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ARTICLE 21
PROFESSORS, TEACHERS AND RESEARCHERS

 

1.         An individual  who  is  a   resident   of   a  Contracting  State immediately before making a  visit  to  the other Contracting State and who, at the invitation of  any university,  college,  school  or other similar educational institution which is officially recognised in that  other Contracting  State,  visits that other Contracting  State for a period not exceeding two  years solely for the purpose of teaching or research or both at such educational institution shall be exempt from tax  in that other Contracting State on any remuneration for such  teaching or research.

 

2.         This  Article shall only apply to  income  from research if such research is undertaken by the individual for the public interest and not primarily for the benefit  of some other private person or persons.

 

 

ARTICLE 22
INCOME NOT EXPRESSLY MENTIONED

1.         Items of income of a resident of a Contracting  State, not dealt with in the foregoing Articles  of this  Convention  shall be taxable only in that State,

 

2.         The provisions of paragraph 1 shall not apply to  income,  other  than income from  immovable  property  as  defined in paragraph 2 of Article 6, if the recipient  of  such  income,  being a resident of a  Contracting  State,  carries  on  business  in  the  other  Contracting  State  through  a permanent establishment situated  therein,  or performs in that other State independent personal services  from  a  fixed base situated therein, and  the  right  or property  in  respect  of which the  income  is  paid  is effectively  connected with such permanent  establishment or fixed base.  In such case the provisions of Article  7  or Article 14, as the case may be, shall apply.

 

3.         Notwithstanding the provisions of paragraphs  1  and 2, items of income of a resident of Contracting State  not  dealt  with  in  the  foregoing  Articles  of   this Convention and arising in the other Contracting State may also be taxed in that other State.

 

 

ARTICLE 23
ELIMINATION OF DOUBLE TAXATION

1.         The  laws  in force in either of the  Contracting States shall continue to govern the taxation of income in the respective Contracting States except  when an express provision  to  the contrary is made in  this  Convention.  When income is subject to tax in both Contracting States,  relief from double taxation shall be given in  accordance  with the following paragraphs of this Article.

 

2.         In Spain, double taxation will be avoided, in the  following manner:     

            (a)        Where  a  resident of  Spain  derives  income which,  in

                         accordance with the provisions  of  this Convention, may be

                         taxed  in Thailand,  Spain shall allow as a deduction from the

                         tax  on  the  income of that resident,  an  amount  equal to the

                         income tax paid in Thailand.  Such  deduction  shall not,

                         however,  exceed  that  part of the income tax, as computed

                         before the  deduction  is given, which is attributable, to the

                         income which  may be taxed in Thailand. 

            (b)        Where in accordance with any provision of the Convention 

                         income derived by a  resident  of  Spain is exempt from tax in

                         Spain, Spain  may nevertheless, in calculating the amount of

                         tax  on  the  remaining income of  such  resident,   take into

                         account the exempted income.

 

3.         In  the case of Thailand, where a  resident  of  Thailand  derives  income which, in accordance  with  the  provisions  of  this Convention may be  taxed  in  Spain,  Thailand shall allow as a deduction from Thai tax on  the  income  of that resident an amount equal to the tax  paid in Spain. Such deduction shall not, however, exceed  that part of the Thai tax, as computed before the deduction is given, which is appropriate to such items of income.

 

4.         For  the  purposes  of  subparagraph  (a)  of  paragraph 2, the term "income tax paid in Thailand" shall  be  deemed  to include any amount which would  have been  payable as Thai tax in accordance with the provisions  of  the  Convention  for  any  year  but for an exemption  or       reduction  of  tax  granted  with  a  view  to  promoting industrial, commercial, scientific, educational or  other development  in  Thailand,  for that  year  or  any  part  thereof under:

