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of <h1>Tax Rules for Real Property Income Between Nations Clarify Taxation Mechanisms and Taxpayer Computation Options Under Specific International Agreements</h1> The statutory provision addresses taxation of income from real property between contracting states. It defines real property broadly, including agricultural and forestry assets, and allows taxation by the state where the property is located. Residents can elect to compute tax on a net basis as business profits. The provision aims to clarify tax treatment of immovable property income, ensuring fair taxation across jurisdictions while providing flexibility for taxpayers.
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