Article 13 - Capital gains - Sri Lanka (Old - Effective upto 31-3-2013)

Article 13 : Capital gains 1. Gains derived by a resident of a Contracting State from the alienation of immovable property referred to in paragraph (2) of Article 6 and situated in the other Contracting State may be taxed in that other State. 2. 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 (including such gains from the alienation of such a permanent establishment alone or with the whole enterprise), may be taxed in that other State. 3. Gains from the alienation of ships or aircraft operated in international traffic or movable property pertaining to the operation of such ships or aircraft shall be taxable only in the ContractingState in which the place of effective management of the enterprise is situated. 4. Gains from the alienation of stocks/shares of a company may be taxed in the Contracting State in which they have been issued. 5. Gains from the alienation of any property other than that referred to in paragraphs (1) to (4) of this Article, shall be taxable only in the ContractingState of which the alienator is a resident. 6. The term "alienation" means the sale, exchange, transfer, or relinquishment of the property or the extinguishment of any rights therein or the compulsory acquisition thereof under any law in force in the respective Contracting States.