722

II SÉRIE-A — NÚMERO 44

Article 21 %;l

Government service ^'

1 — a) Remuneration, other than a pension, paid by - a Contracting State or a political or administrative subdivisión or a local authority thereof to an individual in respect of services rendered to that State or subdivision or authority 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:

/) Is a national of that State; or if) Did not become a resident of that State solely for the purpose of rendering the services.

2—a) Any pension paid by, or out of funds created by, a Contracting State or a political or adrmnistrative subdivision or a local authority thereof to an individual in respect of services rendered to that State, subdivision or authority shall be taxable only in that State.

b) However, such pension shall be taxable only in the other Contracting State if the individual is a resident and national of that State.

3 — The provisions of articles 15, independent personal services», 16, «Dependent personal services*,. 18, «Di-rectors' fees», 19, «Artistes and sportsmen», and 20, «Pen-sions, annuities, alimony, and child support*, shall apply to remuneration and pensions in respect of services rendered in connection with a business carried on by a Contracting State or a political or administrative subdivision or a local authority thereof.

Article 22 Teachers and researchers

1 — An individual who is a resident of a Contracting State immediately before visiting the other Contracting State and who, at the invitation of the Government of the other Contracting State or of a university or other accredited education institution or recognized scientific research institution of that other Contracting States, or under an official program of cultural exchange, visits that other State solely for the purpose of teaching or carrying out research at such a university or educational institution shall be exempt from tax in both Contracting States on his remuneration from such activity for a period not exceeding 2 years from the date of his arrival in the other State. An individual shall be entitled to the benefits of this paragraph only once and in no event shall any individual have the benefits of both this article and article 23, «Students and trainees*, either simultaneously or consecutively.

2 — This article shall not apply to income from research if such research is undertaken not in the public interest but primarily for the private benefit of a specific person or persons.

Article 23

Students and trainees

1 — a) An individual who is a resident of a Contracting State immediately before his visit to the other Contracting State and who Is temporarily present in that other Contracting State for the primary purpose of:

f) Studying at a university or other accredited educational institution in uSkou^Con^ractirig Stale;

if) Securing training required to qualify him to

pracD.ce a profession or professional speciality; or

iii) Studying or doing research as a recipient of a grant, allowance, or award from a governmental, religious, charitable, scientific, literary, or educational organization;

shall be exempt from tax by that other Contracting State with respect to the amounts described in subparagraph b) of this paragraph for a period not exceeding 5 years from the date of his arrival in that other State.

b) The amounts referred to in subparagraph d) of this paragraph are:

0 Payments from abroad for the purpose of the individual's maintenance, education, study research, or training; it) The grant, allowance, or award; and iii) Income from personal services performed in that other Contracting State in an aggregate amount not in excess of 5,000 United States dollars or its equivalent in Portuguese escudos for any taxable year.

2 — An individual who is a resident of a Contracting State immediately before his visit to the other Contracting State and who is temporarily present in that other Contracting State as an employee of, or under contract with a resident of the first-mentioned Contracting State, for the primary purpose of:

o) Acquiring technical, professional, or business experience from a person other than resident of the first-mentioned Contracting State; or

b) Studying at a university or other accredited educational institution in that other Contracting State;

shall be exempt from tax by that other Contracting State for a period of 12 consecutive months with respect to his income from personal services in an aggregate amount not in excess of 8,000 United States dollars or its equivalent in Portuguese escudos.

3 — This article shall not apply to income from research if such research is undertaken not in the public interest but primarily for the private benefit of a specific person or persons.

Article 24 Other income

1 — Items of income of a resident of a Contracting State, wherever arising, not dealt with in the foregoing articles of this Convention shall be taxable only in that State unless they arise in the other Contracting State, in which case they may also be taxed in that other State.

2 — The provisions of paragraph 1 shall not apply to income, other than income from immovable property (real property) as defined in paragraph 2 of article 6, «Income from immovable property (real property)*, if the beneficial owner of the income, being a resident of a Contracting State, carries on or has carried on business in the' other Contracting State through a permanent establishment situated therein, or performs or has performed in that other State independent personal services from a fixed base situated therein, and the right or property in respect of which the income is paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of article 1, «ft\&\-ness, profits*, or article 15 independent personal services*, as,the case may be, shall apply.