Governmental remuneration tax exemption: pay by one state to its nationals for official services abroad exempt from host taxation. Governmental remuneration (other than pensions) paid by a Contracting State to its nationals for services performed in the other Contracting State is exempt from tax in the State where services are rendered. Pensions paid by a Contracting State for services to that State are taxable only in the paying State. Remuneration or pensions connected with any trade or business fall outside these exemptions.