fice
the Attorney General Táirgthe ag Oifig an Ard-Aighne Home Legislation Acts
the Oireachtas Statutory Instruments Pre-1922 Legislation Constitution External Resources Bills (Houses
the Oireachtas) Iris Oifigiúil /
ficial Gazette Revised Acts (LRC) Classified List
Legislation (LRC) Translations (acts.ie) Translations (Houses
the Oireachtas) Government Publications for Sale EU Law (EUR-Lex) FAQ Disclaimer Feedback Helpdesk Search Baile Reachtaíocht Achtanna an Oireachtais Ionstraimí Reachtúla Reachtaíocht Réamh-1922 Bunreacht Acmhainní Seachtracha Billí (Tithe an Oireachtais) Iris Oifigiúil Achtanna Athbhreithnithe (CAD) (An Coimisiún um Athchóiriú an Dlí) Liosta Rangaithe Reachtaíochta Aistriúcháin (achtanna.
1987. DOUBLE TAXATION RELIEF (TAXES ON INCOME AND CAPITAL GAINS) (SWEDEN) ORDER, 1987 WHEREAS it is enacted by section 361
the Income Tax Act, 1967 (No. 6
1967), as amended by section 86
the Finance Act, 1974 (No. 27
1974), section 38
the Capital Gains Tax Act, 1975 (No. 20
1975), section 166
the Corporation Tax Act, 1976 (No. 7
1976), and section 47
the Finance Act, 1983 (No. 15
1983), that if the Government by order declare that arrangements specified in the order have been made with the government
any territory outside the State in relation to affording relief from double taxation in respect
income tax, corporation tax or capital gains tax and any taxes
a similar character, imposed by the laws
the State or by the laws
that territory, and that it is expedient that those arrangements should have the force
law, the arrangements shall, notwithstanding anything in any enactment other than section 47
the Finance Act, 1983 , have the force
law: AND WHEREAS it is further enacted by section 361
that Act that where such an order is proposed to be made, a draft thereof shall be laid before Dáil Éireann and the order shall not be made until a resolution approving
the draft has been passed by Dáil Éireann: AND WHEREAS a draft
this Order has been laid before Dáil Éireann and a resolution approving
the draft has been passed by Dáil Éireann: NOW, the Government, in exercise
the powers conferred on them by section 361
the Income Tax Act, 1967 (No. 6
1967), as amended by section 38
the Capital Gains Tax Act, 1975 (No. 20
1975), section 166
the Corporation Tax Act, 1976 (No. 7
1976), and section 47
the Finance Act, 1983 (No. 15
1983), hereby order as follows:
Sweden in relation to affording relief from double taxation in respect
income tax, corporation tax or capital gains tax and any taxes
a similar character, imposed by the laws
the State or by the laws
Sweden, and ( b ) that it is expedient that those arrangements should have the force
law. SCHEDULE CONVENTION BETWEEN IRELAND AND SWEDEN FOR THE AVOIDANCE
DOUBLE TAXATION AND THE PREVENTION
FISCAL EVASION WITH RESPECT TO TAXES ON INCOME AND CAPITAL GAINS The Government
Ireland and the Government
Sweden, desiring to conclude a Convention for the avoidance
double taxation and the prevention
fiscal evasion with respect to taxes on income and capital gains, Have agreed as follows: ARTICLE 1 Personal Scope This Convention shall apply to persons who are residents
one or both
the Countracting States. ARTICLE 2 Taxes Covered
this Convention are: ( a ) in Ireland: (
companies (ersättningsskatten); (iii) the tax on distribution in connection with reduction
share capital or the winding-up
a company (utskiftningsskatten); (iv) the tax on public entertainers (bevillningsavgiften för vissa
fentliga föreställningar); (
signature
the Convention in addition to, or in place
, the existing taxes. The competent authorities
the Contracting States shall notify each other
any substantial changes which have been made in their respective taxation laws. ARTICLE 3 General Definitions
this Convention, unless the context otherwise requires: ( a ) the term "Ireland" includes any area outside the territorial waters
Ireland which in accordance with international law has been or may hereafter be designated, under the laws
Ireland concerning the Continental Shelf, as an area within which the rights
Ireland with respect to the sea bed and subsoil and their natural resources may be exercised: ( b ) the term "Sweden" means the Kingdom
Sweden and, when used in a geographical sense, includes the national territory, the territorial sea as well as other maritime areas over which Sweden, in accordance with international law, exercises sovereign rights or jurisdiction; ( c ) the term "nationals" means: (i) in relation to Ireland, all citizens
Ireland and all legal persons, partnerships and associations deriving their status as such from the law in force in Ireland; (ii) in relation to Sweden, all Swedish subjects and all legal persons, partnerships and associations deriving their status as such from the law in force in Sweden; ( d ) the term "tax" means Irish tax or Swedish tax, as the context requires; ( e ) the terms "a Contracting State" and "the other Contracting State" mean Ireland or Sweden, as the context requires; ( f ) the term "person" includes an individual, a company and any other body
persons; ( g ) the term "company" means any body corporate or any entity which is treated as a body corporate for tax purposes; ( h ) the terms "enterprise
a Contracting State" and "enterprise
the other Contracting State" mean respectively an enterprise carried on by a resident
a Contracting State and an enterprise carried on by a resident
the other Contracting State; (i) the term "international traffic" with reference to a resident
a Contracting State means any voyage
a ship or aircraft to transport passengers or property (whether or not operated or used by that resident) except where the principal purpose
the voyage is to transport passengers or property between places within the other Contracting State; ( j ) the term "competent authority" means: (i) in the case
Ireland, the Revenue Commissioners or their authorised representative; (ii) in the case
Sweden, the Minister
Finance, his authorised representative or the authority which is designated as a competent authority for the purposes
this Convention.
