Australian Tax Treaties

Argentine Agreement  

AGREEMENT BETWEEN THE GOVERNMENT OF AUSTRALIA AND THE GOVERNMENT OF THE ARGENTINE REPUBLIC FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME  

ARTICLE 24   Methods of Elimination of Double Taxation  

1    
In Australia:

Subject to the provisions of the law of Australia from time to time in force which relate to the allowance of a credit against Australian tax of tax paid in a country outside Australia (which shall not affect the general principle of this Article), Argentine tax paid under the law of Argentina and in accordance with this Agreement, whether directly or by deduction, in respect of income derived by a person who is a resident of Australia from sources in Argentina shall be allowed as a credit against Australian tax payable in respect of that income.

2    
In Argentina:

Where a resident of Argentina derives income which, in accordance with the provisions of this Agreement, may be taxed in Australia, Argentina shall allow as a deduction from the tax on the income of that resident an amount equal to the income tax paid in Australia.

Such deduction shall not, however, exceed that part of the income tax as computed before the deduction is given, which is attributable to the income which may be taxed in Australia.

3    
Where under this Agreement income is relieved from tax in a Contracting State and, under the law in force in the other Contracting State, a person, in respect of that income, is subject to tax by reference to that part of the income which is remitted to or received in that other State and not by reference to its full amount, the relief allowed under this Agreement in the firstmentioned State shall apply only to so much of the income as is remitted to or received in, and is subject to tax in, the other State.

4    
For the purposes of paragraph 1, tax payable in Argentina by a company which is a resident of Australia in respect of profits attributable to manufacturing activities or to the exploration for or exploitation of natural resources carried on by it in Argentina shall be deemed to include any amount which would have been payable as Argentine tax for any tax year but for an exemption from, or reduction of, tax granted for that year or any part thereof under specific provisions of Argentine legislation that the Treasurer of Australia and the Minister of Economy and Works and Public Services of Argentina in letters exchanged for this purpose agree should be covered by this paragraph 4. Subject to its terms, such an agreement on applicable provisions shall be valid for as long as those provisions are not modified after the date of that agreement or have been modified only in minor respects so as not to affect their general character. The period for which that agreement is to apply is to be agreed in those letters.