(5)Where a company which is resident of 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 of that other State or insofar as the holding in respect of which the dividends DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA [ S.L.123.17 9 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 of profits or income arising in such other State.

(6)Nothing in this Agreement shall be construed as preventing a Contracting State from imposing on the earnings of a company attributable to a permanent establishment in that State, tax in addition to the tax which would be chargeable on the earnings of a company which is a national of that State, provided that any such additional tax so imposed shall not exceed 15 per cent of the amount of such earnings which have not been subjected to such additional tax in previous taxation years. For the purpose of this provision, the term "earnings" means the profits attributable to a permanent establishment in a Contracting State in a year and previous years after deducting therefrom all taxes, other than the additional tax referred to herein, imposed on such profits by that State. ARTICLE 11 Interest

(1)Interest arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State.

(2)However, such interest may also be taxed in the Contracting State in which it arises, and according to the laws of that State, but if the recipient is the beneficial owner of the interest the tax so charged shall not exceed 15 per cent of the gross amount of the interest.

(3)Notwithstanding the provisions of paragraph

(2)(

1. a)interest arising in a Contracting State and paid to the Government or the Central Bank of the other Contracting State shall be exempt from tax in the first-mentioned State; (
2. b)interest arising in Malta and paid to the Export Development Corporation shall be exempt from Malta tax; (
3. c)interest arising in Canada and paid to the Malta Development Corporation shall be exempt from Canadian tax.

(4)The term "interest" as used in this Article means income from debt-claims of 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, as well as income which is subjected to the same taxation treatment as income from money lent by the laws of the State in which the income arises. However, the term "interest" does not include income dealt with in Article 10.

(5)The provisions of paragraph

(2)shall not apply if the beneficial owner of the interest, being a resident of 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 of which the interest is paid is effectively connected with such permanent establishment or fixed base.

(6)Interest shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivision, a local authority or a resident of that State. Where, however, the person paying the interest, whether he is a resident of a 10 [ S.L.123.17 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA 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.

(7)Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the interest, 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 of such relationship, the provisions of this Article shall apply only to the last mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Agreement. ARTICLE 12 Royalties

(1)Royalties arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State.

(2)However, such royalties may also be taxed in the Contracting State in which they arise, and according to the laws of that State, but if the recipient is the beneficial owner of the royalties the tax so charged shall not exceed 10 per cent of the gross amount of the royalties.

(3)Notwithstanding the provisions of paragraph

(2), copyright royalties and other like payments in respect of the production or reproduction of any literary, educational, dramatic, musical or artistic work (but not including royalties in respect of motion picture films and works on film or videotape for use in connection with television) arising in a Contracting State and paid to a resident of the other Contracting State who is subject to tax thereon shall be taxable only in that other State.

(4)The term "royalties" as used in this Article means payments of any kind received as a consideration for the use of, or the right to use, any copyright, patent, trade mark, design or model, plan, secret formula or process, or for the use of, or the right to use, industrial, commercial or scientific equipment, or for information concerning industrial, commercial or scientific experience, and includes payments of any kind in respect of motion picture films and works on film or videotape for use in connection with television.

(5)The provisions of paragraph

(2)and

(3)shall not apply if the beneficial owner of the royalties, being a resident of 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 or property in respect of which the royalties are paid is effectively connected with such permanent establishment or fixed base.

(6)Royalties shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivision, a local authority or a resident of that State. Where, however, the person paying the royalties, whether he is a resident of 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 such royalties are borne by such permanent establishment or fixed base, then DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA [ S.L.123.17 11 such royalties shall be deemed to arise in the State in which the permanent establishment or fixed base is situated.

(7)Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the royalties, 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 of such relationship, the provisions of this Article shall apply only to the last-mentioned amount. In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Agreement. ARTICLE 13 Capital Gains

(1)Gains derived by a resident of a Contracting State from the alienation of immovable property situated in the other Contracting State may be taxed in that other State.

(2)Gains from the alienation of immovable property forming part of the business property of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State or of movable property pertaining to a fixed base available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal services, including such gains from the alienation of such a permanent establishment (alone or with the whole enterprise) or of such a fixed base, may be taxed in that other State.

(3)Gains from the alienation of ships or aircraft operated in international traffic and movable property pertaining to the operation of such ships or aircraft, shall be taxable only in the Contracting State in which such property is taxable according to paragraph

(3)of Article 22.

