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L.S. 123.33 Ordni dwar Eżenzjoni mill-Ħlas ta' Taxxa Doppja fuq l-Income mar-Repubblika tal-Polonja

Obsah (8)Article 7Article 6Article 19Article 1Article 9Article 11Article 12Article 24

DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 SUBSIDIARY LEGISLATION 123.33 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND ORDER 24th November, 1994 LEGAL NOTICE 28

1995, as amended by Legal Notices 14

2012 and 64

2021 as modified by S.L.123.183. 1. The title

this Order is Double Taxation Relief on Taxes on Income with the Republic

Poland Order. 2. It is hereby declared: (a) that the arrangements specified in the Agreement set out in the Schedule to this Order have been made with the Government

the Republic

Poland with a view to affording relief from double taxation in relation to the following taxes imposed by the laws

the Republic

Poland: (

  1. i)the personal income tax; (
  2. ii)the corporate income tax; (
  3. b)that it is expedient that those arrangements should have effect. Title. Arrangements to have effect. 1 [ S.L.123.33 2 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND SCHEDULE AGREEMENT BETWEEN THE GOVERNMENT

MALTA AND THE GOVERNMENT

THE REPUBLIC

POLAND FOR THE AVOIDANCE

DOUBLE TAXATION AND THE PREVENTION

FISCAL EVASION WITH RESPECT TO TAXES ON INCOME The Government

Malta and the Government

the Republic

Poland desiring to conclude an Agreement for the Avoidance

Double Taxation and the prevention

fiscal evasion with respect to taxes on income, have agreed as follows: ARTICLE 1 Personal Scope This Agreement shall apply to persons who are residents

one or both

the Contracting States. ARTICLE 2 * Taxes Covered

(1)This Agreement shall apply to taxes on income imposed on behalf

a Contracting State or

its political subdivisions or local authorities, irrespective

the manner in which they are levied.

(2)There shall be regarded as taxes on income all taxes imposed on total income or on elements

income, including taxes on gains from the alienation

movable or immovable property and taxes on the total amounts

wages or salaries paid by enterprises.

(3)The existing taxes to which this Agreement shall apply are in particular: (
  1. a)in Malta: the income tax, (hereinafter referred to as "Malta tax"); (
  2. b)in Poland: (
  3. i)the personal income tax (podatek dochodowy ad fizycznych); (
  4. ii)the corporate income tax (podatek dochodowy ad prawnych); (hereinafter referred to as "Polish tax"). osob osob
(4)This Agreement shall apply also to any identical or substantially similar taxes which are imposed by either Contracting State after the date

signature

this Agreement in addition to, or in place

, the existing taxes. The competent authorities

the Contracting States shall notify each other

any significant changes which have been made in their respective taxation laws.

(5)(Deleted by Protocol reproduced in Legal Notice 14

2012). *as amended by Protocol reproduced in Legal Notice 14

2012. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 3 ARTICLE 3* General Definitions

(1)For the purposes

this Agreement, unless the context otherwise requires: (a) the term "Malta", when used in a geographical sense, means the Island

Malta, the Island

Gozo and the other islands

the Maltese archipelago including the territorial waters thereof, and any area outside the territorial sea

Malta which, in accordance with international law, has been or may hereafter be designated, under the law

Malta concerning the Continental Shelf, as an area within which the rights

Malta with respect to the sea-bed and subsoil and their natural resources may be exercised; (b) the term "Poland" when used in a geographical sense means the territory

the Republic

Poland, including any area beyond its territorial waters, within which under the laws

Poland and in accordance with international law, Poland may exercise its sovereign rights over the sea-bed, its subsoil and their natural resources; (

  1. c)the terms "a Contracting State" and "the other Contracting State" mean Poland or Malta as the context requires; (
  2. d)the term "person" includes an individual, a company, a trust and any other body

persons; (

  1. e)the term "company" means any body corporate or any entity which is treated as a body corporate for tax purposes; (
  2. f)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; (g) the term "national" means all individuals possessing the nationality

a Contracting State and all legal persons, partnerships and associations deriving their status as such from the laws in force in a Contracting State; (h) the term "international traffic" means any transport by a ship, aircraft or road vehicle operated by an enterprise which has its place

effective management in a Contracting State, except when the ship, aircraft or road vehicle is operated solely between places in the other Contracting State; (i) the term "competent authority" means: (i) in the case

Malta, the Minister responsible for finance or his authorised representative; (ii) in the case

Poland, the Minister

Finance or his authorised representative.

