img]ax jista’ ji[i intaxxat fl-Istat Kontraenti fejn jori[ina

u skond il-li[ijiet ta’ dak l-Istat, imma jekk min jir`evih ikun is-sid benefi`jarju ta’

l-img]ax, it-taxxa hekk im]allsa m’g]andhiex taqbe\ 15 fil-mija ta’ l-ammont gross

ta’ l-img]ax.

3. Minkejja d-disposizzjonijiet tal-paragrafi 2, kull img]ax li residenti ta’

Malta jkollu jedd benefi`jarju g]alih g]andu jkun e\enti mit-taxxa tal-Malasja jekk

is-self jew addebitament ie]or li dwaru jit]allas l-img]ax ikun self approvat kif

imfisser fl-artikolu 2(1) ta’ l-Income Tax Act, 1967 tal-Malasja (kif emendat).

4. Minkejja d-disposizzjonijiet tal-paragrafi 2 u 3, il-Gvern ta’ Stat Kontraenti

jkun e\enti mit-taxxa fl-Istat Kontraenti l-ie]or g]ar-rigward ta’ mg]ax li jinkiseb

mill-Gvern minn dak l-istat l-ie]or.

5. G]all-finijiet tal-paragrafu 4, il-fra\i "Gvern"

(a) fil-ka\ tal-Malasja tfisser il-Gvern tal-Malasja u g]andha tinkludi

(i) il-gvern ta’ l-Istati;

(ii) l-awtoritajiet lokali;

(iii) il-korpi statutorji;

(iv)

il-Bank Negara Malaysia;

(v)

dawk l-istituzzjonijiet, li g]andhom il-kapital tag]hom proprjetà

assoluta tal-Gvern tal-Malasja jew tal-gvernijiet ta’ l-Istati, jew

ta’ l-awtoritajiet lokali jew tal-korpi statutorji tag]hom, skond ma

jista’ ji[i miftiehem minn \mien g]al \mien bejn l-awtoritajiet

kompetenti ta’ l-Istati Kontraenti;

(b) fil-ka\ ta’ Malta tfisser il-Gvern ta’ Malta u g]andha tinkludi

(i) il-Bank ~entrali ta’ Malta;

(ii) il-Korporazzjoni g]al {vilupp ta’ Malta;

(iii) il-korpi statutorji;

(iv) dawk l-istituzzjonijiet, li g]andhom il-kapital tag]hom proprjetà

assoluta tal-Gvern ta’ Malta, skond ma jista’ ji[i miftiehem minn

\mien g]al \mien bejn l-awtoritajiet kompetenti ta’ l-Istati

Kontraenti.

6. Il-fra\i "mg]ax" kif din tintu\a f’dan l-Artikolu tfisser income minn

pretensjonijiet ta’ debitu ta’ kull xorta, sew jekk ipotekati sew jekk le u sew jekk

jag]ti l-jedd g]al sehem fil-profitti tad-debitur sew jekk le, u b’mod partikolari,

income minn titoli tal-gvern u income minn bonds jew debentures.

7. Id-disposizzjonijiet tal-paragrafi 1, 2 u 3 m’g]andhomx japplikaw jekk is-

sid benefi`jarju ta’ l-img]ax, li jkun residenti ta’ Stat Kontraenti, ikun qed imexxi

negozju fl-Istat Kontraenti l-ie]or li fih jinqala’ l-img]ax, permezz ta’ stabbiliment

permanenti sitwat hemmhekk, u l-pretensjoni ta’ debitu li dwarha jit]allas l-img]ax

tkun effettivament konnessa ma’ dak l-istabbiliment permanenti. F’ka\ b]al dak

g]andhom japplikaw id-disposizzjonijiet ta’ l-Artikolu 7.

L-img]ax g]andu jitqies li jori[ina fi Stat Kontraenti meta min i]allas ikun

dak l-Istat innifsu, sottodivi\joni politika tieg]u, awtoritˆ lokali jew korp statutorju

tag]hom jew residenti ta’ dak l-Istat. Meta, madankollu, l-persuna li tkun qed t]allas

l-img]ax, sew jekk tkun residenti ta’ Stat Kontraenti sew jekk le, jkollha fi Stat

Kontraenti stabbiliment permanenti li f’konnessjoni mieg]u kien sar id-dejn li fuqu

jit]allas l-img]ax, u dak l-img]ax ji[[arrab minn dak l-istabbiliment permanenti,

g]aldaqstant dak l-img]ax g]andu jitqies li jori[ina fl-Istat fejn ikun jinsab l-

istabbiliment permanenti.

Meta, min]abba f’relazzjoni spe`jali bejn min i]allas u s-sid benefi`jarju

jew bejn it-tnejn li huma u xi persuna o]ra, l-ammont ta’ mg]ax im]allas, wara li

titqies xi tkun il-pretensjoni ta’ debitu li dwarha jit]allas, ikun i\jed mill-ammont li

kien ikun miftiehem bejn min i]allas u s-sid benefi`jarju fin-nuqqas ta’ dik ir-

relazzjoni, id-disposizzjonijiet ta’ dan l-Artikolu g]andhom ikunu japplikaw biss

g]all-ammont l-a]]ar imsemmi. F’ka\ b]al dak, il-parti \ejda tal-]lasijiet tibqa’

taxxabbli skond il-li[ijiet ta’ kull Stat Kontraenti, fil-qies tad-disposizzjonijiet l-

o]ra ta’ dan il-Ftehim.

Artikolu 12

Royalties

1. Royalties li jinqalg]u fi Stat Kontraenti u jit]allsu lil residenti ta’ l-Istat

Kontraenti l-ie]or jistg]u ji[u intaxxati f’dak Istat l-ie]or.