the Convention by a Contracting State any term not defined therein shall, unless the context otherwise requires, have the meaning which it has under the law
that State concerning the taxes to which the Convention applies. ARTICLE 4 Residence
this Convention, the term "resident
a Contracting State" means, subject to the provisions
paragraphs
this Article, any person who, under the laws
that State, is liable to tax therein by reason
his domicile, residence, place
management or any other criterion
a similar nature. But this term does not include any person who is liable to tax in that State in respect only
income from sources in that State. The terms "resident
Ireland" and "resident
Sweden" shall be construed accordingly.
the provisions
paragraph
this Article an individual is a resident
both Contracting States, then his status shall be determined as follows: ( a ) he shall be deemed to be a resident
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
the State with which his personal and economic relations are closer (centre
vital interests); ( b ) if the State in which he has his centre
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
the State in which he has an habitual abode; ( c ) if he has an habitual abode in both States or in neither
them, he shall be deemed to be a resident
the State
which he is a national; ( d ) if he is a national
both States or
neither
them the competent authorities
the Contracting States shall settle the question by mutual agreement.
the provisions
paragraph
this Article a person other than an individual is a resident
both Contracting States, then it shall be deemed to be a resident
the State in which its place
effective management is situated. ARTICLE 5 Permanent Establishment
this Convention, the term "permanent establishment" means a fixed place
business through which the business
an enterprise is wholly or partly carried on.
management; ( b ) a branch; ( c ) an
fice; ( d ) a factory; ( e ) a workshop; ( f ) a mine, an oil or gas well, a quarry or other place
extraction
natural resources; ( g ) an installation or structure used for the exploration or exploitation
natural resources.
this Article the term "permanent establishment" shall be deemed not to include: ( a ) the use
facilities solely for the purpose
storage, display or delivery
goods or merchandise belonging to the enterprise; ( b ) the maintenance
a stock
goods or merchandise belonging to the enterprise solely for the purpose
storage, display or delivery; ( c ) the maintenance
a stock
goods or merchandise belonging to the enterprise solely for the purpose
processing by another enterprise; ( d ) the maintenance
a fixed place
business solely for the purpose
purchasing goods or merchandise, or
collecting information, for the enterprise; ( e ) the maintenance
a fixed place
business solely for the purpose
carrying on, for the enterprise, any other activity
a preparatory or auxiliary character; ( f ) the maintenance
a fixed place
business solely for any combination
activities mentioned in subparagraphs (
the fixed place
business resulting from this combination is
a preparatory or auxiliary character.
paragraphs
this Article where a person — other than an agent
independent status to whom paragraph
this Article applies—is acting on behalf
an enterprise and has, and habitually exercises, in a Contracting State an authority to conclude contracts in the name
the enterprise, that enterprise shall be deemed to have a permanent establishment in that State in respect
any activities which that person undertakes for the enterprise, unless the activities
such person are limited to those mentioned in paragraph
this Article which, if exercised through a fixed place
business, would not make this fixed place
business a permanent establishment under the provisions
that paragraph.
a Contracting State shall not be deemed to have a permanent establishment in the other Contracting State merely because it carries on business in that other State through a broker, general commission agent or any other agent
an independent status, provided that such persons are acting in the ordinary course
their business.
a Contracting State controls or is controlled by a company which is a resident
the other Contracting State, or which carries on business in that other State (whether through a permanent establishment or otherwise) shall not
itself constitute either company a permanent establishment
the other. ARTICLE 6 Limitation
Relief Where under any provision
this Convention income is relieved from tax in a Contracting State and, under the law in force in the other Contracting State, an individual, in respect
the said income, is subject to tax by reference to the amount thereof which is remitted to or received in that other State, and not by reference to the full amount thereof, then the relief to be allowed under this Convention in the first-mentioned State shall apply only to so much
the income as is remitted to or received in that other State. ARTICLE 7 Income from Immovable Property
a Contracting State from immovable property (including income from agriculture or forestry) situated in the other Contracting State may be taxed in the other State.
the Contracting State in which the property in question is situated. The term shall in any case include property accessory to immovable property, livestock and equipment used in agriculture and forestry, rights to which the provisions
general law respecting landed property apply, usufruct
immovable property and rights to variable or fixed payments as considered for the working
, or the right to work, mineral deposits, sources and other natural resources; ships, boats and aircraft shall not be regarded as immovable property.
paragraph
this Article shall apply to income derived from the direct use, letting, or use in any other form
immovable property.
land, any other interest in or over land and any right referred to in paragraph
this Article shall be regarded as situated where the land, mineral deposits, oil or gas wells, quarries or natural resources, as the case may be, are situated.
