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of <h1>International Shipping Income Exempt from Taxation in Other State Under Double Tax Avoidance Agreement, Unless Operated Domestically</h1> Income from ship operations by an enterprise of one Contracting State is exempt from taxation in the other Contracting State, unless the ships are operated entirely or predominantly between locations within that other Contracting State. This provision is part of a Double Tax Avoidance Agreement, which aims to prevent double taxation on international shipping income between the two states.
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