ARTICLE 4

Resident

(1) For the purposes of this Convention, the term "resident of a Contracting State" means any person who, under the law of that State, is subject to tax in that State by reason of his place of domicile, place of residence, place of management or any other similar criterion and applies also to that State, its Länder or its political subdivisions and to their local authorities. However, this term does not include persons who are subject to tax in that State only for income from sources in that State or for the capital situated therein.

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

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

(3) Where by reason of the provisions of paragraph (1), a person other than an individual is a resident of both Contracting States, then such person shall be deemed to be a resident of the State in which its place of effective management is situated.

(4) A company of persons/partnership shall be considered to be a resident of the Contracting State in which its place of effective management is situated.