(4)Gains from the alienation of (

1. a)shares of the capital stock of a company the property of which consists principally of immovable property situated in a Contracting State, and (
2. b)an interest in a partnership, trust or estate, the property of which consists principally of immovable property situated in a Contracting State, may be taxed in that State. For the purposes of this paragraph, the term "immovable property" includes the shares of a company referred to in sub-paragraph (
3. a)or an interest in a partnership, trust or estate referred to in sub-paragraph (
4. b)but shall not include property, other than rental property, in which the business of the company, partnership, trust or estate is carried on.

(5)Gains from the alienation of any property, other than that referred to in paragraphs

(1),

(2),

(3)and

(4)shall be taxable only in the Contracting State of which the alienator is a resident.

(6)The provisions of paragraph

(5)shall not affect the right of either of the Contracting States to levy, according to its law, a tax on gains from the alienation of any property derived by an individual who is a resident of the other Contracting State and has been a resident of the first-mentioned State at any time during the six years immediately preceding the alienation of the property. 12 [ S.L.123.17 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA ARTICLE 14 Independent Personal Services

(1)Income derived by an individual who is a resident of a Contracting State from the performance of professional services or other activities of an independent character shall be taxable only in that State unless such services are performed in the other Contracting State and (

1. a)the individual is present in that other State for a period or periods aggregating more than 90 days in the taxable year concerned, or (
2. b)the individual has or had a fixed base regularly available to him in that other State for the purpose of performing his activities, but only so much of the income as is attributable to that fixed base may be taxed in such other State, or (
3. c)the remuneration for his services in the other Contracting State is derived from residents of that State and exceeds ten thousand Canadian dollars or the equivalent in Malta currency during the taxable year.

(2)The term "professional services" includes especially independent scientific literary, artistic, educational or teaching activities as well as the independent activities of physicians, lawyers, engineers, architects, dentists and accountants. ARTICLE 15 Dependent Personal Services

(1)Subject to the provisions of Articles 16, 18 and 19, salaries, wages and other similar remuneration derived by a resident of a Contracting State in respect of an employment shall be taxable only in that State unless the employment 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.

(2)Notwithstanding the provisions of paragraph

(1), remuneration derived by a resident of a Contracting State in respect of an employment exercised in the other Contracting State shall be taxable only in the first-mentioned State if the recipient is present in the other State for a period or periods not exceeding in the aggregate 183 days in the calendar year concerned, and either (

1. a)the remuneration earned in the other Contracting State in the calendar year concerned does not exceed five thousand Canadian dollars ($ 5,000) or its equivalent in Malta currency; or (
2. b)the remuneration is paid by, or on behalf of, an employer who is not a resident of the other State, and such remuneration is not borne by a permanent establishment or a fixed base which the employer has in the other State.

(3)Notwithstanding the preceding provisions of this Article, remuneration in r e s p e c t o f a n e m p l o y m e n t e x e r c i s e d a b o a r d a sh i p o r a ir c r a f t o pe r a t e d i n international traffic by an enterprise of a Contracting State, shall be taxable only in that State. ARTICLE 16 Directors’ Fees Directors’ fees and other similar payments derived by a resident of a Contracting DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA [ S.L.123.17 13 State in his capacity as a member of the board of directors or a similar organ of a company which is a resident of the other Contracting State, may be taxed in that other State. ARTICLE 17 Artistes and Athletes

(1)Notwithstanding the provisions of Articles 7, 14 and 15, income derived by a resident of a Contracting State as an entertainer, such as a theatre, motion picture, radio or television artiste, or a musician, or as an athlete, from his personal activities as such exercised in the other Contracting State, may be taxed in that other State.

(2)Where income in respect of personal activities exercised by an entertainer or an athlete in his capacity as such accrues not to the entertainer or athlete himself but to another person, that income may, notwithstanding the provisions of Articles 7, 14 and 15, be taxed in the Contracting State in which the activities of the entertainer or athlete are exercised.

(3)The provisions of paragraph

(2)shall not apply if it is established that neither the entertainer or the athlete nor persons related thereto, participate directly or indirectly in the profits of the person referred to in that paragraph. ARTICLE 18 Pensions and Annuities

(1)Pensions and annuities arising in a Contracting State and paid to a resident of the other Contracting State may be taxed in that other State.

