Νόμος 3682/2008

ΝΟΜΟΣ ΥΠ' ΑΡΙΘΜ. 3682

Ο ΠΡΟΕΔΡΟΣ ΤΗΣ ΕΛΛΗΝΙΚΗΣ ΔΗΜΟΚΡΑΤΙΑΣ

Άρθρο πρώτο

2802

2803

CHAPTER I 3COPS OF THE CONVENTION

PERSONS COVERED

This Convention shall apply to persons who arfe residents o£ one or both of the Contracting StatesArticle 2. ΪΑΧΕ3 COVERED. "

L This Convention shali apply to taxes on income ^nd on capital imposed on behalf of a Contracting State or of its Local authorities, i respective of the manner in which they sie levied.

Ξ. There shall be regarded as taxes an income and on capital all taxes imposed on total income, on total capital _t αΐ on elements of income ox of capital, Including taxes or. gains from the alienation of movable, or immovatle property, as well a£ taxes on capital appreciation.

3. The existing taxei to which the Convention shall aptily are in particular:

a] in the Hellenic Republic:

(i) the income and capital tax on natural persona;

[ii) the income and.capital tax on legal persona;

{hereinafter referred to as "Hellenic tax").

b) i;i Estonia:

the Income tajt {tulumaks) ί (hereinafter referred to as "Estonian tax¹¹);

+ . The Convention snail apply also to any identical or substantially similar ta.xes that are imposed a.rte-r the date of signature- of the Convention in addition to, or in place tne existing taxes. The competent authorities- n£ the* Contracting States shall notify each other 01? any significant changes that have been made in their respective taxation laws.

2804

CHftPTER II

DEFINITIONS

Article 3

GENERAL DEFINITIONS

in For the purpose* of this Convention, unless the content otherwise requires:

ai the terms "a Contracting State¹* and "the other Contracting Stahe" mean the Hellenic Republic or' Estonia, as the context requires?

b) ihe terin ^1hHej.lenic Republic" comprises the territory of 'the Hellenic Republic and the part of Che jea-bod and its subsoil under Che Mediterranean Sea, over which the Hellenic Republic, in accordances with international law_r has sovereign rights far the purposes of exploration, extraction or exploitation of the natural resources of such areasof the term Estonia" jueans the Republic cf Estonia and, when used In the geographical sense, means the territory of the Republic of Estonia and any other area, adjacent to the territorial waters of the Republic of Estonia within which under the law3 of Estonia and in accordance with internet£onal law, the rights of Estonia may t>e eKftrcised with respect: to the sea bod and its sub-soil ^nd their natural resources;

d) the term "person¹" includes an individual, a company and any other body of persons;

ei the term "coibpany" means any body corporata or any entity which is treated as a bedy corporate for tax purposes;

£i the terms "enterprise of a Contracting State³' and "enterprise of the other Contracting State" mean respectively an enterprise carried an by a resident of a Contracting State and an enterprise carried on by a resident of the other Contracting State;

g) the term "international traffic" means any transport by a ship or aircraft, except when the ship or aircraft is operated, solely between plaices in a Contracting State?

I Will¹

ΦΕΚ 145

2805

h} tiiθ i&rjn "competent authority" means:

ii) in the flellenic Repuhlic, the Minister oi Finance cr

his authorised representative; (ii) in Estonia, the Minister of Finance or its- authorised

representative?

£) the term "national" means:

ii) any individual possessing the nationality nf a

Contracting State; ίϋ) any iegal person, partnership or association deriving

its status ae such from the laws in force in a

Contracting State,

2, As regards the application of the Convention at any time by a Contracting SLate, any term not defined therein shall, unless the context otherwise requires, have the meoring- that it has at that time under the law of that State for ths purposes of the taxes to which the Convent ion applies, any meaning under the applicable tax laws of that State prevailing over a raeaniog given to the term under other laws of that State.

Article 4 RESIDENT

1. For the purposes oi thia Convention, the term ¹⁽ resident of a Contracting State^,r means any person who, under the laws of that State, is liable to tax therein by reason of his domicile, residence, place cf sanagement, place of incorporation, or any other criterion of a similar nature, and also includes that State er any local authority thereof. This r.erm, 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.

