International Tax Agreements Act 1953
In this Act:
agreement
means a treaty or other agreement described in section
3AAA
(about current agreements) or
3AAB
(about agreements for earlier periods).
Note:
Most of the conventions, protocols and other agreements described in these sections are set out in the Australian Treaty Series. In 2023, the text of an agreement in the Australian Treaty Series was accessible through the Australian Treaties Library on the AustLII website (www.austlii.edu.au).
View history note
Hide history noteDefinition of " agreement " amended by No 40 of 2023, s 3 and Sch 1 item 3, by substituting " 2023 " for " 2011 " in the note, effective 29 June 2023.
Assessment Act
means the
Income Tax Assessment Act 1936
or the
Income Tax Assessment Act 1997
.
(a) income tax imposed as such by an Act; or
(b) fringe benefits tax imposed by the Fringe Benefits Tax Act 1986 .
Note:
This includes Medicare levy (see subsection (10)).
foreign tax
means tax, other than Australian tax, which is the subject of an agreement.
prescribed trust estate
, in relation to a year of income, means a trust estate that is a public trading trust, within the meaning of Division
6C
of Part
III
of the
Income Tax Assessment Act 1936
, in relation to the year of income.
Definition of " prescribed trust estate " substituted by No 53 of 2016, s 3 and Sch 5 item 71, applicable to assessments for income years starting on or after 1 July 2016. No 53 of 2016 (as amended by No 15 of 2019), s 3 and Sch 5 Pt 4 contains the following transitional provision:
Part 4 - Transitional
75 Transitional rule for 20% tracing requirement and repeal of Division 6B - imputation
(1)
This item applies if at a time (the cessation time ), on or after the commencement of this Schedule, either:
(a) section 102K of the Income Tax Assessment Act 1936 ceases to apply to the trustee of a trust because of the repeal of that section by Part 2 of this Schedule; or
(b) section 102S of that Act ceases to apply to the trustee of a trust because of the amendment made by Part 1 of this Schedule.
(2)
Subitems (3) and (3A) apply applies if:
(a) an event happens in respect of the trust that is described in:
(i) the table in subsection 205-15(1) of the Income Tax Assessment Act 1997 ; or
(ii) the table in subsection 205-30(1) of that Act; and
(b) the event happens on or after the cessation time but before 1 July 2019; and
(c) the event is:
(i) the trust paying income tax for an income year starting before 1 July 2016; or
(ii) the trust paying a PAYG instalment in respect of income tax for an income year starting before 1 July 2016; or
(iii) the trust receiving a refund of income tax for an income year starting before 1 July 2016; or
(iv) the trust franking a distribution; or
(v) the trust ceasing to be a franking entity.HistoryS 75(2) amended by No 15 of 2019, s 3 and Sch 1 items 34 - 36, by substituting " Subitems (3) and (3A) apply " for " Subitem (3) applies " , " 1 July 2019 " for " 1 July 2018 " in para (b) and inserting para (c)(v), applicable in relation to the 2018-19 income year and later income years.
(2A)
However, subparagraph (2)(c)(v) does not apply unless the trust ' s franking account is in surplus immediately before the trust ceases to be a franking entity.HistoryS 75(2A) inserted by No 15 of 2019, s 3 and Sch 1 item 37, applicable in relation to the 2018-19 income year and later income years.
(3)
For the purposes of determining whether a franking credit or franking debit arises in the trust ' s franking account as a result of the event:
(a) treat the trust as a corporate tax entity at the time the event happens; and
(b) treat the trust as satisfying the residency requirement in section 205-25 of the Income Tax Assessment Act 1997 for the income year in which the event happens.
(3A)
If the event is an event described in item 4 of the table in subsection 205-30(1) of the Income Tax Assessment Act 1997 , treat the event as happening on 1 July 2019.HistoryS 75(3A) inserted by No 15 of 2019, s 3 and Sch 1 item 38, applicable in relation to the 2018-19 income year and later income years.
(4)
Subitems (5) and (6) apply if:
(a) the trust makes a distribution on or after the cessation time but before 1 July 2019; and
(b) the trust ' s franking account is in surplus just before the trust makes the distribution; and
(c) the distribution is not made out of income derived in relation to the 2016-17 income year or a later income year.HistoryS 75(4) amended by No 15 of 2019, s 3 and Sch 1 items 39 - 41, by substituting " Subitems (5) and (6) apply " for " Subitem (5) applies " , " 1 July 2019 " for " 1 July 2018 " in para (a) and inserting para (c), applicable in relation to the 2018-19 income year and later income years.
(5)
For the purposes of determining whether the trust franks the distribution as a result of the event:
(a) treat the trust as a corporate tax entity at the time it makes the distribution; and
(b) treat the trust as satisfying the residency requirement in section 202-20 of the Income Tax Assessment Act 1997 at the time it makes the distribution.Note:
As a result, the trust will satisfy the requirement in paragraph 202-5(a) of that Act in respect of the distribution. If the other requirements in section 202-5 of that Act are satisfied in respect of the distribution, this means that the trust franks the distribution.
(6)
Treat a beneficiary of the trust who receives the distribution as receiving, for the purposes of the income tax law, a dividend from a corporate tax entity.HistoryS 75(6) inserted by No 15 of 2019, s 3 and Sch 1 item 42, applicable in relation to the 2018-19 income year and later income years.
The definition formerly read:
prescribed trust estate
, in relation to a year of income, means a trust estate that:
(a) is a corporate unit trust, within the meaning of Division 6B of Part III of the Income Tax Assessment Act 1936 , in relation to the year of income; or
(b) is a public trading trust, within the meaning of Division 6C of Part III of that Act, in relation to the year of income.
Definition of " the South African agreement " amended by No 111 of 2008 and inserted by No 149 of 1999.