2. Madankollu, dawk ir-royalties jistg]u wkoll ji[u intaxxati fl-Istat

Kontraenti fejn jori[inaw u skond il-li[ijiet ta’ dak l-Istat, i\da jekk min jir`evihom

ikun is-sid benefi`jarju tar-royalties, it-taxxa hekk im]allsa m’g]andhiex te``edi 15

fil-mija ta’ l-ammont gross tar-royalties.

3. Il-fra\i "royalties" kif tintu\a f’dan l-Artikolu tfisser ]lasijiet ta’ kull xorta

fil-qies li dawn isiru b’korrispettiv g]al

(a) l-u\u ta’, jew g]all-jedd ta’ l-u\u, ta’ kull

(i)

dritt ta’ l-awtur, privattiva, disinn jew mudell, pjan, formula jew

pro`ess sigrieti, trade mark, jew xi proprjetà jew dritt b]al dawk;

(ii) tag]mir industrijali, kummer`jali jew xjentifiku; jew

(iii) films `inematografi`i jew tapes u\ati g]ax-xandir bir-radju jew

bit-televi\joni;

(b) l-g]oti ta’ konoxxenza jew

informazzjoni

xjentifika,

teknika,

industrijali jew kummer`jali;

(`) l-g]oti ta’ kull g]ajnuna li tkun an`illari u sussidjarja g]al, u li ti[i

pprovduta b]ala mezz li tkun tista’ ssir l-applikazzjoni jew it-tgawdija

ta’, kull proprjetà jew dritt b]al dawk imsemmija fis-subparagrafu

(a)(i), kull tag]mir b]al dak imsemmi fis-subparagrafu (a)(ii), jew kull

konoxxenza jew informazzjoni b]al dawk imsemmija fis-subparagrafu

(b).

4. Id-disposizzjonijiet tal-paragrafi 1 u 2 m’g]andhomx japplikaw jekk is-sid

benefi`jarju tar-royalties, li jkun residenti ta’ Stat Kontraenti, ikun qed imexxi

negozju fl-Istat Kontraenti l-ie]or li fih ir-royalties jinqalg]u, permezz ta’

stabbiliment permanenti sitwat hemmhekk, u d-dritt jew il-proprjetà li dwarhom

j i t ] a l l s u r -r o y a l t i e s i k u n u e f f e t t i v a m e n t k o n n e s s i m a ’ d a k l - i s t a b b i l i m e n t

permanenti. F’dak il-ka\ g]andhom japplikaw id-disposizzjonijiet ta’ l-Artikolu 7.

5. Ir-royalties jitqiesu li jori[inaw fi Stat Kontraenti meta min i]allas ikun dak

l-Istat innifsu, sottodivi\joni politika tieg]u, awtorità lokali jew korp statutorju

tag]hom jew residenti ta’ dak l-Istat. Meta, madankollu, l-persuna li tkun qed t]allas

dawk ir-royalties, sew jekk tkun residenti ta’ Stat Kontraenti sew jekk le, jkollha fi

Stat Kontraenti stabbiliment permanenti li f’konnessjoni mieg]u kienet saret l-

obbligazzjoni li fuqu jit]allsu r-royalties u dawk ir-royalties ji[[arbu minn dak l-

istabbiliment, g]aldaqstant dawk ir-royalties g]andhom jitqiesu li jori[inaw fl-Istat

fejn ikun jinsab l-istabbiliment permanenti.

6. Meta, min]abba r-relazzjoni spe`jali bejn min i]allas u s-sid benefi`jarju

jew bejnithom it-tnejn u xi persuna o]ra, l-ammont tar-royalties im]allsa jew

akkreditati, fil-qies ta’ x’ikun l-u\u, id-dritt jew l-informazzjoni li jit]allsu jew ji[u

akkreditati g]alihom, ikun i\jed mill-ammont li kien ikun miftiehem bejn min i]allas

u s-sid benefi_jarju fin-nuqqas ta’ dik ir-relazzjoni, id-disposizzjonijiet ta’ dan l-

Artikolu g]andhom japplikaw biss g]all-ammont l-a]]ar imsemmi. F’dak il-ka\, il-

parti \ejda tar-royalties im]allsa jew akkreditati g]andha tibqa’ taxxabbli skond il-

li[ijiet ta’ kull Stat Kontraenti, wara li jitqiesu d-disposizzjonijiet l-o]ra ta’ dan il-

Ftehim.

Artikolu 13

Drittijiet tekni`i

1. Drittijiet tekni`i li jinqalg]u fi Stat Kontraenti u jit]allsu lil residenti ta’ l-

Istat Kontraenti l-ie]or jistg]u ji[u intaxxati f’dak Istat l-ie]or.

2. Madankollu, dawk id-drittijiet tekni`i jistg]u wkoll ji[u intaxxati fl-Istat

Kontraenti fejn jori[inaw, u skond il-li[ijiet ta’ dak l-Istat; i\da jekk min jir`evihom

ikun is-sid benefi`jarju tad-drittijiet tekni`i, it-taxxa hekk im]allsa m’g]andhiex

te``edi 10 fil-mija ta’ l-ammont gross tad-drittijiet tekni`i.

3. Il-fra\i "drittijiet tekni`i" kif tintu\a f’dan l-Artikolu tfisser ]lasijiet ta’ kull

xorta lil xi persuna, minbarra lil persuna impjegata mal-persuna li tkun qed tag]mel

il-]lasijiet, b’korrispettiv g]al servizzi ta’ xorta teknika, mani[erjali jew ta’

konsulenza.

4. Id-disposizzjonijiet tal-paragrafi 1 u 2 ta’ dan l-Artikolu m’g]andhomx

japplikaw jekk is-sid benefi`jarju tad-drittijiet tekni`i, li jkun residenti ta’ Stat

Kontraenti, ikun qed imexxi negozju fl-Istat Kontraenti l-ie]or li fih jinqalg]u d-

drittijiet tekni`i permezz ta’ stabbiliment permanenti sitwat hemmhekk, jew ikun

qed iwettaq servizzi personali f’dak l-Istat indipendenti l-ie]or, u d-drittijiet tekni`i

ikunu effettivament konnessi ma’ dak l-istabbiliment permanenti jew servizzi. F’dak

il-ka\, g]andhom japplikaw id-disposizzjonijiet ta’ l-Artikolu 7 jew ta’ l-Artikolu

15, skond il-ka\.