Ξ_τ Where by reason of the provisions of paragraph 1 an individual Is a resident uf both Contracting States, then his states shall c-e determined as follows;

a> he 3halL be deemed to be a resident only of the Sta~e i:n which he has a permanent home available to him; if he has a permanent home available to him in both states, he shall be deejaed to be a resident only of the State with which his personal and economic relations are closer (centre of vit^l interests);

2806 ΕΦΗΜΕΡΙΣ ΤΗΣ ΚΥΒΕΡΝΗΣΕΩΣ (ΤΕΥΧΟΣ ΠΡΩΤΟ)

b} if the State in which ha has his centre of vital interests cannot be determined, or if he has not 4 permanent home avariable to him in either State, he aha!! he deemed to be a resident only of the Stata in which he haa an habitual abode;

cj if he has an habitus 1 abode in both States or in neither of thsjn, he shall be deemed to he a rasident or.ly of ihe State of which he is a national;

if he is a national of both States or of neither of tnem, the competent authorities of the Contracting States ahall sot tie the question by mutual agreement_r

3, fJhere by reason of the provisions of paragraph I a peraon other than an individual ' is a resident of both Conrracting States, the competent authorities of the Contracting Status shall endeavour settle the question by mut\;aJ agreement

havlnc regard to such factors as the place of effective management and the place where it Is incorporatedArticle ϋ PERMANENT ESTABLISHMENT

1_T for the purposes of this Convention, tho tend "permanent estabL ishTnent" mean.? a fined place of business through which the businesa of an enterprise i9 wholly or partly carried on.

2,	The term "permanent establishment" includes ^specially:
aj	a place of managemarLt;
b]	a branchi
(!)	an office;
a)	3 factory;
e)	a kjrkshop, and
ii	a mine, an oil oc gas wcllr a quarry or any other place of ftjtttaction of natural resources.
1 r	A building siteH a construction,, assembly or ins tali at ior,

projeer or a supervisory 0Γ consultancy activity connected

therewith constitutes a permanent establishment enly if such site, project or activity lasts tor a period of more than nine months.

i. Hutwithstanding the preceding provisinna of this Article,

the term "pernr.anent establishment" shall be deemed not to inoVude:

2807

a) the use οι facilities solely for the purpose of storage, display or delivery of goods oi ite r chand is e belonging to the enterprise;

bj the maintenance of a stoclf; of gcods or merchsndise belonging to the enterprise solely for the purpose of storage, display or delivery;

c] the maintenance of a stock oi goods or merchandise belonging to the enterprise aolely tor the purpose of processing by another enterprise;

d) the maintetLance o£ a fixed place of business solely for the purpose of purchasing goods or merchandise or of collecting information, for the enterprise

ej the maintenance of a fixed place of business solely for the purpose of carrying on for the enterprise, any other activity of a preparatory or auxiliary character;

t\ the maintenance of a fixsd place cf business solely for any combination of activities mentioned in subparagraphs a) to e}, provided that the overall activity of tha. fixed place of business resulting from this combination is of a preparatory or auxiliary character.

5. Notwithstanding the provision a- of paragraphs ϊ and where a person — other chan an agent of an independent 3tatus ta whom paragraph ΐ applies — is acting on behalf cf an enterprise and has, and habitually exercises, in a Contracting 3tate an authority to conclude contracts in the name of the enterprise, that enterprise shall be deemed to have a permanent establishment in that stato in respect of any activities which

that person undertakes for the enterprise, unless the activities

of such person sre limited to those cientignad in paragraph 4 which, if exercised through a fixed place of business, would not make tiiis fixed place of business a permanent establishment under the provisions: that para graph r

6_T An antarprise shall not h-a deemed to have a per ma cent establishment in a Contracting Stato merely because it carries on business in that 3t*oe through a broker, general commission agent or any Other agont ol an independent Status, provided that gu.ch persons are acting in the ordinary course of thaii business. However, when tho activities of such an agent are devoted wholly or almost wholly on behalf of that enterprise and whore the conditic-na between the agent: and the enterprise differ from these which would be made between independent persons, 9uch

agent- shall not -he considered 3-Π agent of an independent itstus within the meaning of this paragraphs

2808

Τ - The fact that a company which is a resident of a Contracting State controls or is controlled by a company which is a resident of the other Contracting Statu, or which carries on business in that ether State (whether through a permanent establishment or otherwise), shall not of itself constitute either company a permanent establishment of the other.

CHAPTER 111

TAXATION OF INCOME

Article 6

INCOME F'ROM XMiOVABIje PROFEEΤΪ

1, Income derived by a resident nf a Contracting State fron immovable property (including income from agriculture or forestry) situated, in the other Contracting State may be taxed in that other State.

The term "immovable property" shall have the [r_;eaning which it has under the law of the Contracting State in which the property in question 12 situated. The term shall in any case include property accessory to irnmovable property, livestock: and equipment used in agriculture end forestry, rights co which the provisions cf general law respecting landed property apply, ahy option or similar right to acquire immovable property, usufruct of immovable property and rights to variable or fixed payments as consideration for the working oi, or the right to woric, mineral deposits, sources acd other natural resources. Ships, boats and aircraft shall not; be regarded as immovable property.

3. The provisions of paragraph 1 shall apply to income derived from, the direct use, letting, or use in any other form of ijiunovable property.

A, Where the ownership of shares or other corporate rights in a company entitles the gwner of such shares or corporate rights to the enjoyment of immovable property held by the company, the income from the direct use, letting, or use in any other fnnn of such right to enjoyment may be taxed in the Contracting State in which the imzriovabLe property is situated.

