- 1
- Gains derived by a resident of a Contracting State from the alienation of immovable property referred to in Article 6 of this Convention and situated in the other Contracting State may be taxed in that other State.
- 2
- Gains derived by a resident of a Contracting State from the alienation of shares (other than shares quoted on a stock exchange) or other rights in a company which is a resident of the other Contracting State (including a partnership which is treated as a body corporate for tax purposes in the Contracting State of which it is a resident), the value of which shares or rights is derived principally from immovable property situated in that other State, may be taxed in that other State. For the purposes of this paragraph the term “immovable property” does not include property used by such company only in its industrial, commercial or agricultural activities or in the conduct of professional services.
- 3
- Gains from the alienation of movable property forming part of the business property of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State or of movable property pertaining to a fixed base available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal services, including such gains from the alienation of such a permanent establishment (alone or with the whole enterprise) or of such fixed base, may be taxed in that other State.
- 4
- Gains from the alienation of ships, boats or aircraft operated in international traffic by an enterprise of a Contracting State or movable property pertaining to the operation of such ships, boats or aircraft, shall be taxable only in that State.
- 5
- Gains from the alienation of any property other than that referred to in paragraphs 1, 2, 3 and 4 of this Article shall be taxable only in the Contracting State of which the alienator is a resident.
- 6
- The provisions of paragraph 5 of this Article shall not affect the right of each of the Contracting States to levy according to its own law a tax on gains from the alienation of shares or “jouissance” rights in a company, the capital of which is wholly or partly divided into shares and which under the laws of that State is a resident of that State, derived by an individual who is a resident of the other Contracting State and has been a resident of the first-mentioned State in the course of the last five years preceding the alienation of the shares or “jouissance” rights.