5. Id-drittijiet tekni`i jitqiesu li jori[inaw fi Stat Kontraenti meta min i]allas

ikun dak l-Istat innifsu, sottodivi\joni politika tieg]u, awtoritˆ lokali jew korp

statutorju tag]hom jew residenti ta’ dak l-Istat. Meta, madankollu, l-persuna li tkun

qed t]allas dawk id-drittijiet tekni`i, sew jekk tkun residenti ta’ Stat Kontraenti sew

jekk le, jkollha fi Stat Kontraenti stabbiliment permanenti li f’konnessjoni mieg]u

kienet saret l-obbligazzjoni li fuqu jit]allsu d-drittijiet tekni`i, u dawk id-drittijiet

tekni`i ji[[arbu minn dak l-istabbiliment, g]aldaqstant dawk id-drittijiet tekni`i

g]andhom jitqiesu li jori[inaw fl-Istat fejn ikun jinsab l-istabbiliment permanenti.

6. Meta, min]abba r-relazzjoni spe`jali bejn min i]allas u min jircievi jew

bejnithom it-tnejn u xi persuna o]ra, l-ammont ta’ drittijiet tekni`i m]allsa, g]al

liema ra[uni tkun, ikun i\jed mill-ammont li kien ikun miftiehem bejn min i]allas u

s-sid benefi`jarju fin-nuqqas ta’ dik ir-relazzjoni, id-disposizzjonijiet ta’ dan l-

Artikolu g]andhom japplikaw biss g]all-ammont l-a]]ar imsemmi. F’dak il-ka\, il-

parti \ejda tal-]lasijiet g]andha tibqa’ taxxabbli skond il-li[i ta’ kull Stat

Kontraenti, wara li jitqiesu d-disposizzjonijiet l-o]ra ta’ dan il-Ftehim.

Artikolu 14

Trasferiment ta’ proprjetà

1. Income jew qlig] mit-trasferiment ta’ proprjetà immobbli kif imfisser fil-

paragrafu 2 ta’ l-Artikolu 6 jista’ ji[i intaxxat fl-Istat Kontraenti fejn tkun tinsab dik

il-proprjetà.

2. Income jew qlig] mit-trasferiment ta’ proprjetà mobbli li tag]mel parti

mill-proprjetà tan-negozju ta’ stabbiliment permanenti li impri\a ta’ Stat Kontraenti

jkollha fl-Istat Kontraenti l-ie]or jew ta’ proprjetà mobbli li tkun disponibbli g]al

residenti ta’ Stat Kontraenti fl-Istat Kontraenti l-ie]or bil-g]an li jitwettqu servizzi

professjonali, inklu\ dak l-income jew qlig] mit-trasferiment ta’ dak l-istabbiliment

permanenti (wa]du jew flimkien ma’ l-impri\a kollha) jista’ ji[i intaxxat f’dak Istat

l-ie]or. Madankollu, income jew qlig] mit-trasferiment ta’ bastimenti jew in[enji ta’

l-ajru operati minn impri\a ta’ Stat Kontraenti fi traffiku internazzjonali u proprjetà

mobbli li tappartjeni g]all-operat ta’ dawk il-bastimenti jew in[enji ta’ l-ajru

g]andhom ikunu taxxabbli biss f’dak l-Istat li l-impri\a tkun residenti tieg]u.

3. Income jew qlig] mit-trasferiment ta’ ishma ta’ kumpannija, li l-proprjetà

tag]ha tkun prin`ipalment tikkonsisti fi proprjetà immobbli li tkun tinsab fi Stat

Kontraenti, tista’ ti[i intaxxata f’dak l-Istat. Income jew qlig] mit-trasferiment ta’ xi

interess f’so`jetà jew fi trust, li l-proprjetà tag]ha tkun prin`ipalment tikkonsisti fi

proprjetà immobbli li tkun tinsab fi Stat Kontraenti, tista’ ti[i intaxxata f’dak l-Istat.

4. Income jew qlig] mit-trasferiment ta’ proprjetà jew attiv li ma jkunux dawk

imsemmija fil-paragrafi 1, 2 u 3 ta’ dan l-Artikolu g]andhom ikunu taxxabbli biss fl-

Istat Kontraenti li tieg]u ikun residenti min jittrasferixxi.

Artikolu 15

Servizzi personali indipendenti

1. Bla ]sara g]ad-disposizzjonijiet ta’ l-artikolu 13, income li jinkiseb minn

residenti ta’ Stat Kontraenti g]al servizzi professjonali jew attivitajiet o]ra

indipendenti ta’ xorta simili g]andhom ikunu intaxxati biss f’dak l-Istat.

Madankollu, jekk dak l-income jinkiseb mill-Istat Kontraenti l-ie]or dan jista’ ji[i

intaxxat f’dak l-Istat l-ie]or jekk

(a) il-qag]da tieg]u f’dak l-Istat l-ie]or tkun g]al perjodu jew g]al perjodi

li fit-total ikunu jammontaw g]al jew jaqb\u l-183 [urnata matul xi

sena kalendarja; jew

(b) ir-rimunerazzjoni g]as-servizzi tieg]u f’dak l-Istat l-ie]or jew tinkiseb

minn residenti ta’ dak l-Istat jew ti[[arrab minn stabbiliment

permanenti li l-persuna li tkun qed t]allas ir-rimunerazzjoni jkollha

f’dak l-Istat u f’kull ka\ tkun taqbe\ l-ekwivalenti fil-munita ta’ dak l-

Istat ta’ ]amest elef dollaru Amerikan (US $ 5,000) matul is-sena

kalendarja.