5, The provisions of paragraphs 1, 3 and 4 shall also apply to the income fros immovable property of an enterprise and to income from immovable property used ΐο- the performance of independent personal services.

2809

Article 7 BUSINESS PROFITS

1. The profits of an enterprise of a Contracting State shall be taxable only in that State unless the enterprise carries on btisinEss in the other Contracting State through a perroanent establishment gltuated therein. If the enterprise carries on business as aforesaid, the profits of the enterprise may be taxed in the other State but only so much of them as is attributable to:

a) that permanent establishment;

h) sales in that other Stace of goods or merchandise of the same or similar kind as those sold through that permanent establishment■

2. Subject to the provisions of paragraph 3_r where an enterprise of a Contracting State carries cn business in the Other Contracting State through a permanent establishment situated therein, there shall tn each Contracting State be attributed to that permanent establishment the profits which ίΐ might be expected, to make if it were a distinct and separate enterprise engaged in the same or similar, activit. Les u^der the same or similar conditions and dealing wholly independently with the enterprise of which it is a permanent esTablishment.

3. Γη determining the profits of a permanent establishment_r there shall be allowed as deductions expenses which are incurred for the purposes of the permanent establishment, including executive and general administrative expensies so incurred, whether in the State in which the permanent establishment ig situated or elsewhere. However, no such deduction shall be allowed in respect of amounts, ii any, paid (otherwise than towards reimbursement of actual expenses) by the permanent establishment to the head office of the enterprise or any of its other offices, by way of royalties, fees or other similar payments in return for the ose of patents or other rights, or by way of commission, for specific services performed or for mttr.ageir.ent, or, except in caa;e of a banking enterprise, by way of interest on moneys lent to the permanent egtabiishmcnt.

2810

4r Insofar as it has been customary in a Contracting State tc determine the profits tp be attributed ts a permanent establishment on the basis uf. an apportionment of the total profits of the entiEpEise to its various parts, nothing ir paragraph 2 shall preclude that Contracting State frojr determining the profits to be tajted by such an apportionment ag may be oustomaryj the method of apportionment adopted shall _r however, be stich that the result shall be in accordance with the principles contained in this article,

5. No profits Shall be attributed to a permanent establishment by reason of the mere purchase by that permanent establishment of goods or merchandise for the enterprise.

6. For the purposes of the preceding paragraphs, the profitg to be attributed to the' permanent establishment shall be determined by the same method year by ysar unless the^e i,s good and sufficient reason to the contrary.

7. Where profits include items of income vhich are dealt with separately in other ftrricles of this Convention, then ihe provisions oi these Articles shall not be affected by the provisions of this Article.

Article θ

SHIPPING AMD AIR TRANSPORT

L, Profits from the operation of ships in International traffic shall be taxable in accordance with the provisions of Article 20 Of the Agreement between the Government of the Hellenic Republic and the Government of the Republic of Estonia on maritime transport, signed in Athena on 17^th of April 1997.

2. Subject to the provisions of paragraph 1, income derived by an enterprise of a Contracting State from the gperation of ships in international traffic shall be taxable only in that Contracting State.

3. Profits of an enterprise of a Contracting State from the operation of aircraft in internaticnal traffic shall be taxable only in that state,

A. The provisions of paragraphs 1,2 and 3 -ihell alao apply tc

profits from the participation in a pco-_H a joint business Or an

international operating agency.

2811

article 9

ASSOCIATED ENTERPRISES

1, Where

a) an enterprise of a Contracting State participates directly or indirectly in the management, control or capital of an enterprise of the other Contracting State, or

tO the same persons participate directly or indirectly in the management, control or capital nf an enterprise or a contracting State and an enterprise of the other Contracting State,

and. in either case conditions are made or imposed between the two enterprises in their commercial or financial relations which differ from those which would be made between independent enterprises, then any profits which would, but for those conditions, have accrued to one of the enterprises, but, by reason of those conditions, have not so accrued, may he included in the profits of that enterprise and taxed accordingly^

2. where a contracting State includes in the profits of a/] enterprise of that State - acid taxes accordingly - profits on which an enterprise of the other Contracting State has been charged to tax in that other state And the profits so included are profits which would have accrued to the enterprise of the fi rst-mentioned State if the conditions, made between the two entert/xises had been those which would have been made between independent enterpriaes, then that other State shall mate an appropriate adjustment to the amount of the tax charged therein on those profits. In determining such adjustment, due regard shall be had to the other provisions of this Convention and the competent authorities of the Contracting States shall if necessary consult each other.

Article 10 DIVIDEHDS

3- Dividends paid by a company which is a resident of a Contracting State to a resident c?f the other Contracting: State may be taxed in that othar S'^ate.

2* .However, 3uch dividends may also be taxed in the Contracting State of which the company paying the dividends is a resident and according to the laws of that State, but if the beneficial owner of -he dividends is a resident of the other Contracting State, the tax so charged shall not exceed:

2812

a} 5 per cemt oi the gross amount of the dividends if the beneficial owner is a company (other than a partnership) which holds directly at least 2b per can:, of the capital of the company paying the dividends;

b) 15 per cent of the gross amount of the dividends in all other C3SC3.

