- 1.Income and gains from collective investment through closed funds for joint account based in a Contracting State (closed FJAs) or umbrella funds consisting of several closed FJAs, are allocated to the investors that invest through the closed FJAs, in proportion to their participations in the fund.
- 2.A closed FJA which is established in a Contracting State and which receives income or gains arising from the other Contracting State may itself, represented by its fund manager or its depository, in lieu of and instead of the investors in the closed FJA, claim the benefits of an agreement for the avoidance of double taxation, to which the other State is a party and which is specifically applicable to an investor concerned, on behalf of such investor in the closed FJA.Such claims may be subject to enquiry and, where requested, a fund manager or depository shall provide relevant information which may include a schedule of investors and allocated income or gains relevant to a claim, as well as the particular agreements for the avoidance of double taxation under which an application for benefits is made by the FJA.
- 3.Notwithstanding the provision of paragraph 2, a closed FJA may not claim treaty benefits on behalf of an investor in the closed FJA if the investor has itself made a claim for benefits in respect of the same income or gains.