2. Il-fra\i "servizzi professjonali" tinkludi, b’mod spe`jali, attivitajiet

letterarji, artisti`i, edukattivi jew ta’ tag]lim li huma spe`jalment indipendenti kif

ukoll l-attivitajiet indipendenti ta’ tobba, avukati, in[iniera, periti u accountants.

Artikolu 16

Servizzi personali dipendenti

1. Bla ]sara g]ad-disposizzjonijiet ta’ l-Artikoli 17, 19, 20, 21 u 22 is-salarji,

il-pagi u kumpens ie]or b]al dak li jinkisbu minn residenti ta’ Stat Kontraenti dwar

xi impieg g]andhom ikunu taxxabbli biss f’dak l-Istat kemm-il darba l-impieg ma

ji[ix e\er`itat fl-Istat Kontraenti l-ie]or. Jekk l-impieg ji[i hekk e\er`itat, dak il-

kumpens li jinkiseb minnu jista’ ji[i intaxxat f’dak Istat l-ie]or.

2. Minkejja d-disposizzjonijiet tal-paragrafu 1, il-kumpens li jinkiseb minn

residenti ta’ Stat Kontraenti dwar impieg e\er`itat fl-Istat Kontraenti l-ie]or g]andu

jkun taxxabbli biss fl-Istat l-ewwel imsemmi jekk

(a) min jir`evih ikun pre\enti fl-Istat l-ie]or g]al perjodu jew perjodi li ma

jaqb\ux it-total ta’ 183 [urnata matul is-sena kalendarja involuta, u

(b) il-kumpens jit]allas minn, jew f’isem, prin`ipal li ma jkunx residenti ta’

l-Istat l-ie]or, u

(`) il-kumpens ma jkunx pi\ fuq l-istabbiliment permanenti li l-prin_ipal

ikollu fl-Istat l-ie]or.

3. Minkejja d-disposizzjonijiet pre`edenti ta’ dan l-Artikolu, il-kumpens dwar

impieg e\er`itat abbord bastiment jew in[enji ta’ l-ajru operati fi traffiku

internazzjonali minn impri\a ta’ Stat Kontraenti, jista’ ji[i intaxxat f’dak l-Istat.

Artikolu 17

Drittijiet tad-diretturi

Id-drittijiet tad-diretturi u ]lasijiet simili o]ra li jinkisbu minn residenti ta’

Stat Kontraenti fil-kapa`ità tieg]u ta’ membru tal-bord ta’ diretturi, jew ta’ korp

komparabbli ie]or ikun kif ikun imsemmi, ta’ kumpannija li tkun residenti ta’ l-Istat

Kontraenti l-ie]or, jistg]u ji[u intaxxati f’dak l-Istat l-ie]or.

Artikolu 18

Artisti u atleti

1. Minkejja d-disposizzjonijiet ta’ l-Artikoli 15 u 16, income li jinkiseb minn

residenti ta’ Stat Kontraenti b]ala u]ud li jag]tu spettaklu, b]al artisti tat-teatru, tal-

films `inematografi`i, tar-radju jew tat-televi\joni, jew b]ala mu\i`ista, jew b]ala

atleta, mill-attivitajiet personali tieg]u b]ala tali li ji[u e\er`itati fl-Istat Kontraenti

l-ie]or, jistg]u ji[u intaxxati f’dak l-Istat l-ie]or.

2. Meta dwar attivitajiet personali e\er`itati minn min jag]ti spettaklu jew

atleta fil-kapa`ità tieg]u b]ala tali jin[abar mhux minn min jag]ti spettaklu jew l-

atleta innifsu i\da minn xi persuna o]ra, dak l- income jista’, minkejja d-

disposizzjonijiet ta’ l-Artikoli 7, 15 u 16, ji[i intaxxat fl-Istat Stat Kontraenti li fih l-

attivitajiet ta’ min jag]ti spettaklu jew ta’ l-atleta ji[u e\er`itati.

3. Id-disposizzjonijiet tal-paragrafi 1 u 2 ma g]andhomx japplikaw g]al

rimunerazzjoni jew profitti li jinkisbu minn attivitajiet e\er`itati fi Stat Kontraenti

jekk il-vi\ta f’dak l-Istat tkun direttament jew mhux appo[[ata g]alkollox jew

sostanzjalment mill-flejjes pubbli`i ta’ l-Istat Kontraenti l-ie]or, sottodivi\joni

politika, awtoritˆ lokali jew korp statutorju tag]hom.

Artikolu 19

Pensjonijiet u annwalitajiet

1. Bla ]sara g]ad-disposizzjonijiet tal-paragrafu 2 ta’ l-Artikolu 20, kull

pensjoni u rimunerazzjoni simili o]ra g]al impieg ta’ qabel jew kull annwalità li

tori[ina fi Stat Kontraenti u tit]allas lil xi residenti ta’ l-Istat Kontraenti l-ie]or

g]andhom ikunu taxxabbli biss f’dak l-Istat l-ie]or.

2. Pensjonijiet u ]lasijiet o]ra li jing]ataw ta]t il-le[islazzjoni ta’ l-

assigurazzjoni so`jali ta’ Stat Kontraenti g]andhom ikunu taxxabbli biss f’dak l-

Istat.

3. Il-fra\i "annwalitajiet" tfisser ammont fiss li jit]allas perjodikament fi

\minijiet fissi, matul il-]ajja jew matul perjodu ta’ \mien spe`ifikat jew a``ertabbli,

ta]t obbligazzjoni li l-]lasijiet isiru g]al korrispettiv adegwat u s]i] fi flus jew valur

ta’ flus.