This paragraph shall not affect the taxation, of the company in respect of the profits out of which th& dividends are paid.

3. The term "dividends" as used in this Article means income from shares or other rights, not being debt-claims, participating in profits, as well as Income from other rights which is subjected to ■ the same taxation" treatment as income from shares by the laws of the State of which the csmpany malting the distribution is a resident.

(9. The previsions of paragraphs 1 and 2 shall not apply if the beneficial owner of the dividends, being a resident of a Contracting State, carries on business in the other Contracting State of which the company paying the dividends is a resident, through a permanent establishment situated therein, or performs in that other State independent personal servicee from a fixed base situated therein, and the holding in respect of which the dividends are paid is effectively connected with such permanent establishment or fixerf base. In such case the provjsions of Article 7 or Article 14, as the case may be, shall apply.

5, Where a company which ie a resident of a Contracting State derives profits or income from the ether Contracting State, that other State may not inrpose any taw on the dividends paid by the company, except insofar as such dividends are paid to a resident of that other State or insofar as the holding in respect of which the dividends are paid is effectively connected with a permanent establishment or a fixed base situated In that other State, nor subject the company¹& undistributed profits to a tax on the company's undistributed profits, even if the dividends paid pr the undistributed profits consist wholly or partly of profits or Income arising in such other State.

Article 11 INTEREST

1. Interest arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other Rtate,

2813

2. However, such interest; may also be taxed in th*

Contracting State in which it ariaea and according to the law:

of that State, but if the beneficial owner of the interest is ί resident oi the other contracting State, the tax so charges shall not exceed 10- per cent of the gross amount cf thi interest.

3_h Notwithstanding the provisions cf paragraph 2 interest arising in a Contracting State, derived and beneficially ownec by the Government of the other Contracting State, including it; local authorities and the Central Bank, shall be exempt from t-At in the first^menticned state.

4. The term "interest" as used in this Article means income from debt ^claims uf every kir-d, whether ur not secured hi mortgage and whether or not carrying a right to participate ir the debtor's profits, and in particular, income from government securities and income iron bonds or debentures, including premiums and prizes attaching to such securities, benda oi debentures as well as any income that is treated as interest under the taxation law of the Contracting State in which sucr income arises, The term, however, shall not include any income which is treated as a dividend under the provisions cf Article 10, Penalty charges for late payment shall not be regarded as interest for the purpose of this article.

5. The provisions of paragraphs 1, 2 and 3 shall not apply it the beneficial owner of the interest, being a resident of a Contracting State, carries on business in the other Contracting State in which the interest arises, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the debt-claim in respect of which the interest is paid is effectively connected with such permanent establishment or fixed base, in such case the provisions ct Article 7 or Article 14, as the ca^e moy be, shall apply.

$* Interest 3hall be deemed to arise in a Contracting State when the payer is a resident of that State. Where, however, the person paying the interest, whether he is a resident of a Contracting State or not, has in a Contracting State ο permanent establishment or a fixed base in connection with which the indebtedness on which the interest is paid was incurred, and such interest is borne by such permanent establishment or fixed base, then such interest shall be deemed to arise in the State in which the permanent establishment or fixed base is situated.

2814

Ί. Where, by reason of a special relationship between the payer and the beneficial owner; or between bath of them and some other person, Che amount of the interest, having regard: to the debt-claim for which it fs paid, exceeds the amount wbiah would have been agreed upon by -he payer and the beneficial owner in the absence of such relationship, the provisions of this Article shall apply only to the last-mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contract ino; ytare, due regard being had to the other prDV]sions of this Convention.

Article 12 ROYALTIES

1. Royalties arising in e, Contracting State and paid to a resident Of tha other Cnntracti-ng State may be taxed in that Other State,

2. However, acch royalties may also be taxed in tho Contracting State in which they arise and according to the laws of that State, but if tha beneficial owner □ £ the royalties is a resident cf the ether Contracting State, the tax So charged shall not exceed?

a] 5 per cent of the gross amount of the royalties paid for the use of industrial, commercial or scientific equipment;

bl 13 . per cent of the gross amount of the royalties in all other cases.

3. The term "royalties*¹ as used in this Article means payments of any kind rtsceivud as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific woiit Including cinetuitc graph filBis and films or ^pes and other means of image or sound reproduction for radio or television broad-casting, any patent, tr^ds mar):, design or jnadel, plan, secret formula or process, or for the use oi, cr the right to use, industrial, ccjnmsrtial ur scientific egu.iprr.ent, or fnv Information concerning Industrial, cprnnerciai or scientific experience, or for transmission by satellite, cable, optic fibre Or similar technology2815

1. The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner cf the royalties, being a resident of s, Contracting State, carries on business in the other Contracting State in which the royalties arise, thrcLgh a permanent establishment situated therein, or performs In that other State independent personal services from a fixed base situated therein, and the right or property in respect of which the royalties are paid is effectively connected with such permanent establishment or fixed base. In such oass the previsions of Article 7 or Article 14, as the case nay be, ehail apply.

