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Note: This Treaty may be impacted by the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent BEPS (MLI). MLI impact on Tax Treaties is available with the Orbitax International Tax Research & Compliance Expert.

ARTICLE 4

Resident

(1) For the purposes of this Convention, the term "a resident of a Contracting State" shall mean:

  • (a) Any person subject to tax in accordance with the laws applicable in such State because of his home, accommodation, place of establishment, headquarters or any other criterion featured by such status. It also includes that State and any of municipalities or local authorities thereof.  
  • (b) Any founding legal person (such as sovereign funds owned by the government or any other entities) in accordance with the laws of a Contracting State whether he is tax-exempt or not subject to tax in this State as well as a resident therein either for:
    • (i) a religious, charitable, educational, scientific or any similar purpose.
    • (ii) or to provide pensions or other similar benefits for employees.

However, such term shall not include any person subject to income or capital tax in such Contracting State.

(2) If a person is considered, in accordance with the provisions of paragraph (1) herein, a resident in both Contracting States, he/she shall be:

  • (a) A resident of the State in which he/she has a permanent home. If he/she has permanent home in both Contracting States, he/she shall be deemed a resident of a Contracting State with which his/her personal and economic relations are closer, (the center of "vital" interests).
  • (b) If it is not possible to determine the Contracting State which is his/her center of vital interests or he/she has no permanent home in either Contracting States, he/she shall be deemed a resident of a Contracting State in which he/she has a usual home.
  • (c) If he/she has a usual home in either Contracting States or does not have a usual home in both of them, he/she shall be deemed a resident of the State which he/she holds its nationality.
  • (d) If he/she holds the nationalities of both Contracting States, or does not hold the nationality of any of the Contracting States, the competent authorities of both Contracting States shall settle the matter by mutual agreement.

(3) Whereas the provisions of paragraph (1) thereof apply, if the person-other than individual either is a resident in both Contracting States; therefore he/she shall be deemed a resident of a State where the actual management headquarters exists.