            (a)        Sections  31  and 35 (3) (but only  to  the  extent  that  the 

                          exemption  or  reduction allowed by those provisions would

                          not  have been available if those provisions had  not  been 

                          enacted), 33,34,35 (2) and 35 (4)  of  the  Investment

                          Promotion Act  B.E.2520  so far as they were in force on, and

                          have  not  been modified since, the date of  signature  of 

                          this Convention, or have been  modified only in minor

                          respects so as not to  affect their general character; or

            (b)        any other provision which may  subsequently  be made

                          granting an exemption or  reduction of  tax  which is agreed

                          by  the  competent  authorities of the Contracting State to  be

                          of a substantially similar character, if it  has  not  been

                          modified thereafter  or  has  been modified only in minor

                          respects so  as not to affect its general character.   The 

                          provisions  of this  paragraph  shall  only  apply for a period

                          of 10 years beginning on the first day of  January  of the

                          taxable year next following  that  in  which this Convention

                          enters into force.  This period may  be  extended  by mutual

                          agreement between  the  competent  authorities.

 

 

ARTICLE 24
NON-DISCRIMINATION

1.         Nationals  of  a  Contracting  State  shall not  be  subjected  in  the other  Contracting  State  to  any  taxation or any requirement connected therewith which  is  other or more burdensome than the taxation and  connected requirements  to which nationals of that other  State  in  the  same  circumstances, in particular with  respect  to  residence, are or may be subjected.

 

2.         The taxation on a permanent establishment which  an  enterprise  of a Contracting State has in  the  other Contracting State shall not be less favourably levied  in that other State than the taxation levied on  enterprises of that other State carrying on the same activities.

 

3.         Except  where  the  provisions  of  Article  9,  paragraph 7 of Article 11,  or  paragraph  6 of  Article  12,  apply,  interest,  royalties and other disbursements  paid  by an enterprise  of  a Contracting State to a resident  of the  other Contracting State shall, for the  purpose of determining  the taxable profits of such  enterprise,  be deductible under the same conditions as if they had  been paid to resident of the first-mentioned State.

 

4.         Enterprises of a Contracting State, the capital  of  which  is  wholly  or  partly  owned  or  controlled,  directly  or indirectly, by one or more residents of  the other  Contracting State, shall not be subjected  in  the first-mentioned State to any taxation or any  requirement  connected  therewith  which is other or  more  burdensome than  the  taxation and connected requirements  to  which other  similar enterprises of the  first-mentioned  State are or may be subjected.

 

5.         The  provisions  of this Article shall  not  be construed  as  obliging a Contracting State to  grant  to residents  of  the other Contracting State  any  personal  allowances, reliefs and reductions for taxation  purposes on  account  of civil status or  family  sponsibilities  which it grants to its own residents.

 

6.         In this Article the term "taxation"  means taxes of every kind and description.

 

 

ARTICLE 25
MUTUAL AGREEMENT PROCEDURE

1.         Where  a  resident  of  a  Contracting  State considers  that  the  actions  of  one  or  both  of  the Contracting  States  result  or will result  for  him  in taxation not in accordance with this Convention, he  may, irrespective  of  the remedies provided by  the  domestic laws  of those States, present his case to the  competent authority  of  the  Contracting State of which  he  is  a  resident.  The case must be presented within three  years  from  the first notification of the action  resulting  in taxation  not in accordance with the provisions  of  this Convention.

 

2.         The  competent  authority shall   endeavour,  if the objection appears to it to be justified and  if it is not itself able to arrive at a satisfactory  solution,  to  resolve  the  case  by  mutual  agreement,  with  the  competent authority of the other Contracting State with a  view  to  the  avoidance  of taxation  which  is  not  in  accordance with the Convention.

 

3.         The competent  authorities of  the  Contracting States shall endeavour to resolve by mutual agreement any difficulties  or doubts arising as to the  interpretation  or application of the Convention.  They  may  also  consult  to gether  for  the elimination  of  double  taxation  in   cases

not provided for in the Convention.

 

4.         The  competent authorities of  the  Contracting States  may communicate with each other directly  for the purposes  of  reaching an agreement in the sense  of  the preceding paragraphs.

 

 

Last updated: 08.12.2011