5r Royalties shall be deemed to arise in a Contracting State when rhe payer is a- resident of that State. Whore, however_r the person paying the royalties, whether ..he is a resident of a

Contracting State or npt> has in a Contracting State a permanent

establishment or a fi)ted base in connection with which the obligation to pay the royalties was incurred, and the royalties are borne by that permanent establishment or fixed base, then auch royalties shall be deemed to arise in the State in which tne permanent establishmenT. or fjxed base is situated,

Ej. Where, by reason Of a special relationship between the

payer and the beneficial owner οr between both of them and some ether person, the amount of the royalties, having regard to the use, right Or information for which they are paid, exceeds -)utf amount which would haVo. been agreed upon by the payer and the

beneficial owner in the absence of such relationship, the provisions of this Article shall apply only to the last-mentioned amount. In such case, the excess part of the payments shall remain taxable according to tha laws of each Contracting State, due regard being had to the other provisions of this Convention.

Article 13

CAPITAL GAINS

1. Gains derived by a residBnt of a Contracting State from the alienation Of iJitWJVflbla property rtfe^^ed tc- in Article <L and situated in the other Contracting State may be taaed in that Othar State.

2816

2_Τ Gains from the alienation of movable property forming part of tho cosiness property of a permanent establishment which an enterprise of a Contracting State has in ths other Contracting State or of movable prcpeity pertaining to a fixed base available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal servicesj including such gains from the alienation of such a permanent establishment {alone or with the whole enterprise) or of dnch fixed base, may be taxed in that other State,

Gains from the alienation of ships or aircraft operated in international traffic or movable property pertaining, r.o the operation of auch ships or aircraft shall be taxable only in the Contracting State in which the profits bf such ships or aircraft are taxable according to che provisions of Article 6.

Ar Gains from ^he alienation of any property other than that referred tc in paragraphs 1, 2 and 3, shall be taxable only in the Contracting state or which the alienator is a resident.

5, The provisions Of paragraph 4 ahall not affecc tile right

af a Contracting State, to levy according to its own law a tax

on capital gains derived from the S-ienation Of shares in a company of that State,

Article 14 1 If DEPENDENT PERSOMAL SERVICES

1- income derived by an individual who is a resident gf a contracting State in respect of professional services or other activities of an independent character shall be taxable only in that State unless he has a fixed base regularly available to him in the other Contracting ΞΊ-ate for the purpose of performing his activities. If he has sucii a fixed base, the interne may he taxed in the orher State but only so much of it as is attributable to

that fixed base. For this purpose, where an individual who is Ά

resident of a Contracting State stays in the other Contracting State for a per - od or periods exceeding in the aggregate 1E3 days in any twelve montii period commencing or ending in tho fiscal year concerned, he ahall be deemed to have a fixed baaa regularly available to him in that other State and the income that is derived from his activities referred to abovo that are performed in that other State shall be attributable to that fixed' base.

2817

1. The term "professional services." Includes especially independent scientific, literary, artistic, educational ut teaching activities as well es the independent activities uf physicians, lawyers, engineers, architects, dentists and accountants.

Article IB DEPENDENT PERSONAL SERVICES

1. Subject to the provisiona of Articles 16, 19 and 19, salaries, wages and other similat remuneration derived by a resident cf a Contracting State . in respect of an employment shall be taxable only in that State' ' unless the employment is exercised in the other Contracting State. Lf the employment is so exercised, such remuneration as io derived therefrom may be taxed in that other State.

2. Notwithstanding the provisions of paragraph i, remuneration dnrived by a resident of a Contracting St^te in respect cf an employment exercised in the other Contracting State shal^ be taxac-la onLy in the first-mentioned State ii:

a) the recipient ia present in the other State for a period

Or periods not exceeding in the aggregate days in any twelve month period commencing or ending in the fiscal year concerned, and

hi the remuneration is paid by, or on behalf of, an employer who is not a resident of the other State, and

c) the remuneration is not borne by a permanent establishment or a fixed base Which the employer has in the ather State.

S. Notwithstanding the preceding provisions of this Article, remuneration derived in respect of an employment exercise aboard a ship or aircraft operated in international traffic, may be taxed in the Contracting state in which the profits from the operation of the ship or aircraft are taxable according to -he provisions of Article S_T

Article 16 OIRECTOflS¹ FEES

Directors' fees and ether similar payments derived by a resident of a Contracting State in hi a capacity <2S a member of the board of directors nr any other similar organ of a company

which is a resident of the othfir Contracting State i;Lay be taxed in that other State.

