3. If benefits under a Covered Tax Agreement are denied pursuant to paragraph 1 with respect to an item of income derived by a resident of a Contracting Jurisdiction, the competent authority of the other

Contracting Jurisdiction may, nevertheless, grant these benefits with respect to that item of income if, in

response to a request by such resident, such competent authority determines that granting such benefits is

justified in light of the reasons such resident did not satisfy the requirements of paragraphs 1 and 2. The

competent authority of the Contracting Jurisdiction to which a request has been made under the preceding

sentence by a resident of the other Contracting Jurisdiction shall consult with the competent authority of that

other Contracting Jurisdiction before either granting or denying the request.

4. Paragraphs 1 through 3 shall apply in place of or in the absence of provisions of a Covered Tax Agreement that deny or limit benefits that would otherwise be granted to an enterprise of a Contracting

Jurisdiction which derives income from the other Contracting Jurisdiction that is attributable to a permanent

establishment of the enterprise situated in a third jurisdiction.

5. A Party may reserve the right:

a) for the entirety of this Article not to apply to its Covered Tax Agreements;

b) for the entirety of this Article not to apply to its Covered Tax Agreements that already contain the provisions described in paragraph 4;

c) for this Article to apply only to its Covered Tax Agreements that already contain the provisions described in paragraph 4.

6. Each Party that has not made the reservation described in subparagraph a) or b) of paragraph 5 shall notify the Depositary of whether each of its Covered Tax Agreements contains a provision described in

paragraph 4, and if so, the article and paragraph number of each such provision. Where all Contracting

Jurisdictions have made such a notification with respect to a provision of a Covered Tax Agreement, that

provision shall be replaced by the provisions of paragraphs 1 through 3. In other cases, paragraphs 1 through

3 shall supersede the provisions of the Covered Tax Agreement only to the extent that those provisions are

incompatible with those paragraphs.

Article 11 –Application of Tax Agreements to Restrict a Party’s Right to Tax its Own Residents

1. A Covered Tax Agreement shall not affect the taxation by a Contracting Jurisdiction of its residents, except with respect to the benefits granted under provisions of the Covered Tax Agreement:

a) which require that Contracting Jurisdiction to grant to an enterprise of that Contracting Jurisdiction a correlative or corresponding adjustment following an initial adjustment made by

the other Contracting Jurisdiction, in accordance with the Covered Tax Agreement, to the

amount of tax charged in the first-mentioned Contracting Jurisdiction on the profits of a

permanent establishment of the enterprise or the profits of an associated enterprise;

b) which may affect how that Contracting Jurisdiction taxes an individual who is a resident of that Contracting Jurisdiction if that individual derives income in respect of services rendered to the

other Contracting Jurisdiction or a political subdivision or local authority or other comparable

body thereof;

c) which may affect how that Contracting Jurisdiction taxes an individual who is a resident of that Contracting Jurisdiction if that individual is also a student, business apprentice or trainee,

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