Artikel 3 General definitions

1.

a)

the terms ‘a Contracting State’ and ‘the other Contracting State’ mean the Kingdom of Bahrain (Bahrain) or Kingdom of the Netherlands (the Netherlands), as the context requires;

b)

the term ‘Bahrain’ means the Kingdom of Bahrain and, when used in a geographical sense, includes the national territory, the territorial sea, as well as any area beyond the territorial sea, including the exclusive economic zone and the continental shelf, over which the Kingdom of Bahrain exercises sovereign rights and jurisdiction in accordance with the provisions of international law and Bahrain's national laws and regulations;

c)

the term ‘the Netherlands’ means the part of the Kingdom of the Netherlands that is situated in Europe, including its territorial sea, and any area beyond the territorial sea within which the Netherlands, in accordance with international law, exercises jurisdiction or sovereign rights;

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 that is treated as a body corporate for tax purposes or any other taxable entity constituted or recognised under the laws of one or other of the Contracting States as a body corporate;

f)

the term ‘enterprise’ applies to the carrying on of any business;

g)

the terms ‘enterprise 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;

h)

the term ‘international traffic’ means any transport by a ship or aircraft operated by an enterprise of a Contracting State, except when the ship or aircraft is operated solely between places in the other Contracting State;

i)

the term ‘competent authority’ means:

(i)

in Bahrain the Minister of Finance or his authorised representative;

(ii)

in the Netherlands the Minister of Finance or his authorised representative;

j)

the term ‘national’ means:

(i)

in the case of Bahrain;

any individual possessing the nationality or citizenship of Bahrain and any legal person, partnership or association deriving its status as such from the laws in force in Bahrain; and

(ii)

in the case of the Netherlands:

any individual possessing the nationality of the Netherlands and any legal person, partnership or association deriving its status as such from the laws in force in the Netherlands;

k)

the term ‘business’ includes the performance of professional services and of other activities of an independent character.

2.