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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.


International Traffic

(1) Profits from the operation of ships or aircraft in international traffic shall be taxable only in the Contracting State in which the place of effective management of the enterprise is situated.

(2) The provisions of paragraph (1) of this Article shall similarly apply to shares in any kind of unions owned by establishments of the Republic of Iraq or the United Arab Republic that work in the field of air or maritime transportation.

(3) The application of the Convention signed between the United Arab Republic and the Republic of Iraq for mutual exemption of taxes with respect air transport, on the 13th day of May of the year 1965 shall cease to apply indefinitely from the time when this Convention enters into force.