(2)Pensions arising in a Contracting State and paid to a resident of the other Contracting State may also be taxed in the State in which they arise, and according to the law of that State. However, in the case of periodic pension payments, the tax so charged shall not exceed the lesser of (

1. a)15 per cent of the gross amount of the payment, and (
2. b)the rate determined by reference to the amount of tax that the recipient of the payment would otherwise be required to pay for the year on the total amount of the periodic pension payments received by him in the year, if he were resident in the Contracting State in which the payment arises and if such total amount were his only income in that year.

(3)Annuities arising in a Contracting State and paid to a resident of the other Contracting State may also be taxed in the State in which they arise, and according to the law of that State; but the tax so charged shall not exceed 15 per cent of the portion thereof that is subject to tax in that State. However, this limitation does not apply to lump-sum payments arising on the surrender, cancellation, redemption, sale or other alienation of an annuity, or to payments of any kind under an incomeaveraging annuity contract.

(4)Notwithstanding anything in this Agreement (

1. a)war veterans pensions or allowances or war disability benefits received from a Contracting State shall not be taxable in the other Contracting State so long as they are not subject to tax in the first-mentioned State; (
2. b)alimony and other similar payments arising in a Contracting State and paid to a resident of the other Contracting State who is subject to tax therein in respect thereof, shall be taxable only in that other State. 14 [ S.L.123.17 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA ARTICLE 19 Government Service

(1)(

1. a)Remuneration, other than a pension, paid by a Contracting State or a political subdivision or a local authority thereof to an individual in respect of services rendered to that State or subdivision or authority shall be taxable only in that State. (
2. 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 of that State who (
3. i)is a national of that State; or (
4. ii)did not become a resident of that State solely for the purpose of rendering the services.

(2)The provisions of Articles 15, 16 and 17 shall apply to remuneration in respect of services rendered in connection with a business carried on by a Contracting State or a political subdivision or a local authority thereof.

(3)Where remuneration is paid under a development assistance programme of a Contracting State, out of funds exclusively supplied by that State to a specialist or volunteer seconded to the other Contracting State with the consent of that other State, such remuneration shall be deemed to have been paid by the first-mentioned State and shall be taxable only in that State. ARTICLE 20 Students Payments which a student, apprentice or business trainee who is, or was immediately before visiting a Contracting State, a resident of the other Contracting State and who is present in the first-mentioned State solely for the purpose of his education or training receives for the purpose of his maintenance, education or training shall not be taxed in that State, provided that such payments arise from sources outside that State. ARTICLE 21 Other Income

(1)Subject to the provisions of paragraph

(2), items of income of a resident of a Contracting State, wherever arising, not dealt with in the foregoing Articles of this Agreement shall be taxable only in that State.

(2)However, if such income is derived by a resident of a Contracting State from sources in the other Contracting State, such income may also be taxed in the State in which it arises, and according to the law of that State. However, in the case of income from an estate or trust, the tax so charged shall, provided that the income is taxable in the Contracting State in which the recipient resides, not exceed 15 per cent of the gross amount of the income. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA IV. [ S.L.123.17 15 Taxation of Capital ARTICLE 22 Capital

(1)Capital represented by immovable property owned by a resident of a Contracting State and situated in the other Contracting State, may be taxed in that other State.

(2)Capital represented by movable property forming part of the business property of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State or by movable property pertaining to a fixed base available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal services, may be taxed in that other State.

(3)Capital represented by ships and aircraft operated by an enterprise of a Contracting State in international traffic and by movable property pertaining to the operation of such ships and aircraft, shall be taxable only in that State.

(4)All other elements of capital of a resident of a Contracting State shall be taxable only in that State. V. Methods for Prevention of Double Taxation ARTICLE 23 Elimination of Double Taxation

(1)In the case of Canada, double taxation shall be avoided as follows: (

1. a)Subject to the existing provisions of the law of Canada regarding the deduction from tax payable in Canada of tax paid in a territory outside Canada and to any subsequent modification of those provisions - which shall not affect the general principle hereof - and unless a greater deduction or relief is provided under the laws of Canada, tax payable in Malta on profits, income or gains arising in Malta shall be deducted from any Canadian tax payable in respect of such profits, income or gains. (
2. b)Subject to the existing provisions of the law of Canada regarding the determination of the exempt surplus of a foreign affiliate and to any subsequent modification of those provisions - which shall not affect the general principle hereof - for the purpose of computing Canadian tax, a company resident in Canada shall be allowed to deduct in computing its taxable income any dividend received by it out of the exempt surplus of a foreign affiliate resident in Malta.

