Capital gains taxation: property type and situs determine which State may tax disposition gains under the treaty. Capital gains are allocated by reference to property type and situs: gains from immovable property situated in the other Contracting State may be taxed there; gains from movable property of a permanent establishment or fixed base may be taxed in the State where that establishment or fixed base is located; gains from ships or aircraft in international traffic are taxable only in the alienator's State of residence; gains from shares of a resident company may be taxed in that State; other gains are taxable only in the alienator's State of residence. A multilateral rule allows taxation by the State where immovable property is located if shares derived more than 50% of their value from such property within 365 days before alienation.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Capital gains taxation: property type and situs determine which State may tax disposition gains under the treaty.
Capital gains are allocated by reference to property type and situs: gains from immovable property situated in the other Contracting State may be taxed there; gains from movable property of a permanent establishment or fixed base may be taxed in the State where that establishment or fixed base is located; gains from ships or aircraft in international traffic are taxable only in the alienator's State of residence; gains from shares of a resident company may be taxed in that State; other gains are taxable only in the alienator's State of residence. A multilateral rule allows taxation by the State where immovable property is located if shares derived more than 50% of their value from such property within 365 days before alienation.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
TaxTMI 
