Selandia Baru (New Zealand)
AGREEMENT BETWEEN THE GOVERNMENT OF THE REPUBLIC OF INDONESIA AND THE GOVERNMENT OF NEW ZEALAND 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 The existing taxes to which the Agreement shall apply are : (a) in New Zealand : (i) the income tax; and (ii) the excess retention tax, (hereinafter referred to as “New Zealand tax”); (b) in Indonesia : the income tax (pajak-penghasilan), (hereinafter referred to as “Indonesian tax”). The Agreement shall apply also 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, the existing taxes. The competent authorities of the Contracting States shall notify each other of any significant changes, which have been made in their respective taxation laws. Article 3 GENERAL DEFINITIONS For the purposes of this Agreement, unless the context otherwise requires: (a) (i) the term “New Zealand” means the territory of New Zealand but does not include Tokelau or the Associated Self Governing State of the Cook Island and Niue; it also includes any area beyond the territorial sea which by New Zealand legislation and in accordance with international law has been or may hereafter be, designated as an area in which the rights of New Zealand with respect to natural resources may be exercised; (ii) the term “Indonesia” comprises the territory of the Republic of Indonesia as defined in its laws and the adjacent areas over which the Republic of Indonesia has sovereign rights or jurisdiction in accordance with the provisions of the United Nations Convention on the Law of the Sea, 1982; (b) the term “a Contracting State” and “the other Contracting State” mean New Zealand or Indonesia as the context requires; (c) the term “person” includes an inpidual, a company and any other body of persons; (d) tthe 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 and enterprise carried on by a resident of a Contracting State and an enterprise carried on by resident of the other Contracting State; (f) the term “national” means: (i) in respect of New Zealand, any inpidual possessing citizenship of New Zealand and any legal person, partnership or association deriving its status as such from the law in force in New Zealand; (ii) in respect of Indonesia, any inpidual possessing the nationality of Indonesia and any legal person, partnership or association deriving its status as such from the law in force in Indonesia; (g) 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; (h) the term “competent authority” means : (i) in the case of New Zealand, the Commissioner of Inland Revenue or his authorized representative; (ii) in the case of Indonesia, the Minister of Finance or his authorized representative. In the Agreement, the term “New Zealand tax” and “Indonesian tax” do not include any charge imposed as a penalty or interest under the law of either Contracting State relating to the taxes to which the Agreement applies. 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 RESIDENT For the purposes of this Agreement, the term “resident of a Contracting State” means any person who, under the law of that Contracting State, is liable to tax herein by reason of this domicile, residence, place of management or any other criterion of similar nature. Whereby reason of the provisions of paragraph 1 an inpidual is a resident of both Contracting States, then this 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 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 resident of the State in which he has an habitual abode; (c) if he has a habitual abode in both States or in neither of them, the competent authorities of the Contracting State shall endeavour to 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, the competent authorities of the Contracting State shall endeavour to settle the question by mutual agreement having regard to its day management, the place where it is incorporated or otherwise constituted and any other relevant factors. Article 5 PERMANENT ESTABLISHMENT For the purpose of this Agreement, the term “permanent establishment” means a fixed place of business through which the business of an enterprise is wholly or partly carried on. The term “permanent establishment” includes especially: (a) a place of management; (b) a branch; (c) an office; (d) a factory; (e) a workshop; (f) a mine, an oil or gas well, a quarry or any other place of extraction of natural resources. The term “permanent establishment” includes especially: (a) 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 six