ARTICLE 3

General Definitions

(1) For the purposes of this Agreement, unless the context otherwise requires:

• (a) the terms "a Contracting State" and "the other Contracting State" mean the Federal Republic of Germany or Papua New Guinea, as the context requires;
• (b) the term "Federal Republic of Germany", when used in a geographical sense for the purposes of the Agreement, means the area in which the tax law of the Federal Republic of Germany is in force, including the area of the sea-bed, its sub-soil and the superjacent water column adjacent to the territorial sea, insofar as the Federal Republic of Germany exercises there, for the purposes of exploring and exploiting the natural resources, sovereign rights and jurisdiction in conformity with international law and its national legislation;
• (c) the term "Papua New Guinea" means the Independent State of Papua New Guinea and, when used in a geographical sense for the purposes of the Agreement, includes any area adjacent to the territorial limits of Papua New Guinea in respect of which there is for the time being in force, consistently with international law, a law of Papua New Guinea dealing with the exploitation of any of the natural resources of the continental shelf, its sea-bed and sub-soil;
• (d) the term "person" means an individual and a company;
• (e) the term "company" means any body corporate or any entity which is treated as a company or a body corporate for tax purposes;
• (f) the term "real property" has the meaning which it has under the law of the Contracting State in which the property in question is situated. The term shall in any case include property accessory to immovable property, livestock and equipment used in agriculture and forestry, rights to which the provisions of general law respecting landed property apply, usufruct of immovable property and rights to variable or fixed payments as consideration for the working of, or the right to work or to explore for, mineral, oil or gas deposits, sources and other natural resources; any interest or right referred to in this subparagraph shall be regarded as situated where the land, mineral, oil or gas deposits, sources or other natural resources, as the case may be, are situated or where the exploration may take place; ships, boats and aircraft shall not be regarded as real property;
• (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 "national" means:
  • (aa) in respect of the Federal Republic of Germany, any German within the meaning of Article 116, paragraph 1, of the Basic Law for the Federal Republic of Germany and any legal person, partnership and association deriving its status as such from the law in force in the Federal Republic of Germany;
  • (bb) in respect of Papua New Guinea, any Papua New Guinea citizen and any legal person, partnership and association deriving its status as such from the law in force in Papua New Guinea;
• (i) the term "international traffic" means any transport by a ship or aircraft operated by an enterprise which has its place of effective management in a Contracting State, except when the ship or aircraft is operated wholly or mainly between places in the other Contracting State;
• (j) the term "competent authority" means in the case of the Federal Republic of Germany, the Federal Ministry of Finance, and in the case of Papua New Guinea, the Chief Collector of Taxes or an authorized representative of the Chief Collector of Taxes.

(2) As regards the application of the Agreement by a Contracting State any term not defined therein shall, unless the context otherwise requires, have the meaning which it has under the law of that State concerning the taxes to which the Agreement applies.