Suriname (Suriname)
AGREEMENT BETWEEN THE GOVERNMENT OF THE REPUBLIC OF INDONESIA AND THE GOVERNMENT OF THE REPUBLIC OF SURINAME FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME Article 1 PERSONAL SCOPE This agreement shall apply to persons who are residents of one or both of the Contracting States. Article 2 TAXES COVERED This Agreement shall apply to taxes on income imposed on behalf of each Contracting State or of its political subpisions or local authorities, irrespective of the manner in which they are levied. There shall be regarded as taxes on income all taxes imposed on total income, or on elements of income, including taxes on gains from the alienation of movable or immovable property [and] taxes on the total amounts of wages or salaries paid by enterprises. The existing taxes to which the Agreement shall apply are, in particular; (a) in the case of Suriname: – de inkomstenbelasting (income tax); – de loonbelasting (wages tax); – de pidendbelasting (pidend tax); (hereinafter referred to as “Surinamese tax”); (b) in the case of Indonesia: the income tax imposed under the Undang-undang Pajak Penghasilan 1984 (Law Number 7 of 1983 as amended); (hereinafter referred to as “Indonesian tax”). The Agreement shall also apply to any identical or substantially similar taxes which are imposed after the date of signature of the Agreement in addition to, or in place of, existing taxes. The competent authorities of the Contracting States shall notify each other of any substantial changes which have been made in their respective taxation laws. Article 3 GENERAL DEFINITIONS For the purpose of this Agreement, unless the context otherwise requires: (a) the terms “one of the two States” and “the other State” mean Suriname or Indonesia, as the context requires. The term “the two States” means Suriname and Indonesia; (b) (i) the term “Suriname” comprises the territory of Suriname and that part of the seabed and [sub-soil] situated under the adjacent sea, over which Suriname has sovereign rights in accordance with international law; (ii) the term “Indonesia” means the territory of the Republic of Indonesia as defined in its laws; (c) the term “person” includes an inpidual, a company and any other body of persons, which is treated as an entity for tax purposes; (d) the term “company” means any body corporate or any entity which is treated as a body corporate for tax purposes; (e) the terms “enterprise of a Contracting State” and “enterprise of the other Contracting State” mean respectively an enterprise carried on by a resident of a Contracting State and an enterprise carried on by a resident of the other Contracting State; (f) the term “international traffic” means any transport by a ship or aircraft operated by an enterprise of a Contracting State, except when the ship or aircraft is operated solely between places in the other Contracting State; (g) the term “competent authority” means: (i) in the case of Suriname, the Minister of Finance or his authorized representative; (ii) in the case of Indonesia, the Minister of Finance or his authorized representative; (h) the term “national” means: (i) any inpidual possessing the nationality of a Contracting State; (ii) any legal person, partnership and association deriving its status as such from the laws in force in a Contracting State. As regards the application of the Agreement by a Contracting State any term not defined therein shall, unless the context otherwise requires, have the meaning which it has under the laws of that State concerning the taxes to which the Agreement applies. Article 4 FISCAL DOMICILE For the purposes of this Agreement, the term “resident of a Contracting State means any person who, under the law of that State, is liable to tax therein by reason of his domicile, residence, place of management or any other criterion of a similar nature. For the purposes of this Agreement an inpidual who is a member of a diplomatic or consular mission of one of the two States in the other State or in a third state and who is a national of the sending State shall be deemed to be a resident of the sending State if he is submitted therein to the same obligations in respect of taxes on income as are residents of that State. Where by reason of the provisions of paragraph 1 an inpidual is a resident of both Contracting States, then his status shall be determined as follows: (a) he shall be deemed to be a resident of the State in which he has a permanent home available to him; if he has a permanent home available to him in both States, he shall be deemed to be a resident of the State with which his personal and economic relations are closer (centre of vital interests); (b) if the State in which he has his centre of vital interests cannot be determined, or if he has not a permanent home available to him in either State, he shall be deemed to be a resident of the State in which he has an habitual abode; (c) if he has an habitual abode in both States or in neither of them, the competent authorities of the Contracting States shall settle the question by mutual agreement. Where by reason of the provisions of paragraph 1, a person other than an inpidual is a resident of both Contracting States, then it shall be deemed to be a resident of the State in which its place of effective management is situated. If the competent authorities of the two States consider that a place of effective management is present in both States, they shall settle the question by mutual agreement. Article 5 PERMANENT ESTABLISHMENT For the purposes of this Agreement, the term “permanent establishment” means a fixed place of business through which the business of an enterprise of a Contracting State is wholly or partly carried on in the other Contracting State. The term “permanent establishment” shall include especially: a place of management; a