2818

Article 1? ARTISTES AND SPORTSMEN

1. notwithstanding the provisions of Articles 14 and 15j income derived by a resident of a Contracting state as an entertainer, such as a theatre, motion picture, radio or television artiste, or a musician, or as a sportsman, from hie personal activities as such exercised in the other Contracting State, may be taxed in that other States

2. Where income in reelect of personal activities exercised by an entertainer or a sportsman in his capacity as such accruer net to the entertainer or sportsman ' himself but to another person, that income may, rjOtwiths tending the provisions of Articles 7, 14 and 15, he taxed in the Contracting State in which the activities of the entertainer or sportsman are exercised.

Article Iβ

Subject to the provisions cf paragraph 2 of Article 19, pensions and other similar remuneration paid to a resident of a Contracting State in consideration of past employment shall be taxable only in that State.

Article 19 GOVERNMENT SERVICE

1. aj Salaries, wages and other similar remuneration, other than a pension, paid by a Contracting State or a local authority thereof to an individual in respect of services rendered to that State or authority Shall be taxable only in that Stateb) However, , such salaries, wages and other sini iar remuneration shall be taxable only in the other Contracting State if the services are rendered in that State and the individual is a resident of that State who:

(i) is a national of that State; or

(ii) .did not become a resident of that State solely for the

purpose of rendering the services.

2819

2. &■} Arvy pension paid by, or out of funds created by, a Contracting State or a local authority thereof to an individual in respect of services rendered to that State or authority shall be taxable only in that State „

b) However, such pension shall be tenable only in the other Contracting State if the individual is a resident of, and a national of, that State.

3. The provisions of Articles 15, Ifi, 1Ί, and 1& shall apply to salaries, wages and other similar remuneration, and to pensions:, in respect of services rendered in connection with a business carried on by a Contracting State or a local authority thereof.

Article 20 STUDENTS

Payments vhich a student, an apprentice or a trainee who is or was immediately before visitiny a Contracting State a resident of the Other Contracting State and who is present in the first-mentioned State solely for the purpose of his education or training receives for the purpose uf his maintenance, education or trsiniog shall not be taxed in that State, provided that such payments arise from sources outside that State,

Article 21 OTHER INCOME

1, Items of income of a resident of 4 Contracting State, wherever arising:, not dealt with in the foregoing Articles of thi3 Convention shall be taxable only in that State.

2. The provisions of paragraph 1 shall not apply to incntne, otrTer than income from immovable property as deEined in paragraph 2 of Article 6, if the recipient of such income, being a resident of a Contracting State, carries on business in the other Contracting State through a permanent establishment situated therein, or performs in that other Stace independent personal services from a fixed base situated therein, and the tight or property in respect of which the income is paid is effectively connected with such permanent establishment or fixed base, in isuch case the provisions of Article 7 or Article m, as the case may be, shall appLy.

3_T Notwithstanding the provisions of paragraphs 1 and 2, items of income of a resident of a Contracting State not dealt

2820

with in the foregoing Articles of rhis Convention and arising ir the other contracting State may also be taxed in that otbei State.

CHAPTER IV ΐΆΧΑ'21 CH Qf CAPITAL Article 22 CA?ITftL

1. Caplbal represented by immovable property referred to in Article &, ovned by a. resident of a" Contracting State and situated in the othec Contracting State, may be tajted in that other state.

2. capital represented by cf^jvaole property farming part of the business property of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State dt by movable property pertaining to a fixed base available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal services, may be taxed in that other Stat*3. Capital represented by ships or aircraft operated in international traffic and by movable property pertaining to the operation of such ships or aircraft, shall be taxable only in the Contracting State in which the profits from the aforesaid ships or aircraft are taxaale according to the provisions of Article Β.

4. All other elements of capital of a resident of a Contracting State shall be taxable only in that State,

CHAPTER V

METHODS- FOR ELIMEKATICN QF DQU"3I,F, TAXATION

Article 23

ELIMINATION Ο Γ DQQBLI! TAXATION

1+ In the case of a resident of the Hellenic Republic, double tanatic-n shall be avoided as follows:

a} Where a resident of the Hellenic Republic derives income or owns capital which, Ι.τ accordance with the provisions of this Convention, may be taxed in Estonia, the Hellenic Republic ehail allow:

ΦΕΚ 145

2821

(if as a deduction, from the tax on the income of that resident, an amount equal to the income taw paid in Estonia;

(ii) aa a deduction f joint the tax on the capital of that resident, an amount equal to the capital tax paid in Estonia.

such deduction in either case shall not, however, exceed that part of the income tax or capital tax, as computed before the deduction is given, which is attvibutable, aa the case- may be, to the income or the capital which may be taxed in Estc-TTia.

b] where dividends paid by a company which is a resident of Estonia to a resident of tha Hellenic Republic, the credit shall take into account {in addition to any tax creditable under the provisions of subparagraph a} of this paragraph) the tax payable by the company in respect of the profits out of which such dividends are paid.

