ARTICLE 13

Capital Gains

(1) Gains derived by a resident of a Contracting State from the alienation of immovable property, referred to in Article 6 of this Convention, and situated in the other Contracting State, may be liable to taxation in that other State.

(2) Gains derived by a resident of a Contracting State from the alienation of shares, holdings or similar rights from a company, whose capital consist, directly or indirectly, of more than 50 percent of immovable property situated in the other Contracting State, may be liable to taxation in that other State.

(3) Where gains derived by the alienation of shares, holdings, or other rights, attribute directly or indirectly to the owner of such shares, holdings or rights, granting him the right of enjoyment of immovable property situated in a Contracting State, the same may be liable to taxation in that State.

(4) Gains from the alienation of movable property forming a part of the business property of a permanent establishment, which an enterprise of a Contracting State has in the other Contracting State, including such gains from the alienation of such a permanent establishment (alone or with the whole enterprise), may be liable to taxation in that other Contracting State.

(5) Gains from the alienation of ships or aircraft operated in international traffic, or of boats utilized for inland navigation or movable property pertaining to the operation of such ships, boats or aircraft, shall be taxable only in the Contracting State in which the place of effective management of the enterprise is situated.

(6) Gains derived from the alienation of any other property other than those mentioned in paragraphs (1), (2), (3), (4) and (5) of this Article shall only be taxable in the Contracting State wherein the transferor is a resident.

(7) In the case of individuals that have been residents of a Contracting State for at least five years, and have become residents of the other Contracting State, what is set forth in paragraph (6) of this Article shall not affect the right of the first Contracting State to subject to taxation, pursuant to its internal legal provisions, the capital gains of such individuals prior to their change of domicile, which have been derived from shares or holdings in companies resident of the first Contracting State, provided that the alienation of shares or holdings is performed within the term of five years subsequent to the date on which that person ceased to be resident of the first-mentioned State.