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Untd A Emirates - Iraq Tax Treaty (2017, not yet in force) — Orbitax Tax Hub

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 10

Associated Enterprises

(1) If:

  • (a) an enterprise in a Contracting State, directly or indirectly, contributes in the management, control or capital of an enterprise in the other Contracting State; or
  • (b) the same persons, directly or indirectly, contribute in the management, control or capital of an enterprise in a Contracting State,

in both cases, if conditions were set between the two enterprises regulating their commercial or financial relations and they are different from those which might be expected to regulate the relations between two independent enterprises, then any profits prevented due to such conditions may be included in the profits of that enterprise and taxed accordingly.

(2) If a Contracting State includes within the profits of an enterprise affiliated thereto-and are taxed accordingly-profits of an enterprise of the other Contracting State that are taxable in the other Contracting State, and such profits included are achieved for the enterprise of the State firstly mentioned if the conditions of the two enterprises are the same to those between independent enterprises; hence, the other Contracting State shall make the appropriate amendment to the amount of tax imposed on such profits in this State. To identify such amendment, the other provisions of this Convention shall be taken into account as well as the two competent authorities in the two Contracting States shall hold consultations with each other when necessary.