e} Where, in accordance with the law of Estonia, an exemption from, or a reduction of, taxes covered by this Convention is granted for the purpose of encouraging economic development in Estonia, ths tait which would have been paid but ±or such exemption or reduction shall be deemed to have been paid fur the purposes of subparagraphs a} and b) of this paragraph,

2 r En the case of a resident of Estonia, double taxation shall £>e avoided as follows:

a) Where a resident of Estonia derives income or owns capital which_r in accordance with this Convention, may be taxed in the Hellenic Republic, unless a more favourable treatment is provided in its domestic law, Estonia shall allowt

(i) as a deduction from the ta* on the Income of that

resident, an amount equal to tha income tax paid, thereon

in the Hellenic Republic; fti) as a deduction from the tax on the capital of that

resident, an amount equal to the capital tajc paid thereon

in the Hellenic Republic.

Such deduction in either caae shall not, however, exceed that part of the income tax or capital tax in Estonia, as computed

beforo the doducticn is given, which is at trihutable, as the

case may be, to the income or t^ie capital which may be taxed in the Hel1en i c Re pub1ic.

2822

b) Fox the purpose* of sub-paragraph a}, fchere a company that is a re-si dent of Estonia receives a dividend from a company that is a resident of the Hellenic Republic in which it owns at leas^ 10 per cent of its shares having full voting tights, the tax paid in the Hellenic Republic shall include not only the tax paid on the dividend, but alao the appropriate portion of the ta* paid on the underlying profits of the company out of which the dividend was paid.

CHAPTER VI SPECIAL PROVISIONS

Article 24 N0H- Dl SCR I ΓίΙΝΑΤΙ ON

1. Nationals of a Contracting State- shall not be subjected in the other Contracting State to any taxation or any requirement connected therewith, which is other or more burdensome than the taction and connected requirements to which nationals of that other State in the same circumstances, in particular with respect to residence, are or may be subjected, 'ibis provision shall, π ο twit Ji standing the provisions of Article i, also apply to persons who are not residents of one or both of the contracting States.

2. Stateless persons who are residents of a Contracting State shall not be eubj acted in either Contracting State to any taxation or any requirement connected therewith, which 13 other or more burdersome than the tajia^iort and connected requirements to which nationals of the State concerned in the same circumstances, in particular with respect to residence, are or may be subjected.

3. The taxation on a permanent establishment which an enterprise of a Contracting State has in the other Contracting State shall not be less favourably levied in that other State than the taxation levied on enterprises of that other State carrying on tho same activities. This pro7isiun shall not be construed as obliging a Contracting State to grant to residents of the other Contracting Sta^c aAy personal allowances, reliefs and reductions for tajtatjen purposes; on account ot civil status or family responsibilities which it grants to its own residents ι

2823

4. Except where the provisions of paragraph 1 of Article 5, paragraph 7 af Article 11, or paragraph 6 of Article. 12, apply, interest, royalties and other disbursements paid by an enterprise of a Contracting State to a resident of the other Contracting State shall, for the purpose of determining the taxable profits of such enterprise, be deductible under the same conditions aa if they had been paid to a resident of the first-mentioned State. Similarly, any debts of ah enterprise of a Contracting State to a resident of the other Ccntracting State shall, for the purpose of determining the taxable capital at such enterprise, be deductible under the same conditions as if they had been contracted to a resident of the firs t^mentioned State.

5. Enterprises of a "contracting State, the capital of whicn is wholly or partly owned or controlled, directly or indirectly, by One or more residents Of the other Contracting State, shall not be subjected in the first-mentioned State to any taxation or any requirement connected therewith which is other or more burdensome than the taxation and connected requirements to which other similar enterprises of the first-mentioned State ar? or may be subjected,

6. The provisions of this Article shall, notwithstanding the provisions of Article 2, apply to taxes of every kind and description.

Article 25 HDTOAL AGREEMENT PROCEDURE

1. Where a person considers that the actions of one or both of the Contracting Stated result or will result for him in taxation not in accordance with the provisions of this Convention, he may, irrespective of the remedies provided by the domestic law cf those States, present his ease to the competent authority of the Contracting State of which he is a resident or, if his case comes under paragraph 1 of Article £4, to that of the Contracting State of which he is a national- The case musr be presented within three years from the first notification of the action resulting in taxation net in accordance with the provisions of the Convention,

2. The competent authority shall endeavour, if the objection appears to it to be justified and if it is not itself able to arrive at a satisfactory solution, to resolve tlhe casa by mutual aqr eement with the c-uapetent authority of the other Contracting State, with a view to the avoidance of taxation which is' not in accordance with £he Convention. Any agreement reached shall he implemented notwithstanding any time limits in the domestic law of the Contracting States2824

3. The competent authorities of the Contracting States shall endeavour to resolve by mutual agreement any difficulties: or doubts arising as to the interpretation Or application of the Convention„ They may also consult together for the elimination of double taxation in cases not provided for in the Convention,

4+ The competent authorities of the Contracting States may communicate with each other directly, including through a joint commission consisting of themselves or their representatives, for the purpose of reaching an agreement In the sense of the preceding paragraphs.