Artikolu 20

Servizz tal-gvern

1. (a) Rimunerazzjoni, li ma tkunx pensjoni, m]allsa minn Stat Kontraenti jew

minn sottodivi\joni politika jew minn awtorità lokali jew minn korp

statutorju tag]hom lil xi individwu g]ar-rigward ta’ servizzi mog]tijin

lil dak l-Istat jew sottodivi\joni politika jew awtorità lokali jew korp

statutorju tag]hom g]andhom ikunu taxxabbli biss f’dak l-Istat.

(b) Madankollu, dik ir-rimunerazzjoni g]andha tkun taxxabbli biss f’dak l-

Istat Kontraenti l-ie]or jekk is-servizzi jing]ataw f’dak l-Istat u l-

individwu jkun residenti f’dak l-Istat li

(i) huwa jkun `ittadin ta’ dak l-Istat; jew

(ii) ma jkunx sar residenti ta’ dak l-Istat unikament sabiex iwettaq

dawk is-servizzi.

2. Pensjonijiet u ]lasijiet o]ra m]allsa ta]t il-le[islazzjoni ta’ l-assigurazzjoni

so`jali ta’ Stat Kontraenti g]andhom ikunu taxxabbli biss f’dak l-Istat.

3. Id-disposizzjonijiet ta’ l-artikoli 16, 17 u 19 g]andhom japplikaw g]al kull

rimunerazzjoni u pensjonijiet, g]ar-rigward ta’ servizzi mog]tija f’dak li g]andu

x’jaqsam ma’ negozju jew kummer` [estiti minn Stat Kontraenti jew minn

sottodivi\joni politika jew minn awtorità lokali jew minn korp statutorju tag]hom.

Artikolu 21

Studenti u alljevi

Individwu li jkun residenti ta’ Stat Kontraenti minnufih qabel ma jag]mel

vi\ta lill-Istat Kontraenti l-ie]or u li jkun temporanjament pre\enti fl-Istat l-ie]or

unikament

(a) b]ala student f’università, kulle[[ jew skola rikonoxxuti jew

istituzzjoni edukattiva rikonoxxuta simili o]ra f’dak l-Istat l-ie]or;

(b) b]ala apprendist kummer`jali jew tekniku; jew

(`) b]ala persuna li tir`ievi g]otja, allowance jew premju g]all-fini ewlieni

ta’ studju, ri`erka jew ta]ri[ mill-gvern ta’ xi Stat wie]ed jew l-ie]or

jew minn xi organizzazzjoni xjentifika, edukattiva, reli[ju\a jew

karitattevoli jew ta]t xi programm ta’ assistenza teknika mag]mul mill-

Gvern ta’ xi Stat wie]ed jew l-ie]or,

ikun e\enti mit-taxxa f’dak l-Istat l-ie]or fuq

(a) kull ]las li jir`ievi minn barra l-pajji\ g]all-finijiet tal-manteniment, l-

edukazzjoni, l-istudju, r-ri`erka jew it-ta]ri[ tieg]u;

(b) l-ammont ta’ dik l-g]otja, allowance jew premju; u

(`) kull rimunerazzjoni li ma tkunx te``edi l-ekwivalenti fil-munita ta’ dak

l-Istat l-ie]or ta’ elfejn dollaru Amerikan (US $ 2,000) g]ar-rigward ta’

servizzi f’dak l-Istat l-ie]or sakemm is-servizzi jsiru f’dak li g]andu

x’jaqsam ma’ l-istudju, ri`erka jew ta]ri[ tieg]u jew ikunu me]tie[a

g]all-finijiet tal-manteniment tieg]u.

Artikolu 22

G]alliema u ri`erkaturi

1. Individwu li jkun residenti fi Stat Kontraenti minnufih qabel ma jag]mel

\jara lill-Istat Kontraenti l-ie]or, u li, fuq stedina ta’ xi università, kulle[[, skola jew

istituzzjoni edukattiva simili o]ra, jinvi\ta lil dak l-Istat l-ie]or g]al perjodu li ma

je``edix is-sentejn unikament g]all-fini ta’ tag]lim jew ri`erka jew it-tnejn flimkien

f’dik l-istituzzjoni edukattiva jkun e\enti mit-taxxa f’dak l-Istat l-ie]or fuq kull

rimunerazzjoni ghal dak it-tag]lim jew ri`erka jew it-tnejn li huma.

2. Dan l-Artikolu ma g]andux japplika g]al income minn ri`erka jekk dik ir-

ri`erka ssir primarjament g]all-benefi``ju privat ta’ xi persuna spe`ifika jew persuni

spe`ifi`i.

Artikolu 23

Income mhux espressament imsemmi

Elementi ta’ income ta’ residenti ta’ Stat Kontraenti li mhux espressament

imsemmija fl-Artikoli pre`edenti ta’ dan il-Ftehim g]andhom ikunu taxxabbli biss

f’dak l-Istat Kontraenti ]lief li jekk dak l-income jinkiseb minn g]ejjun fl-Istat

Kontraenti l-ie]or, dan jista’ wkoll ji[i intaxxat f’dak l-Istat l-ie]or.

Artikolu 24

Eliminazzjoni ta’ tassazzjoni doppja

1. Bla ]sara g]al-li[ijiet tal-Malasja dwar l-g]oti bi kreditu kontra t-taxxa tal-

Malasja ta’ taxxa pagabbli f’xi pajji\ li ma jkunx il-Malasja, it-taxxa ta’ Malta li

tit]allas ta]t il-li[ijiet ta’ Malta u skond dan il-Ftehim minn residenti tal-Malasja

dwar income miksub minn Malta g]andu ji[i permess b]ala kreditu kontra t-taxxa

tal-Malasja li tit]allas g]ar-rigward ta’ dak l-income. Dak il-kreditu m’g]andux,

madankollu, je``edi dik il-parti tat-taxxa tal-Malasja, kif ti[i komputata qabel ma

jing]ata l-kreditu, li tkun tapplika g]al dak l-element ta’ income.