S 3(1) substituted by No 45 of 2011, s 3 and Sch 1 item 2, effective 27 June 2011. S 3(1) formerly read:
3(1)
In this Act, unless the contrary intention appears:agreement
means:
(a) a convention or agreement a copy of which is set out in a Schedule to this Act; or
(b) the 1946 United Kingdom agreement; or
(ba) the 1967 United Kingdom agreement; or
(bb) the 1967 United Kingdom agreement as amended by the 1980 Protocol to the 1967 United Kingdom agreement; or
(bc) the 1969 French airline profits agreement; or
(bd) the 1976 French agreement; or
(be) the 1976 French agreement as amended by the 1989 French protocol; or
(c) the 1960 New Zealand agreement; or
(ca) the 1972 New Zealand agreement; or
(caa) the 1995 New Zealand agreement; or
(cab) the 1995 New Zealand agreement as amended by the 2005 New Zealand protocol; or
(cb) the 1982 Norwegian convention; or
(cc) the 1984 Finnish agreement; or
(cd) the 1984 Finnish agreement as amended by the 1997 Finnish protocol; or
(d) the previous Canadian agreement; or
(e) the previous United States convention; or
(f) the 1969 Japanese agreement.HistoryDefinition of " agreement " amended by No 13 of 2010, s 3 and Sch 1 item 3, by inserting paras (caa) and (cab), effective 11 March 2010.
Definition of " agreement " amended by No 102 of 2008 , s 3 and Sch 1 item 1 by inserting " or " at the end of paragraphs (a) to (cd) and item 2, by inserting para (f), effective 3 October 2008.
Definition of " agreement " amended by No 146 of 2007, s 3 and Sch 1 item 1, by inserting paras (cc) and (cd), effective 24 September 2007.
Definition of " agreement " amended by No 136 of 2007, s 3 and Sch 1 item 1, by inserting paras (bc), (bd) and (be), and Sch 2 item 1, by inserting para (cb), effective 3 September 2007.
Definition of " agreement " amended No 123 of 2003, by No 22 of 1995.
Australian tax
means:
(a) income tax imposed as such by an Act; or
(b) fringe benefits tax imposed by the Fringe Benefits Tax Act 1986 .HistoryDefinition of " Australian tax " substituted by No 22 of 1995.
calendar year
means a year commencing on 1 January.foreign tax
means tax, other than Australian tax, which is the subject of an agreement.prescribed trust estate
, in relation to a year of income, means a trust estate that:
(a) is a corporate unit trust, within the meaning of Division 6B of Part III of the Assessment Act, in relation to the year of income; or
(b) is a public trading trust, within the meaning of Division 6C of Part III of the Assessment Act, in relation to the year of income.HistoryDefinition of " prescribed trust estate " inserted by No 173 of 1985.
the 1946 United Kingdom agreement
means the Agreement between the Government of Australia and the Government of the United Kingdom for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income that was signed at London on 29 October 1946.HistoryDefinition of " the 1946 United Kingdom agreement " inserted by No 123 of 2003.
the 1960 New Zealand agreement
means the Agreement between the Government of Australia and the Government of New Zealand for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income that was signed at Canberra on 12 May 1960.HistoryDefinition of " the 1960 New Zealand agreement " relocated to appropriate alphabetical position by No 8 of 2010, s 3 and Sch 1 item 35, effective 1 March 2010.
Definition of " the 1960 New Zealand agreement " inserted by No 22 of 1995.
the 1967 United Kingdom agreement
means the Agreement between the Government of the Commonwealth of Australia and the Government of the United Kingdom of Great Britain and Northern Ireland for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and capital gains that was signed at Canberra on 7 December 1967.HistoryDefinition of " the 1967 United Kingdom agreement " inserted by No 123 of 2003.
the 1969 French airline profits agreement
means the Agreement between the Government of Australia and the Government of the French Republic for the avoidance of double taxation of income derived from international air transport that was signed at Canberra on 27 March 1969.HistoryDefinition of " the 1969 French airline profits agreement " inserted by No 136 of 2007, s 3 and Sch 1 item 2, effective 3 September 2007.
the 1969 Japanese agreement
means the Agreement between the Government of the Commonwealth of Australia and the Government of Japan for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that agreement, being the agreement and protocol that was signed at Canberra on 20 March 1969.HistoryDefinition of " the 1969 Japanese agreement " inserted by No 102 of 2008 , s 3 and Sch 1 item 3, effective 3 October 2008.
the 1972 New Zealand agreement
means the Agreement between the Government of Australia and the Government of New Zealand for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income that was signed at Melbourne on 8 November 1972.HistoryDefinition of " the 1972 New Zealand agreement " relocated to appropriate alphabetical position by No 8 of 2010, s 3 and Sch 1 item 35, effective 1 March 2010.
Definition of " the 1972 New Zealand agreement " inserted by No 22 of 1995.
the 1976 French agreement
means the Agreement between the Government of Australia and the Government of the French Republic for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income that was signed at Canberra on 13 April 1976.HistoryDefinition of " the 1976 French agreement " inserted by No 136 of 2007, s 3 and Sch 1 item 3, effective 3 September 2007.
the 1980 Protocol to the 1967 United Kingdom agreement
means the Protocol, signed at Canberra on 29 January 1980, between the Government of the Commonwealth of Australia and the Government of the United Kingdom of Great Britain and Northern Ireland amending the 1967 United Kingdom agreement.HistoryDefinition of " the 1980 Protocol to the 1967 United Kingdom agreement " inserted by No 123 of 2003.