Article 26 EXCHANGE OF IΝFORMATION

1. The competent authorities of the Contracting States shall exchange s-jeh information as is necessary for carrying out the provisions of this Convention or of the domes-tic laws of the Contracting States concerning taxes covered by the Convent οr_L insofar as the taxation thereunder is not contrary to the Convention, The exchange of information is not restricted by Article 1. &ny information received by a Contracting State shall ho treated as secret in the same manner ae information obtained □nder the domestic laws of that State and shall be disclosed Cniy to persons or authorities {including courts and administrative bodies) concerned with the assessment or collection of, the enforcement or prosecution in respect of, or the determination of appeals in relation to, the taxes covered by the Convention, Such persons or authorities shall use the information only for such purposes. They may disclose the information in public court proceedings or in judicial, decisions,

2. In no Case shall the provisions of paragraph 1 be Construed so as to impose on a Contracting State the obligation:

a) to carry out administrative measures at variance with the laws and administrative practice of that or of the other Contracting State?

b) to supply information which is not obtainable under the laws or in the normal course of the administration cf that or of the other Contracting State;

to supply Information which would disclose any trade, business, industrial, commercial or professional secret or trade process, or infcremation, the disclosure of which would bo contrary to public policy iordre pubiio.

2825

Article 21

MEMBERS OF DIPLOMAT EC MISSIONS ftilD CONS ULAR POSTS

Nothing in this convention shall affect the fiscal privileges of members of diplomatic missions or consular posts under the general rules of international law or under the provisions of special agreements*

ΕΪΝΑΙ, PROVISIONS

Article 29 ENTRl into force

1_H The Governments of the Contracting States shall notify each other when the constitutianal requirements for the entry into force of this Convention have been complied with.

2. The Convention shall enrer jnr.o force on the date cf the later of the notifications referred to In paragraph 1 and its provisions shall have effect in both Contracting States:

a] in respect of taaes withheld at source, on income derived on or after the first day of January in the calendar year next following the year in which the Convention enters into force?

b) in respect of other taxes on income and ta«es on capital, for taxes chargeable for any fiscal year beginning on or after the first day cf January in the calendar year ne*t following the year in uhioh the Convention enters into force.

Article 29 TERMTHATION

This Convention shall remAln in force until terminated by & Contracting State. Either Contracting State r^ay terminate the Convention, through diplomatic channeLs, by giving: written notice of termination at least six months before the end of any calendar year. In such event, the Convention shall cease to haye effect in both Contracting States:

a) in respect of taxes withheld at source, on income derived on or after the first day of January in the calendar year next following tho year in which tha notice has been given.,^-

2826

2827

PROTOCOL

At the moment of sigainc the- Convention between the Government of the Hellenic Republic and the Government of the Republic of Estonia for the avoidance of double taxation and the prevention of fiscal evasion with respect to taiies on income and on capital, the undersigned have agreed upon the following provisions thar shall be an integral part of the Convention,

Ad article 6 paragraph 1

It is understood that the provisions' of Article 20 of the Agreement between the Government of the 'Hellenic Republic and the Governnient of the Republic of Estonia on maritime transport, signed in Athens on 17™ of April 1&97 are the following:

"Article 20

Profits derived from che operation or sale of vessels in international traffic shall be taxable only in the contracting Psrty in which the vessels are registered or by which they are documented2. The provisions of paragraph 1 shall also apply to profits from the participation in a pool, a joint business or in an international operating agency.

3_r Income from the operation of ships includes income derived from the use, maintenance or rental of containers (including trailers and related equipaent for the transport of containers] in connection with tha transport of goods or merchandise in international traffic.".

2828

2829

ZWBALR

της Κΐβίρνησης της EXA/rmofc Δημοκρατίας και της Καβέρνηαης της^ψοκρρτίμς της Εαθονίσς

για τψ &παιρυγή "Ρ* Γ φορυάνγ{ρς και την αππρ&πή uf; φοροδιαφυγής αναφορικά με τοος ψόρνΰς καοΐήματος KUt mt> xtyoMiov

Η Κίιβέρνηση της ΔημακροχΙας της Ελληνικής ΛημύΚϊΧπίύς και η Κοβέρνηση της Εβθο νιας, επιθυμώντας να σννάψΰίτν Σύμβαση για την ακοψνγή της όΉώή ς φορολογίας Wi nf V ίΐίο*ροχή της φοροόίύρνγής αναφορικά με τους φύροας εισοδήματος και του κεφαλαίου ανμρώνηαΟΛ τα flsrdAcwfa-'

2830

ΚΕΦΑΛΑΙΟΙ ΠΕΔΙΟ ΣΦΑΓΜΟΓΗΖ ΤβΣ ΓΠΐΧΛΣΒΣ