paragraphs
this Article shall also apply to the income from immovable property
an enterprise and to income from immovable property used for the performance
independent personal services. ARTICLE 8 Business Profits
an enterprise
a Contracting State shall be taxable only in that State unless the enterprise carries on business in the other Contracting State through a permanent establishment situated therein. If the enterprise carries on business as aforesaid, the profits
the enterprise may be taxed in the other State but only so much
them as is attributable to that permanent establishment.
paragraph
this Article, where an enterprise
a Contracting State carries on business in the other Contracting State through a permanent establishment situated therein, there shall in each Contracting State be attributed to that permanent establishment the profits which it might be expected to make if it were a distinct and separate enterprise engaged in the same or similar activities under the same or similar conditions and dealing wholly independently with the enterprise
which it is a permanent establishment.
the profits
a permanent establishment, there shall be allowed as deductions expenses which are incurred for the purposes
the permanent establishment including executive and general administrative expenses so incurred, whether in the State in which the permanent establishment is situated or elsewhere.
an apportionment
the total profits
the enterprise to its various parts, nothing in paragraph
this Article shall preclude that Contracting State from determining the profits to be taxed by such an apportionment as may be customary; the method
apportionment adopted shall, however, be such that the result shall be in accordance with the principles contained in this Article.
the mere purchase
that permanent establishment
goods or merchandise for the enterprise.
the preceding paragraphs
this Article, the profits to be attributed to the permanent establishment shall be determined by the same method year by year unless there is good and sufficient reason to the contrary.
this Convention, then the provisions
those Articles shall not be affected by the provisions
this Article. ARTICLE 9 Shipping and Air Transport
an enterprise
a Contracting State from the operation
ships or aircraft in international traffic shall be taxable only in that State.
this Article, profits derived from the operation
ships or aircraft in international traffic include profits derived from the rental on a bareboat basis
ships or aircraft, if such rental profits are incidental to other profits described in paragraph
this Article.
paragraphs
this Article shall apply, but only to such part
the profits as arise to AB Aerotransport (ABA), the Swedish partner
the Scandinavian Airlines System (SAS).
paragraphs
this Article shall also apply to profits from the participation in a pool, a joint business or an international operating agency. ARTICLE 10 Associated Enterprises
a Contracting State participates directly or indirectly in the management, control or capital
an enterprise
the other Contracting State, or ( b ) the same persons participate directly or indirectly in the management, control or capital
an enterprise
a Contracting State and an enterprise
the other Contracting State, and in either case conditions are made or imposed between the two enterprises in their commercial or financial relations which differ from those which would be made between independent enterprises, then any profits which would, but for those conditions, have accrued to one
the enterprises, but, by reason
those conditions, have not so accrued, may be included in the profits
that enterprise and taxed accordingly.
an enterprise
that State — and taxes accordingly — profits on which an enterprise
the other Contracting State has been charged to tax in that other State and the profits so included are profits which would have accrued to the enterprise
the first-mentioned State if the conditions made between the two enterprises had been those which would have been made between independent enterprises, then that other State shall make an appropriate adjustment to the amount
the tax charged therein on those profits. In determining such adjustment, due regard shall be had to the other provisions
this Convention and the competent authorities
the Contracting States shall if necessary consult each other. ARTICLE 11 Dividends
Ireland to a resident
Sweden may be taxed in Sweden. ( b ) Where a resident
Sweden is entitled to a tax credit in respect
a dividend under paragraph
this Article tax may also be charged in Ireland and according to the laws
Ireland on the aggregate
the amount or value
that dividend and the amount
that tax credit at a rate not exceeding 15 per cent. ( c ) Except as provided in subparagraph (b)
this paragraph dividends paid by a company which is a resident
Ireland and which are beneficially owned by a resident
Sweden shall be exempt from any tax in Ireland which is chargeable on dividends.
Sweden who receives dividends from a company which is a resident
Ireland shall, subject to the provisions
paragraph
this Article and provided he is the beneficial owner
the dividends, be entitled to the tax credit in respect thereof to which an individual resident in Ireland would have been entitled had he received those dividends, and to the payment
any excess
that tax credit over any tax chargeable in Ireland in accordance with the provisions
paragraph
this Article on those dividends.
this Article shall not apply where the beneficial owner
the dividend is, or is associated with, a company which either alone or together with one or more associated companies controls directly or indirectly at least 10 per cent
the voting power in the company paying the dividend. For the purposes
this paragraph two companies shall be deemed to be associated if one is controlled directly or indirectly by the other, or both are controlled directly or indirectly by a third company.
Sweden to a resident
Ireland may be taxed in Ireland. Such dividends may also be taxed in Sweden, according to the laws
Sweden, but if the resident
Ireland is the beneficial owner
the dividends, the tax so charged shall not exceed: ( a ) 5 per cent
the gross amount
the dividends if the beneficial owner is a company which holds directly at least 10 per cent
the voting power
the company paying the dividends: ( b ) 15 per cent
the gross amount
the dividends in all other cases. The competent authorities
the Contracting States shall by mutual agreement settle the mode
application
these limitations.
this Article shall not affect the taxation
the company in respect
the profits out
which the dividends are paid.
the State
which the company making the distribution is a resident.