the 1982 Norwegian convention
means the Convention between Australia and the Kingdom of Norway for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital and the protocol to that convention, being the convention and protocol that were signed at Canberra on 6 May 1982.HistoryDefinition of " the 1982 Norwegian convention " inserted by No 136 of 2007, s 3 and Sch 2 item 2, effective 3 September 2007.
the 1984 Finnish agreement
means the Agreement between Australia and Finland for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that agreement, being the agreement and protocol that were signed at Canberra on 12 September 1984.HistoryDefinition of " the 1984 Finnish agreement " inserted by No 146 of 2007, s 3 and Sch 1 item 2, effective 24 September 2007.
the 1989 French protocol
means the Protocol, signed at Paris on 19 June 1989, between the Government of Australia and the Government of the French Republic amending the 1976 French agreement.HistoryDefinition of " the 1989 French protocol " inserted by No 136 of 2007, s 3 and Sch 1 item 4, effective 3 September 2007.
the 1995 New Zealand agreement
means the Agreement between the Government of Australia and the Government of New Zealand for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement signed at Melbourne on 27 January 1995.HistoryDefinition of " the 1995 New Zealand agreement " inserted by No 13 of 2010, s 3 and Sch 1 item 4, effective 11 March 2010.
the 1997 Finnish protocol
means the Protocol, signed at Canberra on 5 November 1997, between Australia and Finland amending the 1984 Finnish agreement.HistoryDefinition of " the 1997 Finnish protocol " inserted by No 146 of 2007, s 3 and Sch 1 item 3, effective 24 September 2007.
the 2003 United Kingdom convention
means the Convention between the Government of Australia and the Government of the United Kingdom of Great Britain and Northern Ireland for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital gains, as affected by the 2003 United Kingdom notes. A copy of the convention and of the notes is set out in Schedule 1 .HistoryDefinition of " the 2003 United Kingdom convention " inserted by No 123 of 2003.
the 2003 United Kingdom notes
means the exchange of notes between the Government of Australia and the Government of the United Kingdom of Great Britain and Northern Ireland in connection with the 2003 United Kingdom convention that was carried out at Canberra on 21 August 2003. A copy of the notes is set out in Schedule 1 .HistoryDefinition of " the 2003 United Kingdom notes " inserted by No 123 of 2003.
the 2005 New Zealand protocol
means the Protocol, signed at Melbourne on 15 November 2005, between the Government of Australia and the Government of New Zealand amending the 1995 New Zealand agreement.HistoryDefinition of " the 2005 New Zealand protocol " inserted by No 13 of 2010, s 3 and Sch 1 item 5, effective 11 March 2010.
the 2006 Finnish agreement
means the Agreement between the Government of Australia and the Government of Finland for the avoidance of double taxation with respect to taxes on income and the prevention of fiscal evasion and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 25 .HistoryDefinition of " the 2006 Finnish agreement " inserted by No 146 of 2007, s 3 and Sch 1 item 4, effective 24 September 2007.
the 2006 French convention
means the Convention between the Government of Australia and the Government of the French Republic for the avoidance of double taxation with respect to taxes on income and the prevention of fiscal evasion and the protocol to that convention, being the convention and protocol a copy of each of which in the English language is set out in Schedule 11 .HistoryDefinition of " the 2006 French convention " inserted by No 136 of 2007, s 3 and Sch 1 item 5, effective 3 September 2007.
the 2006 Norwegian convention
means the Convention between Australia and the Kingdom of Norway for the avoidance of double taxation with respect to taxes on income and the prevention of fiscal evasion, being the convention a copy of which is set out in Schedule 23 .HistoryDefinition of " the 2006 Norwegian convention " inserted by No 136 of 2007, s 3 and Sch 2 item 3, effective 3 September 2007.
the 2008 Japanese convention
means the Convention between Australia and Japan for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that convention, being the convention and protocol a copy of each of which in the English language is set out in Schedule 6 .HistoryDefinition of " the 2008 Japanese convention " inserted by No 102 of 2008 , s 3 and Sch 1 item 4, effective 3 October 2008.
the 2009 New Zealand convention
means the Convention between Australia and New Zealand for the avoidance of double taxation with respect to taxes on income and fringe benefits and the prevention of fiscal evasion, being the convention a copy of which is set out in Schedule 4 .HistoryDefinition of " the 2009 New Zealand convention " inserted by No 13 of 2010, s 3 and Sch 1 item 6, effective 11 March 2010.
the Argentine agreement
means the 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 and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 44 .HistoryDefinition of " the Argentine agreement " inserted by No 149 of 1999.
the Assessment Act
means the Income Tax Assessment Act 1936 or the Income Tax Assessment Act 1997 .HistoryDefinition of " the Assessment Act " amended by No 39 of 1997 and substituted by No 11 of 1973.
the Austrian agreement
means the Agreement between Australia and the Republic of Austria for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 27 .HistoryDefinition of " the Austrian agreement " inserted by No 112 of 1986.
the Belgian agreement
means the Agreement between Australia and the Kingdom of Belgium for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income (being the agreement a copy of which in the English language is set out in Schedule 13 ), as amended by the first and second Belgian protocols.HistoryDefinition of " the Belgian agreement " amended by No 13 of 2010, s 3 and Sch 1 item 7, by substituting " first and second Belgian protocols " for " Belgian protocol " , effective 11 March 2010.
