9911796707
TMI BlogPermanent EstablishmentX X X X Extracts X X X X X X X X Extracts X X X X ..... . 3. The term permanent establishment also encompasses: (a) [ MODIFIED by paragraph 1 of Article 14 of the MLI] [a building site, a construction, assembly or installation project or supervisory activities in connection therewith, but only where such site, project or activities continue for a period of more than three months together with other such sites, projects or activities, if any;] The following paragraph 1 of Article 14 of the MLI applies and supersedes subparagraph (a) of paragraph 3 of Article 5 of this Agreement: ARTICLE 14 OF THE MLI SPLITTING-UP OF CONTRACTS For the sole purpose of determining whether the period (or periods) referred to [in subparagraph (a) of paragraph 3 of Article 5 of the Agreement] has been exceeded: a) wher ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ies in connection therewith other place identified in the [subparagraph (a) of paragraph 3 of Article 5 of the Agreement ]. (b) the furnishing of services, including consultancy services, by an enterprise through employees or other personnel engaged by the enterprise for such purpose, but only where activities of that nature continue (for the same or a connected project) within the country for a period or periods aggregating to more than six months within any 12-months' period. 4. [MODIFIED by paragraph 2 and paragraph 4 of Article 13 of the MLI] [Notwithstanding the preceding provisions of this Article, the term permanent establishment shall be deemed not to include: (a) the use of facilities solely for the purpose of storage or displa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... deemed not to include: a) the activities specifically listed in [paragraph 4 of Article 5 of the Agreement] as activities deemed not to constitute a permanent establishment, whether or not that exception from permanent establishment status is contingent on the activity being of a preparatory or auxiliary character; b) the maintenance of a fixed place of business solely for the purpose of carrying on, for the enterprise, any activity not described in subparagraph a); c) the maintenance of a fixed place of business solely for any combination of activities mentioned in subparagraphs a) and b), provided that such activity or, in the case of subparagraph c), the overall activity of the fixed place of business, is of a preparatory or auxiliary c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... first-mentioned Contracting State in respect of any activities which that person undertakes for the enterprise, if such a person: (a) [MODIFIED by paragraph 1 of Article 12 of the MLI ] [has and habitually exercises in that State an authority to conclude contracts in the name of the enterprise, unless the activities of such person are limited to those mentioned in paragraph 4 which, if exercised through a fixed place of business, would not make this fixed place of business a permanent establishment under the provisions of that paragraph; or The following paragraph 1 of Article 12 of the MLI applies with respect to the subparagraph (a) of paragraph 5 of Article 5 of this Agreement: ARTICLE 12 OF THE MLI ARTIFICIAL AVOIDANCE OF PERMANENT EST ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n behalf of the enterprise; or (c) habitually secures orders in the first-mentioned State, wholly or almost wholly for the enterprise itself or for the enterprise and other enterprises controlling, controlled by, or subject to the same common control as, that enterprise. 6. Notwithstanding the preceding provisions of this Article, an insurance enterprise of a Contracting State shall, except in regard to re-insurance, be deemed to have a permanent establishment in the other Contracting State if it collects premiums in the territory of that other State or ensures risks situated therein through a person other than an agent of an independent status to whom paragraph 7 applies. 7. [ MODIFIED by paragraph 2 of Article 12 of the MLI ] [An enterpri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... one or more enterprises to which it is closely related, that person shall not be considered to be an independent agent within the meaning of this paragraph with respect to any such enterprise. 8. The fact that a company which is a resident of a Contracting State controls or is controlled by a company which is a resident of the other Contracting State, or which carries on business in that other State (whether through a permanent establishment or otherwise), shall not of itself constitute either company a permanent establishment of the other. The following paragraph 1 of Article 15 of the MLI applies to this Agreement: ARTICLE 15 OF THE MLI DEFINITION OF A PERSON CLOSELY RELATED TO AN ENTERPRISE For the purposes of the provisions of [Article ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