Ireland and the beneficial owner
the dividend, being a resident
Sweden, owns 10 per cent or more
the class
shares in respect
which the dividend is paid, paragraphs
this Article shall not apply to the dividend to the extent that it can have been paid only out
profits which the company paying the dividend earned or other income which it received in a period ending 12 months or more before the relevant date. For the purposes
this paragraph the term "relevant date" means the date on which the beneficial owner
the dividend became the owner
10 per cent or more
the class
shares in question. Provided that this paragraph shall not apply if the shares were acquired for bona fide commercial reasons and not primarily for the purpose
securing the benefit
this Article.
paragraphs
this Article shall not apply if the beneficial owner
the dividends, being a resident
a Contracting State, carries on business in the other Contracting State
which the company paying the dividend is a resident, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein and the holding in respect
which the dividends are paid is effectively connected with such permanent establishment or fixed base. In such case, the provisions
a Contracting State derives profits or income from the other Contracting State, that other State may not impose any tax on the dividends paid by the company, except insofar as such dividends are paid to a resident
that other State or insofar as the holding in respect
which the dividends are paid is effectively connected with a permanent establishment or a fixed base situated in that other State nor subject the company's undistributed profits to a tax on undistributed profits, even if the dividends paid or the undistributed profits consist wholly or partly
profits or income arising in such other State. ARTICLE 12 Interest
the other Contracting State shall be taxable only in that other State if such resident is the beneficial owner
the interest.
every kind, whether or not secured by mortgage, and whether or not carrying a right to participate in the debtor's profits, and in particular, income from government securities and income from bonds or debentures, including premiums and prizes attaching to such securities, bonds or debentures, but does not include any income dealt with in Article 11. Penalty charges for late payment shall not be regarded as interest for the purpose
this Article.
paragraph
this Article shall not apply if the beneficial owner
the interest, being a resident
a Contracting State, carries on business in the other Contracting State in which the interest arises through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the debt-claim in respect
which the interest is paid is effectively connected with such permanent establishment or fixed base. In such case the provisions
that State. Where, however, the person paying the interest, whether he is a resident
a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the indebtedness on which the interest is paid was incurred, and such interest is borne by such permanent establishment or fixed base, then such interest shall be deemed to arise in the State in which the permanent establishment or fixed base is situated.
a special relationship between the payer and the beneficial owner or between both
them and some other person, the amount
the interest paid, having regard to the debt-claim for which it is paid, exceeds the amount which would have been agreed upon by the payer and the beneficial owner in the absence
such relationship, the provisions
this Article shall apply only to the last-mentioned amount. In such case, the excess part
the payment shall remain taxable according to the laws
each Contracting State, due regard being had to the other provisions
this Convention.
paragraph
this Article shall not apply if the debt-claim in respect
which the interest is paid was created or assigned mainly for the purpose
taking advantage
this Article and not for bona fide commercial reasons. ARTICLE 13 Royalties
the other Contracting State shall be taxable only in that other State if such resident is the beneficial owner
the royalties.
any kind received as a consideration
the use
, or the right to use, any copyright
literary, artistic or scientific work including cinematograph films, recordings on tape, other media use for video or television broadcasting or other means
reproduction or transmission, any patent, trade mark, design or model, plan, secret formula or process, or for the use
, or the right to use, industrial, commercial, or scientific equipment, or for information concerning industrial, commercial or scientific experience.
paragraph
this Article shall not apply if the beneficial owner
the royalties, being a resident
a Contracting State, carries on business in the other Contracting State in which the royalties arise through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right
property in respect
which the royalties are paid is effectively connected with such permanent establishment or fixed base. In such case, the provisions
that State. Where, however, the person paying the royalties, whether he is a resident
a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the obligation to pay the royalties was incurred and the royalties are borne by that permanent establishment or fixed base, then the royalties shall be deemed to arise in the Contracting State in which the permanent establishment or fixed base is situated.
a special relationship between the payer and the beneficial owner or between both
them and some other person, the amount
the royalties paid, having regard to the use, right or information for which they are paid, exceeds the amount which would have been agreed upon by the payer and the beneficial owner in the absence
such relationship, the provisions
this Article shall apply only to the last-mentioned amount. In such case, the excess part
the payments shall remain taxable according to the laws
each Contracting State, due regard being had to the other provisions
this Convention.
paragraph
this Article shall not apply if the right or property giving rise to the royalties was created or assigned mainly for the purpose
taking advantage
this Article and not for bona fide commercial reasons. ARTICLE 14 Capital Gains
a Contracting State from the alienation
immovable property situated in the other Contracting State may be taxed in that other State.