Definition of " the Belgian agreement " substituted by No 125 of 1984 and inserted by No 134 of 1977.
the Belgian protocol
(Repealed by No 13 of 2010)HistoryDefinition of " the Belgian protocol " repealed by No 13 of 2010, s 3 and Sch 1 item 8, effective 11 March 2010. The definition formerly read:
the Belgian protocol
means the Protocol amending the Agreement between Australia and the Kingdom of Belgium for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which in the English language is set out in Schedule 13A ;Definition of " the Belgian protocol " inserted by No 125 of 1984.
the British Virgin Islands agreement
means the Agreement between the Government of Australia and the Government of the British Virgin Islands for the allocation of taxing rights with respect to certain income of individuals, being the agreement a copy of which is set out in Schedule 48 .HistoryDefinition of " the British Virgin Islands agreement " inserted by No 105 of 2009, s 3 and Sch 1 item 1, effective 8 October 2009.
the Canadian convention
means the Convention between the Government of Australia and the Government of Canada for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the convention a copy of which in the English language is set out in Schedule 3 , as amended by the Canadian protocol.HistoryDefinition of " the Canadian convention " amended by No 129 of 2002 and inserted by No 127 of 1980.
the Canadian protocol
means the Protocol amending the Convention between the Government of Australia and the Government of Canada for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which in the English language is set out in Schedule 3A .HistoryDefinition of " the Canadian protocol " inserted by No 129 of 2002.
the Chinese agreement
means the Agreement between the Government of Australia and the Government of the People ' s Republic of China for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 28 .HistoryDefinition of " the Chinese agreement " inserted by No 121 of 1990.
the Chinese airline profits agreement
means the Agreement between the Government of Australia and the Government of the People ' s Republic of China for the avoidance of double taxation of income and revenues derived by air transport enterprises from international air transport, being the agreement a copy of which in the English language is set out in Schedule 26 .HistoryDefinition of " the Chinese airline profits agreement " inserted by No 46 of 1986.
the Czech agreement
means the Agreement between Australia and the Czech Republic for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 40 .HistoryDefinition of " the Czech agreement " inserted by No 127 of 1995.
the Danish agreement
means the Agreement between the Government of Australia and the Government of the Kingdom of Denmark for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 18 .HistoryDefinition of " the Danish agreement " inserted by No 143 of 1981.
the Fijian agreement
means the Agreement between Australia and Fiji for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 32 .HistoryDefinition of " the Fijian agreement " inserted by No 121 of 1990.
the Finnish agreement
(Repealed by No 146 of 2007)HistoryDefinition of " the Finnish agreement " repealed by No 146 of 2007, s 3 and Sch 1 item 5, effective 24 September 2007. The definition formerly read:
the Finnish agreement
means the Agreement between Australia and Finland for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 25 , as amended by the second Finnish protocol;Definition of " the Finnish agreement " amended by No 100 of 2000 and inserted by No 168 of 1985.
the first Belgian protocol
means the Protocol, signed 20 March 1984, amending the Agreement between Australia and the Kingdom of Belgium for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which in the English version is set out in Schedule 13A .HistoryDefinition of " the first Belgian protocol " inserted by No 13 of 2010, s 3 and Sch 1 item 9, effective 11 March 2010.
the first Malaysian protocol
means the Protocol, signed 2 August 1999, amending the Agreement between Australia and Malaysia for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which in the English language is set out in Schedule 16A .HistoryDefinition of " the first Malaysian protocol " inserted by No 129 of 2002.
the first Singapore protocol
means the Protocol amending the Agreement between the Government of the Commonwealth of Australia and the Government of the Republic of Singapore for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which is set out in Schedule 5A .HistoryDefinition of " the first Singapore protocol " inserted by No 115 of 2010, s 3 and Sch 1 item 1, effective 9 November 2010.
the French agreement
(Repealed by No 136 of 2007)HistoryDefinition of " the French agreement " repealed by No 136 of 2007, s 3 and Sch 1 item 6, effective 3 September 2007. The definition formerly read:
the French agreement
means the Agreement between the Government of Australia and the Government of the French Republic for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 11 , as amended by the French protocol;Definition of " the French agreement " amended by No 165 of 1989 and inserted by No 52 of 1976.
the French airline profits agreement
(Repealed by No 136 of 2007)HistoryDefinition of " the French airline profits agreement " repealed by No 136 of 2007, s 3 and Sch 1 item 7, effective 3 September 2007. The definition formerly read:
the French airline profits agreement
means the Agreement between the Government of Australia and the Government of the French Republic for the avoidance of double taxation of income derived from international air transport, being the agreement a copy of which in the English language is set out in Schedule 7 ;the French protocol
(Repealed by No 136 of 2007)HistoryDefinition of " the French protocol " repealed by No 136 of 2007, s 3 and Sch 1 item 8, effective 3 September 2007. The definition formerly read:
the French protocol
means the Protocol amending the Agreement between the Government of Australia and the Government of the French Republic for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which in the English language is set out in Schedule 11A ;Definition of " the French protocol " inserted by No 165 of 1989.
the German agreement
means the Agreement between the Government of Australia and the Government of the Federal Republic of Germany for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and capital and to certain other taxes and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 9 .HistoryDefinition of " the German agreement " inserted by No 129 of 1974.
the Greek agreement
(Repealed by No 129 of 2002)HistoryDefinition of " the Greek agreement " inserted by No 134 of 1977.
the Greek airline profits agreement
means the Agreement between the Government of Australia and the Government of the Hellenic Republic for the avoidance of double taxation of income derived from international air transport, being the agreement a copy of which is set out in the English language in Schedule 12 .HistoryDefinition of " the Greek airline profits agreement " inserted by No 129 of 2002.
the Hungarian agreement
means the Agreement between Australia and the Republic of Hungary for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 33 .HistoryDefinition of " the Hungarian agreement " inserted by No 96 of 1991.
the Indian agreement
means the Agreement between the Government of Australia and the Government of the Republic of India for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 35 .HistoryDefinition of " the Indian agreement " inserted by No 214 of 1991.
the Indian airline profits agreement
(Omitted by No 139 of 1992)HistoryDefinition of " the Indian airline profits agreement " inserted by No 57 of 1983.
