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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 Malaysia, a person who is resident in Malaysia for the purposes of Malaysian tax; and
  • (b) in the case of the United Arab Emirates, a person who is resident in the United Arab Emirates for the purpose of U.A.E. tax.

(2) For the purpose of paragraph 1 above the term "resident" shall include:

  • (a) in the case of the United Arab Emirates:
    • (i) the Government of the United Arab Emirates, local Government or any political subdivision or local authority thereof;
    • (ii) any Governmental institution created by public law such as the Central Bank, Abu Dhabi Investment Authority, Fund, Corporation, Authority Foundation Agency or any other similar entity established in the United Arab Emirates; and
    • (iii) any inter-governmental entity established in the United Arab Emirates which is funded solely by the United Arab Emirates or jointly with other States.
  • (b) in the case of Malaysia:
    • (i) the Government of Malaysia or the Governments of the States or local authorities thereof;
    • (ii) any governmental institutions created by public law such as the Central Bank, Fund, Corporation, Authority, Foundation, Agency or any other similar institution established in Malaysia; and
    • (iii) any other inter-governmental entity established in Malaysia which is funded solely by Malaysia or jointly with other States.

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

  • (a) he shall be deemed to be a resident of the State in which he has a permanent home available to him. If he has a permanent home available to him in both Contracting States, he shall be deemed to be a resident of the Contracting State with which his personal and economic relations are closer (centre of vital interests);
  • (b) if the Contracting State in which he has his centre of vital interests cannot be determined, or if he does not have a permanent home available to him in either Contracting State, he shall be deemed to be a resident of the Contracting State in which he has an habitual abode;
  • (c) if he has an habitual abode in both Contracting States or in neither of them, he shall be deemed to be a resident of the Contracting State of which he is a national;
  • (d) if he is a national of both Contracting States or of neither of them, 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, then it shall be deemed to be a resident of the State in which its place of effective management is situated.