2. G]all-finijiet tal-paragrafu 1, il-fra\i "taxxa ta’ Malta li tit]allas" g]andha

titqies li tinkludi l-ammont ta’ taxxa ta’ Malta li kienet, ta]t il-li[ijiet ta’ Malta u

skond dan il-Ftehim, tit]allas fuq income miksub minn g]ejjun f’Malta li kieku l-

income ma jkunx [ie intaxxat b’rata mnaqqsa jew e\entat mit-taxxa ta’ Malta skond

(a) l-Ordinanza ta’ l-1959 dwar l-G]ajnuna lill-Industrji, u l-Att ta’ l-1988

dwar l-I\vilupp Industrjali, daqskemm dawn kienu fis-se]] fi, u ma

[ewx modifikati mid-data meta jkun [ie ffirmat dan il-Ftehim jew ikunu

[ew modifikati biss f’xi dettall minuri sabiex ma tintlaqatx ix-xorta

[enerali tag]hom; jew

(b) kull disposizzjoni o]ra li tista’ tkun sussegwentement imda]]la f’Malta

b’modifika jew b’\jieda mal-li[ijiet li je\istu dwar in`entivi spe`jali

sakemm dawn ikun hemm qbil dwarhom mill-awtoritajiet kompetenti

ta’ l-Istati Kontraenti b]ala li jkunu ta’ xorta sostanzjalment simili.

3. Bla ]sara g]al-li[ijiet ta’ Malta dwar l-g]oti bi kreditu kontra t-taxxa ta’

Malta ta’ taxxa li tit]allas f’xi pajji\ li ma jkunx Malta, it-taxxa tal-Malasja li

tit]allas ta]t il-li[ijiet tal-Malasja u skond dan il-Ftehim minn residenti ta’ Malta

dwar income li jinkiseb mill-Malasja g]andha ti[i permessa b]ala kreditu kontra t-

taxxa ta’ Malta li tit]allas dwar dak l-income. Il-kreditu ma g]andux, madankollu,

je``edi dik il-parti tat-taxxa ta’ Malta, kif din tin]adem qabel ma jing]ata l-kreditu,

li tkun tapplika g]al dak l-element ta’ income.

4. G]all-finijiet tal-paragrafu 1, il-fra\i "taxxa tal-Malasja li tit]allas" g]andha

titqies li tinkludi l-ammont ta’ taxxa tal-Malasja li kienet, ta]t il-li[ijiet ta’ Malasja

u skond dan il-Ftehim, tit]allas fuq income miksub minn g]ejjun fil-Malasja li kieku

l-income ma jkunx [ie intaxxat b’rata mnaqqsa jew e\entat mit-taxxa tal-Malasja

skond

(a) l-Income Tax Act, 1967 u l-Promotion of Investment Act, 1986

daqskemm dawn kienu fis-se]] fi, u ma [ewx modifikati mid-data meta

jkun [ie ffirmat dan il-Ftehim jew ikunu [ew modifikati biss f’xi dettall

minuri sabiex ma tintlaqatx ix-xorta [enerali tag]hom; jew

(b) kull disposizzjoni o]ra li tista’ tkun sussegwentement imda]]la fil-

Malasja b’modifika jew b’\jieda mal-li[ijiet li je\istu dwar in`entivi

spe`jali sakemm dawn ikun hemm qbil dwarhom mill-awtoritajiet

kompetenti ta’ l-Istati Kontraenti b]ala li jkunu ta’ xorta sostanzjalment

simili; u

(`) mg]ax li g]alih japplika l-paragrafu 3 ta’ l-Artikolu 11 li kieku dak l-

img]ax ma [iex e\entat mit-taxxa tal-Malasja skond dak il-paragrafu.

5. G]all-finijiet tal-paragrafu 3, meta royalties miksuba minn residenti ta’

Malta jkunu, b]all-kiri ta’ films, so[[etti g]ad-dazju fuq il-kiri ta’ films fotografi`i

fil-Malasja, dak id-dazju g]andu jitqies b]ala taxxa tal-Malasja.

Artikolu 25

Ebda diskriminazzjoni

1. I`-`ittadini ta’ Stat Kontraenti ma g]andhomx ji[u so[[etti fl-Istat

Kontraenti l-ie]or g]al xi tassazzjoni jew ]tie[a konnessa ma’ dan, li tkun diversa

jew ta’ iktar pi\ mit-tassazzjoni u ]ti[iet konnessi li g]alihom `ittadini ta’ dak l-Istat

l-ie]or fl-istess `irkostanzi huma jew jistg]u jkunu so[[etti.

2. L-intaxxar fuq stabbiliment permanenti li impri\a ta’ Stat Kontraenti jkollha

fl-Istat Kontraenti l-ie]or ma g]andux jin[abar inqas favorevolment f’dak Istat l-

ie]or mit-tassazzjoni mi[bura fuq impri\i ta’ dak l-Istat l-ie]or li jkun qieg]ed

iwettaq l-istess attivitajiet.

3. Impri\i ta’ Stat Kontraenti, li l-kapital tag]hom ikun g]alkollox jew f’parti

minnu proprjetà jew ta]t il-kontroll, sew dirett sew mhux dirett, minn residenti

wie]ed jew iktar ta’ l-Istat Kontraenti l-ie]or, ma jkunux su[[etti fl-Istat l-ewwel

imsemmi g]al xi tassazzjoni jew ]tie[a konnessa ma’ dan li tkun xort’o]ra jew ta’

iktar pi\ mit-tassazzjoni u ]tie[iet konnessi li g]alihom ikun jew jistg]u jkunu

so[[etti l-impri\i ta’ dak l-ewwel imsemmi Stat.