the Indonesian agreement
means the Agreement between the Government of Australia and the Government of the Republic of Indonesia for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 37 .HistoryDefinition of " the Indonesian agreement " inserted by No 139 of 1992.
the Irish agreement
means the Agreement between the Government of Australia and the Government of Ireland for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and capital gains, being the agreement a copy of which is set out in Schedule 20 .HistoryDefinition of " the Irish agreement " inserted by No 57 of 1983.
the Isle of Man agreement
means the Agreement between the Government of Australia and the Government of the Isle of Man for the allocation of taxing rights with respect to certain income of individuals and to establish a mutual agreement procedure in respect of transfer pricing adjustments, being the agreement a copy of which is set out in Schedule 49 .HistoryDefinition of " the Isle of Man agreement " inserted by No 105 of 2009, s 3 and Sch 1 item 2, effective 8 October 2009.
the Italian agreement
(Omitted by No 57 of 1983)the Italian airline profits agreement
means the Agreement between the Government of Australia and the Government of Italy for the avoidance of double taxation of income derived from international air transport, being the agreement a copy of which in the English language is set out in Schedule 8 .HistoryDefinition of " the Italian airline profits agreement " inserted by No 57 of 1983.
the Italian convention
means the Convention between Australia and the Republic of Italy for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that convention, being the convention and protocol a copy of each of which in the English language is set out in Schedule 21 .HistoryDefinition of " the Italian convention " inserted by No 57 of 1983.
the Japanese agreement
(Repealed by No 102 of 2008)HistoryDefinition of " the Japanese agreement " repealed by No 102 of 2008 , s 3 and Sch 1 item 5, effective 3 October 2008. The definition formerly read:
the Japanese agreement
means the Agreement between the Government of Australia and the Government of Japan for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 6 ;the Jersey agreement
means the Agreement between the Government of Australia and the Government of Jersey for the allocation of taxing rights with respect to certain income of individuals and to establish a mutual agreement procedure in respect of transfer pricing adjustments, being the agreement a copy of which is set out in Schedule 50.HistoryDefinition of " the Jersey agreement " inserted by No 13 of 2010, s 3 and Sch 1 item 10, effective 11 March 2010.
the Kiribati agreement
means the Agreement between Australia and the Republic of Kiribati for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 34 .HistoryDefinition of " the Kiribati agreement " inserted by No 96 of 1991.
the Korean convention
means the Convention between the Government of Australia and the Government of the Republic of Korea for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that convention, being the convention and protocol a copy of each of which in the English language is set out in Schedule 22 .HistoryDefinition of " the Korean convention " inserted by No 57 of 1983.
the Malaysian agreement
means the Agreement between Australia and Malaysia for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in the English language in Schedule 16 , as amended by the first and second Malaysian protocols.HistoryDefinition of " the Malaysian agreement " substituted by No 129 of 2002 and inserted by No 28 of 1981.
the Malaysian protocol
(Repealed by No 129 of 2002)HistoryDefinition of " the Malaysian protocol " inserted by No 149 of 1999.
the Maltese agreement
means the Agreement between Australia and Malta for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 24 .HistoryDefinition of " the Maltese agreement " inserted by No 125 of 1984.
the Mexican agreement
means the Agreement between the Government of Australia and the Government of the United Mexican States for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income as affected by the protocol to that agreement. A copy of the agreement, and of the protocol, in the English language is set out in Schedule 47 .HistoryDefinition of " the Mexican agreement " inserted by No 123 of 2003.
the Netherlands agreement
means the Agreement between the Government of Australia and the Government of the Kingdom of the Netherlands for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 10 , as amended by the second Netherlands protocol .HistoryDefinition of " the Netherlands agreement " substituted by No 112 of 1986.
the New Zealand agreement
(Repealed by No 13 of 2010)HistoryDefinition of " the New Zealand agreement " repealed by No 13 of 2010, s 3 and Sch 1 item 11, effective 11 March 2010. The definition formerly read:
the New Zealand agreement
means the Agreement between the Government of Australia and the Government of New Zealand for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 4 , as amended by the New Zealand protocol;Definition of " the New Zealand agreement " amended by No 100 of 2006 , s 3 and Sch 3 item 1, by inserting " , as amended by the New Zealand protocol " at the end, effective 14 September 2006.
Definition of " the New Zealand agreement " inserted by No 11 of 1973.
the New Zealand protocol
(Repealed by No 13 of 2010)HistoryDefinition of " the New Zealand protocol " repealed by No 13 of 2010, s 3 and Sch 1 item 12, effective 11 March 2010. The definition formerly read:
the New Zealand protocol
means the Protocol amending the Agreement between the Government of Australia and the Government of New Zealand for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income. A copy of the protocol is set out in Schedule 4A .Definition of " the New Zealand protocol " inserted by No 100 of 2006 , s 3 and Sch 3 item 2, effective 14 September 2006.
the Norwegian convention
(Repealed by No 136 of 2007)HistoryDefinition of " the Norwegian convention " repealed by No 136 of 2007, s 3 and Sch 2 item 4, effective 3 September 2007. The definition formerly read:
the Norwegian convention
means the Convention between Australia and the Kingdom of Norway for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital and the protocol to that convention, being the convention and protocol a copy of each of which is set out in Schedule 23 ;Definition of " the Norwegian convention " inserted by No 57 of 1983.
the Papua New Guinea agreement
means the Agreement between Australia and the Independent State of Papua New Guinea for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 29 .HistoryDefinition of " the Papua New Guinea agreement " inserted by No 165 of 1989.
the Philippine agreement
means the Agreement between the Government of Australia and the Government of the Republic of the Philippines for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 14 .HistoryDefinition of " the Philippine agreement " inserted by No 23 of 1980.
