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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.

PROTOCOL

At the signing today of the Convention between the Republic of San Marino and the Principality of Andorra for the Elimination of Double Taxation with respect to Taxes on Income and on Capital and the Prevention of tax evasion and avoidance, the undersigned have agreed upon the following provisions, which shall form an integral part of this Convention:

(I) With reference to paragraph (1) of Article 4 (Residence):

(1) An investment fund and a pension fund or scheme of a Contracting State is considered to be a resident of that State. For this purpose:

  • (a) the term "investment fund" means:
    • (i) in the case of Andorra, an investment fund according to the Law 10/2008, of 12 June, on the regulation of the collective investment undertakings under Andorran law, and any other law or regulation that may develop, replace or modify this law in the future;
    • (ii) in the case of San Marino, an investment fund according to the Law no. 165 of 17 November 2005, on companies and banking, financial and insurance services, and any other law or regulation that may develop, replace or modify this law in the future;
    • (iii) any other investment fund, arrangement or entity of a Contracting State which the competent authority of that Contracting State determines to regard as an investment fund for the purpose of this paragraph; and
  • (b) the term "pension fund or scheme" means:
    • (i) in the case of Andorra, a pension fund or scheme within the meaning of the Law 12/2017, of 22 June, on regulation and supervision of insurance and reinsurance in the Principality of Andorra, and any other law or regulation that may develop, complement, replace or modify this law in the future;
    • (ii) in the case of San Marino, an entity or arrangement established in San Marino that is treated as a separate person under the taxation laws of San Marino and:
      • (1) that is established and operated exclusively or almost exclusively to administer or provide retirement benefits and ancillary or incidental benefits to individuals and that is regulated as such by San Marino or one of its political subdivisions or local authorities; or
      • (2) that is established and operated exclusively or almost exclusively to invest funds for the benefit of entities or arrangements referred to in subdivision (i);
  • (c) any other pension fund or scheme of a Contracting State which the competent authority of that Contracting State determines to regard as a pension fund or scheme for the purpose of this paragraph.

(II) With reference to Articles 10 (Dividends) and 27 (Refunds):

In order to apply the limitations in Article 10 and the procedure in Article 27, the taxpayer should provide the following documents:

  • (1) Where the taxpayer is an individual, a tax residence certificate issued by the Tax Authority of the tax residence State.
  • (2) Where the taxpayer is a company, a tax residence certificate issued by the Tax Authority of the tax residence State and an incorporation certificate or equivalent.

(III) With reference to Article 24 (Mutual agreement procedure):

San Marino positively acknowledges Andorra’s proposal to include arbitration as a means of dispute resolution in Article 24 "Mutual Agreement Procedure" and will thus explore the feasibility of accepting the inclusion of arbitration in the Convention.

(IV) With reference to Article 25 (Exchange of Information):

  • (1) As regards the exchange of information upon request, as provided for in Article 25 of the Convention, the provisions of the Agreement between the Republic of San Marino and the Principality of Andorra for the exchange of information on tax matters, signed on 21 September 2009, shall apply until the Convention enters into force. From that date on, any request of information will be made under the Convention.
  • (2) Notwithstanding the entry into force of the Convention, requests for information may be made in respect to taxable periods for which requests for the information may have been made under the Agreement between the Republic of San Marino and the Principality of Andorra for the exchange of information on tax matters, signed on 21 September, 2009.

IN WITNESS WHEREOF, the undersigned, being duly authorised thereto, have signed this Protocol.

DONE in duplicate at San Marino this 25th May, 2021, in two originals in the Italian, Catalan and English languages, each text being equally authentic. In case of divergence on the interpretation, the English text shall prevail.