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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.

ARTICLE 23

Method for Elimination of Double Taxation

(1) In Spain, double taxation shall be avoided in accordance with the provisions of the domestic laws of Spain or according to the following provisions, without causing limitations to the domestic laws of Spain:

  • (a) Where a resident of Spain derives income which, according to the provisions of this Convention, may be taxed in Senegal, then Spain shall allow:
    • (i) as a deduction from the tax on income of that resident an amount equal to the income tax in Senegal;
    • (ii) as a deduction from the tax on income, according to the provisions of Spanish law (the deducted tax on companies effectively paid by the company which distributes the dividends, corresponding to the profits in respect to which such dividends are paid).
  • However, such deduction shall not exceed that portion of income tax, as calculated prior to the deduction, with regards to the income taxed in Senegal;
  • (b) When according to any provisions of this Convention the income derived by a resident of Spain is exempted from taxation in Spain, then, Spain may, when calculating the amount of tax on the remaining portion of income of such resident, take into account the exempted income.

(2) In Senegal:

  • (a) Where a resident of Senegal derives income which, according to the provision in this Convention, may be taxed in Spain, then, Senegal shall deduct the tax on income of that resident an amount equal to the income tax in Spain. However, such deduction shall not exceed that portion of income tax, as calculated prior to the deduction, with regards to the income taxed in Spain;
  • (b) Where according to any provisions of this Convention, the incomes derived by a resident of Senegal is exempted from taxation in Senegal, then, Senegal may, when calculating the amount of tax on the remaining portion of income of such resident take into account the exempted income.