the Polish agreement
means the Agreement between Australia and the Republic of Poland for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 36 .HistoryDefinition of " the Polish agreement " inserted by No 214 of 1991.
the previous Canadian agreement
means the Agreement between the Government of Australia and the Government of Canada for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income that was signed at Mont Tremblant on 1 October 1957.HistoryDefinition of " the previous Canadian agreement " inserted by No 127 of 1980.
the previous New Zealand agreement
(Omitted by No 22 of 1995)HistoryDefinition of " the previous New Zealand agreement " inserted by No 11 of 1973.
the previous United Kingdom agreement
(Repealed by No 123 of 2003)the previous United States convention
means the Convention between the Government of Australia and the Government of the United States of America for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income that was signed at Washington on 14 May 1953.HistoryDefinition of " the previous United States convention " inserted by No 57 of 1983.
the Romanian agreement
means the Agreement between Australia and Romania for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 45 .HistoryDefinition of " the Romanian agreement " inserted by No 100 of 2000.
the Russian agreement
means the Agreement between the Government of Australia and the Government of the Russian Federation for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 46 .HistoryDefinition of " the Russian agreement " inserted by No 59 of 2002.
the second Belgian protocol
means the Protocol, signed 24 June 2009, amending the Agreement between Australia and the Kingdom of Belgium for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which in the English version is set out in Schedule 13B.HistoryDefinition of " the second Belgian protocol " inserted by No 13 of 2010, s 3 and Sch 1 item 13, effective 11 March 2010.
the second Finnish protocol
(Repealed by No 146 of 2007)HistoryDefinition of " the second Finnish protocol " repealed by No 146 of 2007, s 3 and Sch 1 item 6, effective 24 September 2007. The definition formerly read:
the second Finnish protocol
means the Protocol to amend the agreement between Australia and Finland for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which in the English language is set out in Schedule 25A .Definition of " the second Finnish protocol " inserted by No 100 of 2000.
the second Malaysian protocol
means the Protocol , signed 28 July 2002, amending the agreement between Australia and Malaysia for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which in the English language is set out in Schedule 16B .HistoryDefinition of " the second Malaysian protocol " inserted by No 129 of 2002.
the second Netherlands protocol
means the protocol a copy of which in the English language is set out in Schedule 10A , being the Second Protocol amending the Agreement between Australia and the Kingdom of the Netherlands for the avoidance of double taxation and the prevention of fiscal evasion with respect to tax on income with Protocol.HistoryDefinition of " the second Netherlands protocol " inserted by No 112 of 1986.
the second Singapore protocol
means the Protocol, signed 8 September 2009, amending the Agreement between the Government of the Commonwealth of Australia and the Government of the Republic of Singapore for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which is set out in Schedule 5B .HistoryDefinition of " the second Belgian protocol " inserted by No 13 of 2010, s 3 and Sch 1 item 13, effective 11 March 2010.
the Singapore agreement
means the Agreement between the Government of Australia and the Government of the Republic of Singapore for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which is set out in Schedule 5 , as amended by the first Singapore protocol and the second Singapore protocol.HistoryDefinition of " the Singapore agreement " amended by No 115 of 2010, s 3 and Sch 1 item 3, by substituting " the first Singapore protocol and the second Singapore protocol " for " the Singapore protocol " , effective 9 November 2010.
Definition of " the Singapore agreement " amended by No 165 of 1989.
the Singapore protocol
(Repealed by No 115 of 2010)HistoryDefinition of " the Singapore protocol " repealed by No 115 of 2010, s 3 and Sch 1 item 4, effective 9 November 2010. The definition formerly read:
the Singapore protocol
means the Protocol amending the Agreement between the Government of the Commonwealth of Australia and the Government of the Republic of Singapore for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which is set out in Schedule 5A ;Definition of " the Singapore protocol " inserted by No 165 of 1989.
the Slovak agreement
means the Agreement between Australia and the Slovak Republic for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 43 .HistoryDefinition of " the Slovak agreement " inserted by No 149 of 1999.
the South African agreement
means the Agreement between the Government of Australia and the Government of the Republic of South Africa for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 42 , as amended by the South African protocol.HistoryDefinition of " the South African agreement " amended by No 111 of 2008, s 3 and Sch 1 item 1, by inserting " , as amended by the South African protocol " , effective 31 October 2008.
Definition of " the South African agreement " inserted by No 149 of 1999.
the South African protocol
means the Protocol amending the Agreement between the Government of Australia and the Government of the Republic of South Africa for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income. A copy of the protocol is set out in Schedule 42A .HistoryDefinition of " the South African protocol " inserted by No 111 of 2008, s 3 and Sch 1 item 2, effective 31 October 2008.
the Spanish agreement
means the Agreement between Australia and the Kingdom of Spain for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 39 .HistoryDefinition of " the Spanish agreement " inserted by No 139 of 1992.
the Sri Lankan agreement
means the Agreement between Australia and the Democratic Socialist Republic of Sri Lanka for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 31 .HistoryDefinition of " the Sri Lankan agreement " inserted by No 121 of 1990.
the Swedish agreement
means the Agreement between the Government of Australia and the Government of Sweden for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 17 .HistoryDefinition of " the Swedish agreement " inserted by No 28 of 1981.
the Swiss agreement
means the Agreement between the Government of Australia and the Swiss Federal Council for the avoidance of double taxation with respect to taxes on income and the protocol to that agreement, being the agreement and protocol a copy of each of which in the English language is set out in Schedule 15 .HistoryDefinition of " the Swiss agreement " inserted by No 23 of 1980.
the Taipei agreement
means:
(a) the Agreement between the Australian Commerce and Industry Office and the Taipei Economic and Cultural Office concerning the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income; and
(b) the annex to that agreement;a copy of each of which in the English language is set out in Schedule 41 .