4. Ebda ]a[a f’dan l-Artikolu ma g]andha tiftiehem b]ala li tobbliga

(a) lil Stat Kontraenti li jag]ti lil individwi li jkunu residenti fl-Istat

Kontraenti l-ie]or xi allowance personali, ]elsien u tnaqqis g]al finijiet

ta’ taxxa min]abba fi status `ivili, responsabbiltajiet familjari jew kull

`irkostanza personali o]ra li soltu jag]ti lir-residenti tieg]u stess;

(b) lil Malasja li tag]ti lil `ittadini ta’ Malta mhux residenti fil-Malasja kull

tali allowance personali, ]elsien u tnaqqis g]al finijiet ta’ taxxa li huma

skond il-li[i disponibbli fid-data meta ji[i ffirmat dan il-Ftehim biss lil

`ittadini tal-Malasja li ma jkunux residenti fil-Malasja.

5. F’dan l-Artikolu, il-fra\i "tassazzjoni" tfisser taxxi li dan il-Ftehim japplika

g]alihom.

Artikolu 26

Pro`edura g]al ftehim re`iproku

1. Meta residenti ta’ Stat Kontraenti jkun jidhirlu li l-azzjonijiet ta’ xi wie]ed

jew ta\-\ew[ Stati Kontraenti jirri\ultawlu jew jistg]u jirri\ultawlu f’tassazzjoni li

ma tkunx skond dan il-Ftehim, huwa jista’, minkejja r-rimedji pprovduti bil-li[ijiet

ta’ tassazzjoni ta’ dawk l-Istati, jippre\enta l-ka\ tieg]u quddiem l-awtorità

kompetenti ta’ l-Istat li huwa jkun residenti fih jew, jekk il-ka\ tieg]u jkun jaqa’ ta]t

il-paragrafu 1 ta’ l-artikolu 25, lil dik ta’ l-Istat li tieg]u huwa jkun `ittadin. Il-ka\

g]andu ji[i ppre\entat fi \mien tliet snin minn l-ewwel avvi\ ta’ l-azzjoni li tirri\ulta

f’intaxxar li ma jkunx skond id-disposizzjonijiet ta’ dan il-Ftehim.

2. L-awtorità kompetenti g]andha tist]arre[, jekk l-o[[ezzjoni tkun tidher

wa]da [ustifikata u jekk hi nnifisha ma tkunx tista’ tasal g]al soluzzjoni adatta, li

tirrisolvi l-ka\ bi ftehim re`iproku ma’ l-awtorità kompetenti ta’ l-Istat Kontraenti l-

ie]or, bil-g]an li ti[i evitata tassazzjoni li ma tkunx skond dan il-Ftehim. Meta

jintla]aq ftehim dan g]andu ji[i implimentat minkejja kull terminu ta’ \mien fil-li[i

domestika ta’ l-Istati Kontraenti.

3. L-awtoritajiet kompetenti ta’ l-Istati Kontraenti g]andhom jist]arr[u kif

jirrisolvu permezz ta’ ftehim re`iproku kull diffikultà jew dubbju li jista’ jitnissel

dwar l-interpretazzjoni jew l-applikazzjoni ta’ dan il-Ftehim. Dawn jistg]u wkoll

jikkonsultaw flimkien g]all-eliminazzjoni ta’ tassazzjoni doppja f’dawk il-ka\ijiet li

m’hemm xejn provdut dwarhom f’dan il-Ftehim.

4. L-awtoritajiet kompetenti ta’ l-Istati Kontraenti jistg]u jikkomunikaw ma’

xulxin direttament bil-g]an li jil]qu ftehim fis-sens tal-paragrafi pre`edenti.

Artikolu 27

Skambju ta’ informazzjoni

1. L-awtoritajiet kompetenti ta’ l-Istati Kontraenti g]andhom jiskambjaw dik l-

informazzjoni li tista’ tkun me]tie[a g]at-twettiq ta’ dan il-Ftehim g]all-prevenzjoni

jew il-kxif ta’ eva\joni jew evitar ta’ taxxi koperti b’dan il-Ftehim. Kull

informazzjoni li ti[i hekk mibdula g]andha ti[i ttrattata b]ala wa]da sigrieta u

g]andha ti[i \velata biss lil persuni jew awtoritajiet (inklu\a qorti jew awtorità ta’

revi\joni) involuti fl-istima, il-[bir, l-infurzar jew il-prosekuzzjoni dwar, jew id-

de`izjoni ta’ appelli dwar it-taxxi li jaqg]u ta]t dan il-Ftehim. Dawk il-persuni jew

awtoritajiet g]andhom ju\aw dik l-informazzjoni biss g]al dawk l-g]anijiet. Huma

jistg]u ji\velaw l-informazzjoni fi pro`eduri tal-qorti bil-miftu] jew f’de`i\jonijiet

[udizzjarji.

2. F’ebda ka\ ma g]andhom id-disposizzjonijiet tal-paragrafu 1 jiftiehmu

b]ala li jimponu fuq Stat Kontraenti l-obbligu

(a) li jwettaq mi\uri amministrattivi li ma jkunux jaqblu mal-li[ijiet jew

mal-prattika amministrattiva ta’ dak jew ta’ l-Istat Kontraenti l-ie]or;

(b) li jag]ti partikolaritajiet li ma jkunux ottenibbli ta]t il-li[ijiet jew fil-

kors normali ta’ l-amministrazzjoni ta’ dak jew ta’ l-Istat l-ie]or;

(`) li jag]ti informazzjoni li tikxef xi sigriet ta’ seng]a, negozju, industrija,

kummer` jew professjoni jew pro`ess tal-kummer`, jew informazzjoni,

li meta ti[i \velata din tkun tmur kontra l-ordni pubbliku.

