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ARTICLE 4

Resident

(1) For the purposes of this Agreement, the term "resident of a Contracting State" means:

  • (a) in the case of Lithuania, any person who, under the laws of Lithuania, is liable to tax therein by reason of his domicile, residence, place of incorporation, place of management or any other criterion of a similar nature, and also includes Lithuania and any local authority thereof. This term, however, does not include any person who is liable to tax in Lithuania in respect only of income from sources in Lithuania or capital situated therein;
  • (b) in the case of the United Arab Emirates:
    • (i) an individual who under the laws of the United Arab Emirates is considered a resident thereof by reason of his domicile, residence or any other criterion of a similar nature;
    • (ii) a company which is established under the law of the United Arab Emirates.

(2) For the purposes of paragraph (1), the term "resident of a Contracting State" also includes:

  • (a) that State, any local government, local authority thereof;
  • (b) a pension fund that is recognized and controlled according to the statutory provisions of a Contracting State and the income of which is generally exempt from tax in that State;
  • (c) a governmental institution of a Contracting State. Any institution shall be deemed to be a governmental institution which has been created, wholly owned and controlled by the Government of one of the Contracting States or of its local governments and which is recognized as such by mutual agreement of the competent authorities of the Contracting States.

(3) 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:

  • (a) he shall be deemed to be a resident only of the Contracting State in which he has a permanent home available to him; if he has a permanent home available to him in both States, he shall be deemed to be a resident only of the State with which his personal and economic relations are closer (center of vital interests);
  • (b) if the State in which he has his center of vital interests cannot be determined, or if he has not a permanent home available to him in either State, he shall be deemed to be a resident only of the State in which he has an habitual abode;
  • (c) if he has a habitual abode in both States or in neither of them, he shall be deemed to be a resident only of the State of which he is a national;
  • (d) if his status cannot be determined under the provisions of subparagraph (c), the competent authorities of the Contracting States shall settle the question by mutual agreement.

(4) 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 determine by mutual agreement the Contracting State of which such person shall be deemed to be a resident for the purposes of the Agreement.