— ( a ) shares deriving their value or the greater part
their value directly or indirectly from immovable property situated in a Contracting State, or ( b ) an interest in a partnership or trust the assets
which consist principally
immovable property situated in a Contracting State or
shares referred to in subparagraph (a) above, may be taxed in the Contracting State in which such immovable property is situated. In this paragraph the term "shares" does not include shares quoted or listed on a stock exchange.
movable property forming part
the business property
a permanent establishment which an enterprise
a Contracting State has in the other Contracting State or
movable property pertaining to a fixed base available to a resident
a Contracting State in the other Contracting State for the purpose
performing independent personal services including such gains from the alienation
such a permanent establishment (alone or with the whole enterprise) or
such fixed base, may be taxed in that other State. Provided that if such movable property consists
shares or
an interest in a partnership or trust the gains from which under paragraph
this Article may be taxed in the Contracting State
which the alienator is a resident, because the relevant immovable property is situated in that State, the said gains shall be taxable only in that State.
this Article and notwithstanding the provisions
paragraph
this Article, capital gains derived by a resident
a Contracting State from the alienation
ships or aircraft operated in international traffic or movable property pertaining to the operation
such ships or aircraft shall be taxable only in that State.
this Article, capital gains derived by a resident
a Contracting State from the alienation
rights to assets to be produced by the exploration or exploitation
the sea bed and subsoil and their natural resources situated in the other Contracting State, including rights to interests in or to the benefit
such assets, or from the alienation
shares deriving their value or the greater part
their value directly or indirectly from such rights, may be taxed in that other State.
any property other than those referred to in paragraphs
this Article shall be taxable only in the Contracting State
which the alienator is a resident. Provided that where under the law
that Contracting State an individual, in respect
such gains, is subject to tax thereon by reference only to the amount thereof which is remitted to or received in that State, the foregoing provisions
this paragraph shall not operate in relation to so much
such gains as is not remitted to or received in that State.
paragraph
this Article shall not affect the right
a Contracting State to levy, according to its law, a tax on capital gains from the alienation
any property derived by an individual who is a resident
the other Contracting State and has been a resident
the first-mentioned State at any time during the ten years immediately preceding the alienation
the property.
this Article the term "immovable property" means immovable property as defined in paragraph
a Contracting State in respect
professional services or other activities
an independent character shall be taxable only in that State unless he has a fixed base regularly available to him in the other Contracting State for the purpose
performing his activities. If he has such a fixed base, the income may be taxed in the other State but only so much
it as is attributable to that fixed base.
physicians, lawyers, engineers, architects, dentists and accountants. ARTICLE 16 Dependent Personal Services
Articles 17, 19 and 20, salaries, wages and other similar remuneration derived by a resident
a Contracting State in respect
an employment shall be taxable only in that State unless the unemployment is exercised in the other Contracting State. If the employment is so exercised, such remuneration as is derived therefrom may be taxed in that other State.
paragraph
this Article, remuneration derived by a resident
a Contracting State in respect
an employment exercised in the other Contracting State shall be taxable only in the first-mentioned State if: ( a ) the recipient is present in the other State for a period or periods not exceeding in the aggregate 183 days within any period
12 months, and ( b ) the remuneration is paid by, or on behalf
, an employer who is not a resident
the other State, and ( c ) the remuneration is not borne by a permanent establishment or a fixed base which the employer has in the other State.
this Article, remuneration derived in respect
an employment exercised abroad a ship or aircraft operated in international traffic by a resident
a Contracting State may be taxed in that State. Where a resident
Sweden derives remuneration in respect
employment exercised abroad an aircraft operated in international traffic by the Scandinavian Airlines System (SAS), such remuneration shall be taxable only in Sweden. ARTICLE 17 Company Directors
a Contracting State in his capacity as a member
the board
directors
a company which is a resident
the other Contracting State may be taxed in that other State.
a director
a company derived from the company in respect
the discharge
functions
an executive, managerial or technical nature the provisions
shall apply as if the remuneration were remuneration
an employee in respect
an employment and as if references to "employer" were references to the company. ARTICLE 18 Entertainers and Sportsmen
Articles 15 and 16, income derived by a resident
a Contracting State as an entertainer, such as a theatre, motion picture, radio or television artiste, snooker player, card player or musician, or as a sportsman such as an athlete, footballer, golfer or boxer, from his personal activities as such exercised in the other Contracting State whether individually or as a member
a group, may be taxed in that other State.
personal activities exercised by an entertainer or a sportsman in his capacity as such accrues not to the entertainer or sportsman himself but to another person, that income may, notwithstanding the provisions
Articles 8, 15 and 16, be taxed in the Contracting State in which the activities
the entertainer or sportsman are exercised. ARTICLE 19 Pensions and Annuities
paragraph
, pensions and other similar remuneration paid in consideration
past employment in a Contracting State, payments under the social security legislation
a Contracting State and any annuity derived from sources within a Contracting State may be taxed in that State.
time under an obligation to make the payments in return for adequate and full consideration in money or money's worth. ARTICLE 20 Government Service
services rendered to that State or subdivision or authority shall be taxable only in that State. ( b ) However, such remuneration shall be taxable only in the other Contracting State if the services are rendered in that State and the individual is a resident
that State who: (i) is a national
that State; or (ii) did not become a resident
that State solely for the purposes
rendering the services.
funds created by, a Contracting State or a political subdivision or a local authority thereof to an individual in respect
services rendered to that State or subdivision or authority shall be taxable only in that State. ( b ) However, such pension shall be taxable only in the other Contracting State if the individual is a resident
and a national
that State.
