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Cape Verde - Sao Tome Tax Treaty (2019, 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 4

Resident

(1) For the purposes of this Convention, the term "resident of a Contracting State" means:

  • (a) in the case of Cape Verde, any person who, under the laws of Cape Verde, is liable to tax therein by reason of his domicile, residence, place of management or any other criterion of a similar nature, and also any resident individual or enterprise subject to Cape Verde’s territorial tax region, as well as its political or administrative subdivisions or local authorities thereof.
  • (b) in the case of Sao Tome and Principe, any person who, under the laws of that State, is liable to tax therein by reason of his domicile, residence, place of management or any other criterion of a similar nature, and also includes that State and any political or administrative subdivision or local authority thereof. This term, however, does not include any person who is liable to tax in that State in respect only of income from sources in that State or capital situated therein.

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

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

(3) Where by virtue 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 Contracting State in which his place of effective management is situated.