(2)For the purposes of paragraph

(1)(a), tax payable in Malta by a resident of Canada in respect of dividends, interest or royalties received by it from a company which is a resident of Malta, shall be deemed to include any amount which would have been payable as Malta tax for any year but for an exemption from, or reduction of, tax granted for that year or any part thereof under (

1. a)the provisions of article 5 of the Aids to Industries Ordinance, so far as they were in force on, and have not been modified since, the date of signature of this Agreement, or have been modified only in minor respect so as not to affect their general character; 16 [ S.L.123.17 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA (
2. b)any other special provisions of the law of Malta designed to promote investments necessary for the economic development of Malta which may subsequently be made, granting an exemption or reduction of tax which is agreed by the competent authorities of the Contracting States 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, provided that any deduction from Canadian tax granted in accordance with the provisions of this paragraph shall not exceed 15 per cent of the gross amount of the dividends, interest or royalties.

(3)In the case of Malta, double taxation shall be avoided as follows: Subject to the provisions of the law of Malta regarding the allowance of a credit against Malta tax in respect of foreign tax, where, in accordance with the provisions of this Agreement, there is included in a Malta assessment income from sources within Canada, or elements of capital situated in Canada, the Canadian tax on such income or elements of capital, as the case may be, shall be allowed as a credit against the relative Malta tax payable thereon.

(4)For the purposes of this Article, profits, income or gains of a resident of a Contracting State which are taxed in the other Contracting State in accordance with this Agreement shall be deemed to arise from sources in that other State. VI. Special Provisions ARTICLE 24 Non-discrimination

(1)The 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 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)Nothing in this Article shall 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 responsibilities which it grants to its own residents.

(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 firstmentioned State, the capital of which is wholly or partly owned or controlled, directly or indirectly, by one or more residents of a third State, are or may be subjected.

(5)In this Article, the term "taxation" means taxes which are the subject of this Agreement. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA [ S.L.123.17 17 ARTICLE 25 Mutual Agreement Procedure

(1)Where a person considers that the actions of one or both of the Contracting States result or will result for him in taxation not in accordance with the provisions of this Agreement, he may, irrespective of the remedies provided by the domestic law of those States, address to the competent authority of the Contracting State of which he is a resident an application in writing stating the grounds for claiming the revision of such taxation. To be admissible, the said application must be submitted within two years from the first notification of the action which gives rise to taxation not in accordance with the Agreement.

(2)The competent authority referred to in paragraph

(1)shall endeavour, if the objection appears to it to be justified and if it is not itself able to arrive at an appropriate 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 not in accordance with the Agreement.

(3)A Contracting State shall not, after the expiry of the time limits provided in its national laws and, in any case, after five years from the end of the taxable period in which the income concerned has accrued, increase the tax base of a resident of either of the Contracting States by including therein items of income which have also been charged to tax in the other Contracting State. This paragraph shall not apply in the case of fraud, wilful default or neglect.

(4)The competent authorities of the Contracting States shall endeavour to r e s o l v e b y m u t u a l a g r e e m e n t a n y d i ff i c u l t i e s o r d o u b t s a r i s i n g a s t o t h e interpretation or application of the Agreement. In particular, the competent authorities of the Contracting States may consult together to endeavour to agree: (

1. a)to the same attribution of profits to a resident of a Contracting State and its permanent establishment situated in the other Contracting State; (
2. b)to the same allocation of income between a resident of a Contracting State and any associated person provided for in Article 9.

(5)The competent authorities of the Contracting States may consult together for the elimination of double taxation in cases not provided for in the Agreement. They may also communicate with each other directly for the purpose of applying the Agreement. ARTICLE 26 Exchange of Information

(1)The competent authorities of the Contracting States shall exchange such information as is necessary for carrying out the provisions of this Agreement or of the domestic laws of the Contracting States concerning taxes covered by the Agreement insofar as the taxation thereunder is not contrary to the Agreement. Any information received by a Contracting State shall be treated as secret in the same manner as information obtained under the domestic laws of that State and shall be disclosed only to persons or authorities (including courts and administrative bodies) involved in the assessment or collection of, the enforcement in respect of, or the determination of appeals in relation to, the taxes covered by the Agreement. Such persons or authorities shall use the information only for such purposes.