Articles 16, 17 and 19 shall apply to remuneration or pensions in respect
services rendered in connection with a business carried on by a Contracting State or a political subdivision or a local authority thereof. ARTICLE 21 Students Payments which a student or business apprentice who is or was immediately before visiting a Contracting State a resident
the other Contracting State and who is present in the first-mentioned State solely for the purpose
his education or training receives for the purpose
his maintenance, education or training shall not be taxed in that State, provided that such payments arise from sources outside that State. ARTICLE 22 Other Income
income
a resident
a Contracting State, wherever arising, other than income paid out
trusts, which are not dealt with in the foregoing Articles
this Convention shall be taxable only in that State.
paragraph
this Article shall not apply to income, other than income from immovable property as defined in paragraph
, if the beneficial owner
the income, being a resident
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
which the income is paid is effectively connected with such permanent establishment or fixed base. In such case the provisions
ARTICLE 23 Miscellaneous Rules Applicable to Certain
fshore Activities
this Article shall apply notwithstanding any other provision
this Convention where activities (in this Article called "relevant activities") are carried on
fshore in connection with the exploration or exploitation
the sea bed and subsoil and their natural resources situated in a Contracting State.
a Contracting State which carries on relevant activities in the other Contracting State shall, subject to paragraph
this Article, be deemed to be carrying on business in that other State through a permanent establishment situated therein.
a Contracting State in the other Contracting State for a period or periods not exceeding in the aggregate 30 days within any period
12 months shall not constitute the carrying on
business through a permanent establishment situated therein. For the purposes
this paragraph: ( a ) Where an enterprise
a Contracting State carrying on relevant activities in the other Contracting State is associated with another enterprise carrying on substantially similar relevant activities there, the former enterprise shall be deemed to be carrying on all such activities
the latter enterprise, except to the extent that those activities are carried on at the same time as its own activities; ( b ) an enterprise shall be regarded as associated with another enterprise if one participates directly or indirectly in the management, control or capital
the other or if the same persons participate directly or indirectly in the management, control or capital
both enterprises.
a Contracting State who carries on relevant activities in the other Contracting State, which consists
professional services or other activities
an independent character, shall be deemed to be performing those activities from a fixed base in that other State. However, income derived by a resident
a Contracting State in respect
such activities performed in the other Contracting State shall not be taxable in that other State if the activities are performed in that other State for a period or periods not exceeding in the aggregate 30 days within any period
12 months.
a Contracting State in respect
an employment connected with relevant activities in the other Contracting State may, to the extent that the duties are performed
fshore in that other State, be taxed in that other State. ARTICLE 24 Elimination
Double Taxation
the law
Ireland regarding the allowance as a credit against Irish tax
tax payable in a territory outside Ireland (which shall not affect the general principle hereof)— ( a ) Swedish tax payable under the laws
Sweden and in accordance with this Convention, whether directly or by deduction, on profits income or chargeable gains from sources within Sweden (excluding in the case
a dividend tax payable in respect
the profits out
which the dividend is paid) shall be allowed as a credit against any Irish tax computed by reference to the same profits, income or chargeable gains by reference to which the Swedish tax is computed. ( b ) In the case
a dividend paid by a company which is a resident
Sweden to a company which is a resident
Ireland and which controls directly or indirectly 10 per cent or more
the voting power in the company paying the dividend, the credit shall take into account (in addition to any Swedish tax creditable under the provisions
subparagraph (a)
this paragraph) the Swedish tax payable by the company in respect
the profits out
which such dividend is paid.
Sweden derives income or chargeable gains which under the laws
Ireland and in accordance with the provisions
this Convention may be taxed in Ireland, Sweden shall allow, subject to the provisions
the law
Sweden (as it may be amended from time to time without changing the general principle hereof), as a deduction from the tax on such income or chargeable gains, an amount equal to the Irish tax paid in respect
such income or chargeable gains.
paragraph
this Article, where a resident
Sweden derived income which, in accordance with the provisions
, may be taxed in Ireland, Sweden shall exempt such income from tax, provided that the principal part
the income
the permanent establishment or fixed base arises from business activities, other than the management
securities and other similar property, and such activities are carried on within Ireland through the permanent establishment or fixed base.
paragraph
this Article, dividends paid by a company which is a resident
Ireland to a company which is a resident
Sweden shall be exempt from Swedish tax to the extent that the dividends would have been exempt from Swedish tax if both companies had been Swedish companies.
Sweden derives income which shall be taxable only in Ireland in accordance with the provisions
paragraph
this Article, Sweden shall exempt such income from tax but may, in calculating tax on the remaining income or capital gains
that person, apply the rate
tax which would have been applicable if the exempted income had not been so exempted.
Ireland derives income which in accordance with the provisions
paragraph
shall be taxable only in Sweden Ireland may include the income in the tax base but shall allow as a deduction from the tax chargeable that part
the tax which is appropriate to that income.
the preceding paragraphs
this Article, profits, income and capital gains owned by a resident
a Contracting State which may be taxed in the other Contracting State in accordance with this Convention shall be deemed to arise from sources in that other Contracting State.