HistoryDefinition of " the Taipei Agreement " inserted by No 39 of 1996.
the Thai agreement
means the Agreement between Australia and the Kingdom of Thailand for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 30 .HistoryDefinition of " the Thai agreement " inserted by No 165 of 1989.
the United Kingdom
(Repealed by No 123 of 2003)the United Kingdom agreement
(Repealed by No 123 of 2003)HistoryDefinition of " the United Kingdom agreement " substituted by No 23 of 1980.
the United Kingdom protocol
(Repealed by No 123 of 2003)HistoryDefinition of " the United Kingdom protocol " inserted by No 23 of 1980.
the United States convention
means the Convention between the Government of Australia and the Government of the United States of America for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the convention a copy of which is set out in Schedule 2 , as amended by the United States protocol.HistoryDefinition of " the United States convention " amended by No 59 of 2002.
the United States protocol
means the Protocol amending the Convention between the Government of Australia and the Government of the United States of America for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the protocol a copy of which is set out in Schedule 2A .HistoryDefinition of " the United States protocol " inserted by No 59 of 2002.
the Vietnamese agreement
means the Agreement between the Government of Australia and the Government of the Socialist Republic of Vietnam for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, being the agreement a copy of which in the English language is set out in Schedule 38 , as amended by the Vietnamese notes.HistoryDefinition of " the Vietnamese agreement " amended by No 80 of 1997 and inserted by No 139 of 1992.
the Vietnamese notes
means the Exchange of Notes between the Government of Australia and the Government of the Socialist Republic of Vietnam amending the Vietnamese agreement, that was carried out on 22 November 1996. A copy of the Notes is set out in Schedule 38A .HistoryDefinition of " the Vietnamese notes " inserted by No 80 of 1997.
United Kingdom tax
(Repealed by No 123 of 2003)
Act No 45 of 2011, s 3 and Sch 1 items 70 - 72 contain the following transitional provisions:
Part 2 - Transitional provisions
70 Definitions
70
In this Part:commencement day
means the day this Schedule commences [ 27 June 2011].new Act
means the International Tax Agreements Act 1953 as amended by this Schedule.old Act
71 Transitional - amendments operate prospectively
means the International Tax Agreements Act 1953 as in force before the commencement day.
(1)
This item applies to a provision of an agreement that has the force of law on the commencement day because of section 5 of the new Act.
(2)
Despite section 5 of the new Act, for each day before the commencement day, the provision of the agreement continues to have the force of law in accordance with the old Act.
72 Transitional - new description of agreements do not affect their legal operation
(1)
This item applies to a provision of an agreement that:
(a) had the force of law under the old Act immediately before the commencement day; and
(b) is not covered by section 5 or 5A of the new Act.
(2)
To avoid doubt, the provision continues to have the force of law, on and after the commencement day, under the new Act.
Note:
This means the changes made by this Schedule have no effect on the provision ' s legal operation.
S 3(1) amended by No 52 of 1976 and No 129 of 1974.
3(2)
For the purpose of this Act and the Assessment Act, a reference in an agreement to profits of an activity or business shall, in relation to Australian tax, be read, where the context so permits, as a reference to taxable income derived from that activity or business.
3(2A)
After the commencement of this subsection, a reference in an agreement to income from shares, or to income from other rights participating in profits, does not include a reference to a return on a debt interest (as defined in Subdivision 974-B of the Income Tax Assessment Act 1997 ).
S 3(2A) inserted by No 123 of 2003.
3(3)
For the purposes of this Act, an amount of income derived by a person, being income other than interest or royalties, shall be deemed to be income attributable to interest or royalties, as the case may be:
(a) if the person derived the amount of income by reason of being beneficially entitled to an amount representing the interest or royalties; or
(b) if the person derived the amount of income as a beneficiary in a trust estate and the amount of income can be attributed, directly or indirectly, to the interest or royalties or to an amount that is to be deemed, by any application or successive applications of this subsection, to be an amount of income attributable to the interest or royalties.
3(4)
Where a beneficiary in a trust estate, other than a trust estate that is a prescribed trust estate, in relation to the year of income, is presently entitled to income of the trust estate, that income shall, for the purposes of this Act, be deemed to be an amount of income derived by the person.
S 3(4) amended by No 173 of 1985 and No 154 of 1981.
3(5)
To the extent that an agreement provides that the expression immovable property has the meaning it has under the law of Australia, that expression, for the purposes of that agreement, includes real property.
S 3(5) inserted by No 105 of 2014, s 3 and Sch 1 item 8, effective 24 September 2014.
Former s 3(5) repealed by No 143 of 2007, s 3 and Sch 1 item 206, applicable in relation to income years, statutory accounting periods and notional accounting periods starting on or after the first 1 July that occurs after 24 September 2007. S 3(5) formerly read:
3(5)
For the purposes of this Act:
(a) all income that is passive income constitutes a single class of income; and
(b) all income that is offshore banking income constitutes a single class of income; and
(c) all income not being passive income or offshore banking income constitutes a single class of income; and
(d) an amount of income that is deemed, for the purposes of any provision of this Act or of the Assessment Act, to be attributable to any other income, being income of a particular class, is to be taken to be income of that class.
Former s 3(5) and (6) substituted for s 3(5) by No 5 of 1991.
Former s 3(5) amended by No 51 of 1986 and No 129 of 1974.
3(6)
(Repealed by No 143 of 2007)
S 3(6) repealed by No 143 of 2007, s 3 and Sch 1 item 207, applicable in relation to income years, statutory accounting periods and notional accounting periods starting on or after the first 1 July that occurs after 24 September 2007. S 3(6) formerly read:
3(6)
An expression used in subsection (5) and in Division 18 of Part III of the Assessment Act has the same meaning in that subsection as it has in that Division.