(2)In no case shall the provisions of paragraph

(1)be construed so as to impose on a Contracting State the obligation - 18 [ S.L.123.17 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA (

1. a)to carry out administrative measures at variance with the laws or the administrative practice of that or of the other Contracting State; (
2. b)to supply information which is not obtainable under the laws or in the normal course of the administration of that or of the other Contracting State; (
3. c)to supply information which would disclose any trade, business, industrial, commercial or professional secret or trade process, or information, the disclosure of which would be contrary to public policy (ordre public). ARTICLE 27 Diplomatic Agents and Consular Officers

(1)Nothing in this Agreement shall affect the fiscal privileges of diplomatic agents or consular officers under the general rules of international law or under the provisions of special agreements.

(2)Notwithstanding Article 4, an individual who is a member of a diplomatic mission, consular post or permanent mission of a Contracting State which is situated in the other Contracting State or in a third State shall be deemed for the purposes of the Agreement to be a resident of the sending State if he is liable in the sending State to the same obligations in relation to tax on his total income as are residents of that sending State.

(3)The Agreement shall not apply to International Organizations, to organs or officials thereof and to persons who are members of a diplomatic mission, consular post or permanent mission of a third State, being present in a Contracting State and who are not liable in either Contracting State to the same obligations in relation to tax on their total income as are residents thereof. ARTICLE 28 Miscellaneous Provisions

(1)The provisions of this Agreement shall not be construed to restrict in any manner any exclusion, exemption, deduction, credit, or other allowance now or hereafter accorded by the laws of a Contracting State in the determination of the tax imposed by that State.

(2)Nothing in the Agreement shall be construed as preventing (

1. a)Canada from imposing a tax on amounts included in the income of a resident of Canada according to article 91 of the Canadian Income Tax Act; (
2. b)Malta from applying the provisions of Article 12

(2)of the Income Tax Act.

(3)Where the Agreement provides that income arising in a Contracting State shall be relieved from tax in that State, either in full or in part, and, under the law in force in the other Contracting State, such 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 in the firstmentioned State shall apply only to so much of income as is remitted to or received in the other State.

(4)This Agreement shall not apply to any company, trust or partnership that is a DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA [ S.L.123.17 19 resident of a Contracting State and is beneficially owned or controlled directly or indirectly by one or more persons who are not residents of that State, if the amount of the tax imposed on the income or capital of the company, trust or partnership by that State is substantially lower than the amount that would be imposed by that State if all of the shares of the capital stock of the company or all of the interests in the trust or partnership, as the case may be, were beneficially owned by one or more residents of that State. VII. Final Provisions ARTICLE 29 Entry into Force

(1)This Agreement shall be ratified and the instruments of ratification shall be exchanged at Valletta, Malta.

(2)The Agreement shall enter into force 30 days after the exchange of instruments of ratification and its provisions shall have effect: (

1. a)in Canada: (
2. i)in respect of tax withheld at the source on amounts paid or credited to non-residents on or after the first day of January in the calendar year in which the exchange of instruments of ratification takes place; and (
3. ii)in respect of other Canadian tax for taxation years beginning on or after the first day of January in the calendar year in which the exchange of instruments of ratification takes place; (
4. b)in Malta, in respect of taxes which are levied for any year of assessment beginning on the first day of January in the calendar year immediately following that in which the exchange of instruments of ratification takes place. ARTICLE 30 Termination This Agreement shall continue in effect indefinitely but either Contracting State may, on or before June 30 in any calendar year after the year of the exchange of instruments of ratification, give to the other Contracting State a notice of termination in writing through diplomatic channels; in such event, the Agreement shall cease to have effect: (
5. a)in Canada: (
6. i)in respect of tax withheld at the source on amounts paid or credited to non-residents on or after the first day of January in the calendar year immediately following that in which the notice is given; and (
7. ii)in respect of other Canadian tax for taxation years beginning on or after the first day of January in the calendar year immediately following that in which the notice is given; (
8. b)in Malta, in respect of taxes which are levied for the year of assessment beginning on the first day of January in the second year following that in which the notice is given. 20 [ S.L.123.17 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH CANADA IN WITNESS WHEREOF the undersigned, duly authorised to that effect, have signed this Agreement. DONE in duplicate at Valletta, this 25th day of July, 1986, in the English and French languages, each version being equally authentic. (sgd.) Robert J. Stivala FOR THE GOVERNMENT OF THE REPUBLIC OF MALTA (sgd.) Claude T. Charland FOR THE GOVERNMENT OF CANADA