II SÉRIE-A - NÚMERO 41
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 of the State in which is place of effective management is situated.
1 — For the purposes of this Convention, 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» includes especially:
a) A place of management;
b) A branch;
c) An office;
d) A factory;
e) A workshop; and
f) A mine, an oil or gas well, a quarry or any other place of extraction of natural resources.
3 — A building site or construction or installation project constitutes a permanent establishment only if it lasts more than 12 months.
4 — 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 delibery;
c) The sale of goods or merchandise belonging to the enterprise displayed in the frame of an occa-
. sional temporary fair or exhibition where the goods or merchandise are sold no later than one month after the closing of the said fair or exhibition;
d) The maintenance of a stock of goods or merchandise belonging to the enterprise solely for the purpose of processing by another enterprise;
e) The maintenance of a fixed place of business solely for the purpose of purchasing goods or merchandise or of collecting information, for the enterprise;
f) 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;
g) The maintenance of a fixed place of business solely for any combination of activities mentioned in subparagraphs a) to f), provided that the overall activity of the fixed place of business resulting from this combination is of a preparatory or auxiliary character.
5 — Notwithstanding the provisions of paragraphs 1 and 2, where a person — other than an agent of an independent status to whom paragraph 7 applies — is acting on behalf of an enterprise and has, and habitually exercises, in a Contracting State an authority to conclude
contracts in the name of the enterprise, that enterprise shall be deemed to have a permanent establishment in that State in respect of any activities which that person undertakes for the enterprise, unless the activities of such person are limited to those mentioned in paragraph 4 which, if exercised through a fixed place of business, would not make this fixed place of business a permanent establishment under the provisions of that paragraph.
6 — Notwithstanding the preceding provisions of this article, an insurance company, except for reinsurance, of a Contracting State shall be deemed to have a permanent establishment in the other Contracting State if it collects premiums on the territory of the other State or it insures risks situated therein through a person, other than an agent of an independent status to whom paragraph 7 applies.
7 — An enterprise shall not be deemed to have a permanent establishment in a Contracting State merely because it carries on business in that State through a broker, general commission agent or any other agent of an independent status, provided that such persons are acting in the ordinary course of their business.
8 — 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 (wheter through a permanent establishment or otherwise), shall not of itself constitute either company a permanent establishment of the other.
Income from immovable property
1 — Income derived by a resident of a Contracting State from immovable property (including income from agriculture or forestry) situated in the other Contracting State may be taxed in that other State.
2 — The term «immovable property» shall have the meaning which it has under the law 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 immovabler property and rights to variable or fixed payments as consideration for the working of, or the right to work, mineral deposits, sources and other natural resources; ships, aircraft and road vehicles 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.
5 — The foregoing provisions shall also apply to income from movable property, or income derived from services connected with the use or the right to use the immovable property, which, under the taxation law of the Contracting State in which the property in question is situated, is assimilated to income from immovable property.