Ireland to a person who is a resident
Sweden, not being a company which is exempt from Swedish tax according to the provisions
paragraph
this Article, the Swedish tax shall be charged on the aggregate
the amount or value
the dividends and the amount
the tax credit in respect
it to which the resident
Sweden is entitled under paragraph
and the amount
the Irish tax charged on that aggregate under paragraph
the said Article 11 shall be allowed as a deduction in accordance with paragraph
this Article from the Swedish tax payable in respect
that income. ( b ) Where under Part IV, V or VI
the Corporation Tax Act, 1976 or Chapter VI
the Finance Act, 1980 (as any
these provisions may be amended from time to time without changing the general principle thereof), the profits
a company were relieved from Irish tax or were not taken into account for the purposes
Irish tax and the recipient
a dividend out
those profits if he were a resident
Ireland would not be entitled to a tax credit, or would be entitled to a reduced tax credit, in respect
the dividend, the amount to be allowed as a deduction under subparagraph (a)
this paragraph shall be the amount representing the difference between— (i) the amount determined by applying to the aggregate brought into charge to Swedish tax the rate by reference to which the amount
the tax credit in respect
dividends is determined under section 88
the Corporation Tax Act, 1976 (as it may be amended from time to time without changing the genera] principle thereof), for the year
assessment in which the dividend is paid, and (ii) the amount
any excess payable under paragraph
. ( c ) Subparagraph (b)
this paragraph shall not have effect in relation to dividends paid out
profits arising after 31 December, 2000. ARTICLE 25 Personal Allowances for Non-Residents
Sweden shall be entitled to the same personal allowances, reliefs and reductions for the purposes
Irish tax as citizens
Ireland who are not resident in Ireland.
Ireland shall be entitled to the same personal allowances, reliefs and reductions for the purposes
Swedish tax as Swedish nationals who are not resident in Sweden. ARTICLE 26 Non-Discrimination
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
that other State in the same circumstances are or may be subjected.
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
that other State carrying on the same activities.
the other Contracting State any personal allowances, relief's or reductions for tax purposes which it grants to its own residents nor as conferring any exemption from tax in a Contracting State in respect
dividends or other similar payments paid to a company which is a resident
the other Contracting State.
paragraph
, apply, interest, royalties and other disbursements paid by an enterprise
a Contracting State to a resident
the other Contracting State shall, for the purpose
determining the taxable profits
such enterprise, be deductible under the same conditions as if they had been paid to a resident
the first-mentioned State.
a Contracting State, the capital
which is wholly or partly owned or controlled, directly or indirectly, by one or more residents
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
the first-mentioned State are or may be subjected. ARTICLE 27 Mutual Agreement Procedure
one or both
the Contracting States result or will result for him in taxation not in accordance with the provisions
this Convention, he may, irrespective
the remedies provided by the domestic law
those States, present his case to the competent authority
the Contracting State
which he is a resident or, if his case comes under paragraph
to that
the Contracting State
which he is a national. The case must be presented within three years from the first notification
the action resulting in taxation not in accordance with the provisions
the Convention.
the other Contracting State, with a view to the avoidance
taxation not in accordance with the Convention.
the Contracting State shall endeavour to resolve by mutual agreement any difficulties or doubts arising as to the interpretation or application
the Convention. They may also consult together for elimination
double taxation in cases not provided for in the Convention.
the Contracting States may communicate with each other directly for the purpose
reaching an agreement in the sense
the preceding paragraphs. ARTICLE 28 Exchange
Information
the Contracting States shall exchange such information as is necessary for carrying out the provisions
this Convention or
the domestic laws
the Contracting States concerning taxes covered by the Convention insofar as the taxation thereunder is not contrary to the Convention. Any information received by a Contracting State shall be treated as secret in the same manner as information obtained under the domestic laws
that State and shall be disclosed only to persons or authorities (including courts and administrative bodies) involved in the assessment or collection
, the enforcement or prosecution in respect
, or the determination
appeals in relation to, the taxes covered by the Convention. Such persons or authorities shall use the information only for such purposes. They may disclose the information in court proceedings or in judicial decisions.
paragraph
this Article be construed so as to impose on a Contracting State the obligation: ( a ) to carry out administrative measures at variance with the laws and administrative practice
that or
the other Contracting State; ( b ) to supply information which is not obtainable under the laws or in the normal course
the administration
that or
the other Contracting State; ( c ) to supply information which would disclose any trade, business, industrial, commercial or professional secret or trade process, or information, the disclosure
which would be contrary to public policy (order public). ARTICLE 29 Diplomatic Agents and Consular
ficers Nothing in this Convention shall affect the fiscal privileges
diplomatic agents or consular
ficers under the general rules
international law or under provisions
special agreements. ARTICLE 30 Entry into Force
ratification shall be exchanged at Dublin as soon as possible.
instruments
ratification and its provisions shall have effect: ( a ) In Ireland: (i) as respects income tax and capital gains tax for any year
assessment beginning on or after 6 April in the year immediately following that in which such exchange takes place; and (ii) as respects corporation tax, for any financial year beginning on or after 1 January in the year immediately following that in which such exchange takes place; ( b ) in Sweden: as respects income or capital gains derived on or after 1 January in the year immediately following that in which such exchange takes place.