Artikolu 28

Persuni diplomati`i u uffi`jali konsulari

Ebda ]a[a f’dan il-Ftehim ma g]andha tolqot il-privile[[i fiskali ta’ persuni

diplomati`i jew uffi`jali konsulari ta]t ir-regoli [enerali tad-dritt internazzjonali jew

ta]t id-disposizzjonijiet ta’ kull ftehim spe`jali.

Artikolu 29

Bidu fis-se]]

1. Il-Gvernijiet ta’ l-Istati Kontraenti g]andhom jav\aw lil xulxin li jkunu [ew

im]arsa l-]ti[iet kostituzzjonali g]ad-d]ul fis-se]] ta’ dan il-Ftehim.

2. Dan il-Ftehim g]andu jibda jse]] tletin jum wara d-data ta’ l-a]]ar mill-

avvi\i msemmija fil-paragrafu 1 ta’ dan l-Artikolu u d-disposizzjonijiet tieg]u

jkollhom effett g]ar-rigward ta’ taxxi g]al xi sena ta’ stima li tibda fi jew wara l-

ewwel ta’ Jannar fit-tieni sena kalendarja li ti[i wara s-sena meta l-Ftehim jibda

jse]].

Artikolu 30

Terminazzjoni

Dan il-Ftehim g]andu jibqa’ jkollu effett g]al \mien indefinittiv, imma Stat

Kontraenti il-wie]ed jew l-ie]or jista’ jittermina l-Ftehim, permezz tal-kanali

diplomati`i, billi jag]ti lill-Istat Kontraenti l-ie]or avvi\ bil-miktub tat-

terminazzjoni fi jew qabel it-30 ta’ {unju ta’ xi sena kalendarja li tibda wara l-

iskadenza ta’ perjodu ta’ ]ames snin mid-data tad-d]ul fis-se]] ta’ dan il-Ftehim.

F’dik i`-`irkostanza, l-Ftehim g]andu jtemm milli jibqa’ jse]] dwar taxxi g]as-sena

ta’ stima li tibda fl-ewwel ta’ Jannar fit-tieni sena kalendarja li ti[i minnufih wara s-

sena meta jing]ata l-avvi\ u g]as-snin ta’ stima li ji[u wara.

B’XIEHDA TA’ DAN is-sottoskritti, awtorizzati kif imiss biex jag]mlu dan,

mill-Gvernijiet rispettivi tag]hom, iffirmaw dan il-Ftehim.

MAG}MUL f’Kingston, {amajka, illum 3 ta’ Ottubru 1995, kull wie]ed fl-ilsien

Ingli\ u fl-ilsien Bahasa Malaysia, i\-\ew[ testi awtenti`i ndaqs.

G]all-Gvern tal-Malasja

G]all-Gvern ta’ Malta

Wong see Wah

John Dalli

Deputat Ministru tal-Finanzi

Ministru tal-Finanzi

PROTOKOLL

(1) Fil-waqt ta’ l-iffirmar tal-ftehim bejn il-Gvern tal-Malasja u l-Gvern ta’

Malta g]all-]elsien mit-Taxxa u l-Prevenzjoni ta’ l-Eva\joni Fiskali g]ar-rigward

ta’ Taxxi fuq l-Income, i\-zew[ Gvernijiet ftehmu li dawn id-disposizzjonijiet li

[ejjin g]andhom jifformaw parti integrali mill-Ftehim

(2)

G]ar-rigward ta’ Artikolu 7 dwar ‘Profitti minn Negozju’

Ebda ]a[a f’ dan il-Ftehim ma g]andha tolqot it-t]addim ta’ xi li[i ta’ xi

Stat Kontraenti dwar it-tassazzjoni ta’ l-income jew il-profitti minn kummer` ta’ l-

assigurazzjoni sakemm jekk il-li[i rilevanti li tkun fis-se]] f’xi Stat Kontraenti l-

wie]ed jew l-ie]or ti[i emendata (xort’o]ra milli f’ xi dettall minuri hekk li ma

jkunx jolqot ix-xorta [enerali tag]ha) l-Istati g]andhom jikkonsultaw lil xulxin bil-

g]an li jaqblu dwar kull emenda li ssir f’ dan il-paragrafu u li tista’ tkun adatta.

(3)

G]ar-rigward ta’ Artikolu 10 ‘Dividendi’

Ta]t il-li[i ta’ Malta fis-se]], it-taxxa fuq l-income im]allsa minn

kumpannija, b]alma jirreferi g]al dik il-parti mill-profitti tag]ha li titqassam b]ala

dividendi, hija assimilata mat-taxxa fuq l-income personali ta’ l-azzjonist li jkun qed

jir`ievi dak id-dividend. Meta jkun g]and l-azzjonist tit]allas fuq id-dividend it-

taxxa grossa u l-ammont ta’ taxxa rilevanti, hekk assimilat, ssir tpa`ija tieg]u kontra

l-passiv tat-taxxa ta’ l-azzjonist fuq l-income tieg]u minn kull g]ajn li fuqha

tit]allas it-taxxa.

(4) G]ar-rigward paragrafu 4 ta’ Artikolu 13 ÔDrittijiet Tekni`i’ qieg]ed

jiftiehem li fejn paragrafu 1 (a) jew (b) ta’ Artikolu 15 japplika, g]andhom

japplikaw id-disposizzjonijiet ta’ Artikolu 15.

B’XIEHDA TA’ DAN is-sottoskritti, awtorizzati kif imiss biex jag]mlu dan,

mill-Gvernijiet rispettivi tag]hom, iffirmaw dan il-Ftehim.

MAG}MUL f’Kingston, {amajka, illum 3 ta’ Ottubru 1995, kull wie]ed fl-

ilsien Ingli\ u fl-ilsien Bahasa Malaysia, i\-\ew[ testi awtenti`i ndaqs.

G]all-Gvern tal-Malasja

G]all-Gvern ta’ Malta

Wong see Wah

John Dalli

Deputat Ministru tal-Finanzi

Ministru tal-Finanzi