Article 4 Resident

For the purposes of this Convention, the term ‘resident of a Contracting State’ means any person who, under the laws of that State, is liable to tax therein by reason of his domicile, residence, place of management or any other criterion of a similar nature. This term, however, does not include any person who is liable to tax in that State in respect only of income from sources in that State. In the case of income derived or paid by an estate or trust, the term ‘resident of a Contracting State’ applies only to the extent that the income derived by such estate or trust is subject to tax in that State as the income of a resident, either in its hands or in the hands of its beneficiaries.

The term ‘resident of a Contracting State’ also includes that State, any political subdivision or local authority thereof and a pension fund that is recognised and controlled according to the statutory provisions of a Contracting State and the income of which is generally exempt from tax in that State.

Where by reason of the provisions of paragraph 1 an individual is a resident of both Contracting States, then his status shall be determined as follows:

Where by reason of the provisions of paragraph 1, a person other than an individual is a resident of both Contracting States, the competent authorities of the Contracting States shall settle its residence for the purpose of this Convention by mutual agreement, having regard to its place of effective management, its place of incorporation and any other relevant factors. In the absence of such agreement, such a person shall not be entitled to any benefits under this Convention.