S 3(5) and (6) substituted for s 3(5) by No 5 of 1991.
S 3(6) amended by No 51 of 1986 and No 129 of 1974.
3(7)
(Repealed by No 45 of 2011)
S 3(7) repealed by No 45 of 2011, s 3 and Sch 1 item 3, effective 27 June 2011. For transitional provisions see note under s 3(1). S 3(7) formerly read:
3(7)
For the purposes of this Act, the texts in the English language of the 1976 French agreement, the 2006 French convention and the 1969 Japanese agreement shall, unless the context otherwise requires, be construed as if:
(a) words in the singular included the plural; and
(b) words in the plural included the singular.
S 3(7) amended by No 102 of 2008 , s 3 and Sch 1 item 6, by inserting " 1969 " , effective 3 October 2008.
S 3(7) amended by No 136 of 2007, s 3 and Sch 1 item 9, by substituting " 1976 French agreement, the 2006 French convention " for " French agreement " , effective 3 September 2007.
3(7A)
(Repealed by No 45 of 2011)
S 3(7A) repealed by No 45 of 2011, s 3 and Sch 1 item 3, effective 27 June 2011. For transitional provisions see note under s 3(1). S 3(7A) formerly read:
3(7A)
For the purposes of this Act, a reference in the 1969 Japanese agreement to an area adjacent to Australia as specified in the Second Schedule to the Petroleum (Submerged Lands) Act 1967-1968 is to be read as including a reference to an area adjacent to Australia as specified in Schedule 1 to the Offshore Petroleum and Greenhouse Gas Storage Act 2006 .
S 3(7A) amended by No 117 of 2008, s 3 and Sch 3 item 16, by substituting " Offshore Petroleum and Greenhouse Gas Storage Act 2006 " for " Offshore Petroleum Act 2006 " , effective 22 November 2008.
S 3(7A) amended by No 102 of 2008 , s 3 and Sch 1 item 7, by inserting " 1969 " , effective 3 October 2008.
S 3(7A) inserted by No 17 of 2006, s 3 and Sch 2 item 43, effective 1 July 2008.
3(8)
Where, by virtue of a provision of an agreement, the expression royalties as used in, or in a particular provision of, that agreement has the meaning that that expression has under the law of Australia relating to income tax, that expression has, for the purposes of that agreement or of that particular provision, as the case may be, the meaning that that expression has by virtue of subsection 6(1) of the Income Tax Assessment Act 1936 .
S 3(8) amended by No 45 of 2011, s 3 and Sch 1 item 4, by substituting " 6(1) of the Income Tax Assessment Act 1936 " for " 6(1) of the Assessment Act " , effective 27 June 2011. For transitional provisions see note under s 3(1).
S 3(8) inserted by No 143 of 1976.
3(9)
Where, by virtue of a provision of an agreement, expressions used in, or in a particular provision of, that agreement and not otherwise defined for the purposes of that agreement or of that particular provision have the meanings that those expressions have under the law of Australia relating to income tax, subsection (8) does not affect the interpretation of that agreement or of that particular provision, as the case may be, in relation to the meaning of expressions other than the expression royalties .
S 3(9) inserted by No 143 of 1976.
3(10)
For the purposes of this Act, Medicare levy shall be deemed to be income tax and to be imposed as such and, unless the contrary intention appears, references to income tax or tax shall be construed accordingly.
S 3(10) inserted by No 51 of 1983.
3(11)
Where:
(a) a beneficiary of a trust estate (not being a prescribed trust estate) who is a resident of a country with which, or with the government of which, Australia, or the Government of Australia, has made an agreement before the commencement of this subsection is presently entitled, either directly or through one or more interposed trust estates, to a share of the income of the trust estate derived from the carrying on by the trustee in Australia of a business through a permanent establishment in Australia; and
(b) under the agreement, the income is to be dealt with in accordance with the article (in this subsection referred to as the business profits article ) of the agreement relating to the taxing of income of an enterprise of a Contracting State where the enterprise carries on a business in the other Contracting State through a permanent establishment in the other Contracting State;
for the purpose of determining whether the beneficiary ' s share of the income may be taxed in Australia in accordance with the business profits article:
(c) the beneficiary shall be deemed to carry on in Australia, through a permanent establishment in Australia, the business carried on in Australia by the trustee; and
(d) the beneficiary ' s share of the income shall be deemed to be attributable to that permanent establishment.
S 3(11) amended by No 173 of 1985 and inserted by No 125 of 1984.
3(11A)
If:
(a) the licensee of a spectrum licence (within the meaning of the Radiocommunications Act 1992 ), or a person authorised under section 68 of that Act by the licensee, derives income from operating radiocommunications devices (within the meaning of that Act) under the licence or from authorising others to do so; and
(b) the licensee or authorised person is a resident of a country (other than Australia), or a territory (other than an Australian-controlled territory), to whose residents an agreement applies; and
(c) under the agreement, the income is to be dealt with in accordance with the business profits article of the agreement referred to in paragraph 3(11)(b) ;
for the purpose of determining whether the income may be taxed in Australia in accordance with the business profits article:
(d) the licensee or authorised person is taken to carry on a business, through a permanent establishment, in Australia; and
(e) the income is taken to be attributable to that permanent establishment.
S 3(11A) inserted by No 54 of 1999.
3(12)
In subsections (11) and (11A):
Contracting State
, in relation to an agreement, means a country which, or the government of which, is a party to the agreement.
corporate unit trust
(Repealed by No 173 of 1985)
permanent establishment
in relation to an agreement, has the same meaning as in the agreement.
S 3(12) amended by No 54 of 1999 and No 125 of 1984.
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