29 DE OUTUBRO DE 1993

34-(11)

CONVENTION BETWEEN THE PORTUGUESE REPUBLIC AND IRELAND FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME.

The Government of the Portuguese Republic and the Government of Ireland, desiring to conclude a Convention for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, have agreed as follows:

CHAPTER I Scope of the Convention

Article 1 Personal scope

This Convention shall apply to persons who are residents of one or both of the Contracting States.

Article 2 Taxes covered

1 — This Convention shall apply to taxes on income imposed on behalf of a Contracting State or of its political or administrative subdivisions or local authorities, irrespective of the manner in which they are levied.

2 — There shall be regarded as taxes on income all taxes imposed on total income or on elements of income, including taxes on gains frome the alienation of movable or immovable property, as well as taxes on capital appreciation.

3 — The existing taxes to which this Convention shall aplly are:

a) In the case of Ireland:

i) The income tax; it) The corporation tax; and iit) The capital gains tax;

(hereinafter referred to as «Irish tax»);

b) In the case of Portugal:

i) Personal income tax (imposto sobre o rendimento das pessoas singulares — IRS);

it) Corporate income tax (imposto sobre o rendimento das pessoas colectivas — IRC); and

Hi) Local surtax on corporate income tax (derrama);

(hereinafter referred to as «Portuguese Tax»).

4— The Convention shall apply also to any identical ot substantially similar taxes which are imposed after the date of signature of the Convention in addition to, or in place of, the existing taxes. The competent authorities of die Contracting States shall notify each other of any substantial changes which have been made in their respective taxation laws.

CHAPTER H Definitions

Article 3 General definitions

1 — For the purposes of this Convention, unless the context otherwise requires:

a) The term «Ireland» includes any area outside the territorial waters of Ireland which, in accordance with international law, has been or may hereafter be designated under the laws of Ireland as an area within which the rights of Ireland with respect to the sea bed and subsoil and their natural resources may be exercised;

b) The term «Portugal» means the territory of the Portuguese Republic situated in the European continent, the archipelagoes of Azores and Madeira, the respective territorial sea and any other zone in which, in accordance with the laws of Portugal and international law, the Portuguese Republic has sovereign rights with respect to the exploration and exploitation of the natural resources of the sea bed and subsoil, and of the superjacent waters;

c) The terms «Contracting State», «one of the Contracting States» and «the other Contracting State» mean Ireland or Portugal, as the context requires, and the term «Contracting States» means Ireland and Portugal;

d) The term «person» includes an individual, a company and any Other body of persons;

e) The term «company» means any body corporate or any entity which is treated as a body corporate for tax purposes;

f) The terms «enteiprise 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 «international traffic» means any transport by a ship or aircraft operated by an enterprise which has its place of effective management in a Contracting State, except when the ship or aircraft is operated solely between places in the other Contracting State;

h) The term «a national» means:

i) In relation to Ireland, any citizen of Ireland and any legal person, association or other entity deriving its status as such from the iaws in force in Ireland;

«) In relation to Portugal:

a) All individuals possessing the nationality of Portugal;

b) Any legal person, association or other entity deriving its status as such from the laws in force in Portugal;

i) The term «competent authority» means:

i) In the case of Ireland, the Revenue Commissioners or their authorised representative;