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<h1>Pensions from past employment and social security schemes are taxable only in the resident's Contracting State.</h1> Pensions and similar remuneration paid to a resident of a Contracting State for past employment are taxable only in that State. However, pensions and payments made under a public scheme that is part of the social security system of a Contracting State or its political subdivisions or local authorities are also taxable exclusively in that State.