Ireland and the Royal Government
Sweden for the avoidance
double taxation with respect to taxes on income and capital, signed at Dublin on 6 November, 1959, shall cease to have effect from the dates on which this Convention becomes effective in accordance with paragraph
this Article. With regard to the Swedish capital tax, the Agreement shall be applied for the last time as respects capital owned at the expiration
the year in which this Convention enters into force. ARTICLE 31 Termination This Convention shall remain in force until terminated by a Contracting State. Either Contracting State may terminate the Convention by giving notice
termination, through diplomatic channels, at least six months before the end
any year following after five years from the date on which the Convention enters into force. In such event, this Convention shall cease to have effect: ( a ) in Ireland: (i) as respects income tax and capital gains tax, for any year
assessment beginning on or after 6 April in the year immediately following that in which such notice is given; and (ii) as respects corporation tax, for any financial year beginning on or after 1 January in the year immediately following that in which such notice is given; ( b ) in Sweden: as respects income or capital gains derived on or after 1 January in the year immediately following that in which such notice is given. IN WITNESS WHEREOF the undersigned, being duly authorised thereto by their respective Governments, have signed this Convention. DONE at Stockholm, this 8th day
October, 1986, in duplicate in the English language. Gearoid O'Broin For the Government
Ireland: Sten Andersson For the Government
Sweden: GIVEN under the
ficial Seal
the Government, this 18th day
December, 1987. CHARLES J. HAUGHEY, Taoiseach. EXPLANATORY NOTE. This Order gives the force
law to the Convention with the Kingdom
Sweden which is set out in the Schedule. The Convention replaces the Agreement made in 1959 and its effect is summarised below. The Convention allocates the right, though not necessarily the exclusive right, to tax certain income to the country
source while the country
residence is given the sole right to tax other classes
income. Government and local authority salaries and pensions will normally be taxed by the paying Government only i.e. in the country
source. Such income as interest, royalties, trading profits not arising through a permanent establishment, profits from professional activities not arising through a fixed base, profits from the operation by an enterprise
ships or aircraft in international traffic and earnings from temporary business visitors will be taxed in the country
residence. Double taxation may also be avoided where the domestic law
one
the countries frees income from its tax. Where both countries continue to have taxing rights the Convention secures that relief from double taxation is to be given by the country
residence
the taxpayer for the tax payable in the source country. The Convention provides that where a company which is a resident
Ireland pays a dividend to a resident
Sweden ( other than a company which controls, directly or indirectly, 10 per cent or more
the voting power in the paying company) the recipient is, subject to certain conditions, to receive the tax credit to which an individual resident in Ireland would have been entitled had he received that dividend. Income tax at a rate not exceeding 15 per cent on the aggregate
the dividend and the tax credit may be charged in Ireland. In the case
dividends paid by a company which is a resident
Sweden to a resident
Ireland the Convention provides for a withholding tax
5 per cent where the Irish company controls, directly or indirectly, 10 per cent or more
the voting power in the paying company and 15 per cent in all other cases. Capital gains arising from the disposal
immovable property and
shares linked with immovable property may be taxed by the country in which the property is situated. Capital gains arising from the disposal
other property are normally to be taxed only in the country
residence
the taxpayer unless they arise from the disposal
assets
a permanent establishment or fixed base which the taxpayer has in the other country. Under the terms
the Convention Sweden will: (i) exempt the profits
a permanent establishment
a Swedish company operating in Ireland from Swedish tax; and (ii) grant a measure
"matching credit" (i.e. credit for tax foregone in Ireland) in relation to a dividend paid by an Irish resident company to a portfolio investor resident in Sweden out
profits which are relieved from Irish tax under the incentive relief provisions
Irish legislation. Moreover, Swedish domestic law provides that where dividends are paid by a domestic subsidiary company to its Swedish parent company which controls, directly or indirectly, at least 25 per cent
the voting power
the subsidiary company those dividends will be exempt from Swedish tax. By virtue
a provision in the Convention the tax position
an Irish subsidiary company is equated with that
a Swedish subsidiary company when paying dividends to its Swedish parent. Thus the benefit
Ireland's tax incentive reliefs are preserved where: (i) profits are attributed to an Irish permanent establishment
a Swedish company, (ii) dividends are paid by an Irish resident company out
incentive-relieved profits to Swedish portfolio investors, and (iii) dividends are paid by a qualifying subsidiary Irish company to its Swedish parent. Under the terms
the Convention each country is to treat residents
the other country, in the matter
personal allowances and reliefs for tax purposes, in the same way as it treats its own non-resident citizens or subjects. Provision is also made for the regulation in an international context
the taxation rights in respect
profits, income or capital gains derived from
fshore exploration or exploitation activities in both countries, for safeguarding nationals and enterprises
one country against discriminatory taxation in the other country, for consultation between the taxing authorities
the two countries for the purpose
resolving any difficulties or doubts arising as to the interpretation or application
the Convention and for the exchange
such information between those authorities as is necessary for the carrying out
the Convention. The Convention will be effective in Ireland as follows: (i) as respects income tax and capital gains tax for any year
assessment beginning on or after 6 April in the year immediately following that in which the exchange
instruments
ratification takes place; and (ii) as respects corporation tax, for any financial year beginning on or after 1 January in the year immediately following that in which such exchange takes place. Privacy Statement Accessibility European Legislation Identifier (PDF) Open Data License Ráiteas Príobháideachais Inrochtaineacht Aitheantóir Eorpach Reachtaíochta (ELI) Ceadúnas Sonraí Oscailte Liosta Fianán © Government
Ireland. Oireachtas Copyright Material is reproduced with the permission
the Houses
the Oireachtas © Rialtas na hÉireann. Atáirgtear ábhar faoi Chóipcheart le cead ó Thithe an Oireachtais
AI explanation based on the official legal text. Indicative, not a substitute for legal advice.