(2)As regards the application

this Agreement at any time by a Contracting State, any term not defined therein shall, unless the context otherwise requires, have the meaning that it has at that time under the laws

that State for the purposes

the taxes to which Agreement applies, any meaning under the applicable tax laws

that State prevailing over a meaning given to the term under other laws

that State. *as amended by Protocol reproduced in Legal Notice 14

2012. [ S.L.123.33 4 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND ARTICLE 4 Resident

(1)For the purposes

this Agreement, the term "resident

a Contracting State" means a 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.

(2)Where by reason

the provisions

paragraph

(1)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 solely

the Contracting 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 solely

the Contracting 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 no permanent home available to him in either State, he shall be deemed to be a resident solely

the Contracting 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 solely

the Contracting 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.

(3)Where by reason

the provisions

paragraph

(1)a person other than an individual is a resident

both Contracting States, then it shall be deemed to be a resident solely

the State in which its place

effective management is situated. ARTICLE 5 * Permanent Establishment

(1)For the purposes

this Agreement, the term "permanent establishment" means a fixed place

business through which the business

an enterprise is wholly or partly carried on.

(2)The term "permanent establishment" includes especially: (a) (b) (c) (d) (e) (f) a place

management; a branch; an

fice; a factory; a workshop; a mine, an oil or gas well, a quarry or any other place

extraction

natural resources including an

fshore drilling site; (g) a building site or construction or assembly or installation project, where such site or project continues for more than twelve months. *as amended by Protocol reproduced in Legal Notice 14

2012. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 5

(3)Notwithstanding the preceding provisions

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 sub-paragraphs (a) to (e), provided that the overall activity

the fixed place

business resulting from this combination is

a preparatory or auxiliary character.

(4)(Deleted by Protocol reproduced in Legal Notice 14

2012).

(5)Notwithstanding the provisions

paragraphs

(1)and
(2)where a person other than an agent

an independent status to whom paragraph

(6)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

(3)which, if exercised through a fixed place

business, would not make this fixed place

business a permanent establishment under the provisions

that paragraph.

(6)An enterprise

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. However, when the activities

such an agent are devoted wholly or almost wholly on behalf

the enterprise, he shall not be considered an agent

an independent status if the transactions between the agent and the enterprise were not made under arm’s length conditions.

(7)The fact that a company which is a resident

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 * Income from Immovable Property

(1)Income derived by a resident

a Contracting State from immovable property (including income from agriculture or forestry) situated in the other *as amended by Protocol reproduced in Legal Notice 14

2012. [ S.L.123.33 6 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND Contracting State may be taxed in that other State.

(2)The term "immovable property" shall have the meaning which it has under the law

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, buildings, usufruct

immovable property and rights to variable or fixed payments as consideration 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.

(3)The provisions

paragraph

(1)shall apply to income derived from the direct use, letting, or use in any other form

immovable property.

(4)The provisions

paragraphs 1 and 3 shall also apply to the income from immovable property

an enterprise. ARTICLE 7* Business Profits

(1)The 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 on so much

them as is attributable to that permanent establishment.

(2)Subject to the provisions

paragraph

(3), 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 or with other associated enterprises with which it deals.

(3)In the determination

the profits

a permanent establishment, there shall be allowed as deductions expenses

the enterprise, being expenses which are incurred for the purposes

the permanent establishment (including executive and general administrative expenses so incurred) and which would be deductible if the permanent establishment were an independent entity which paid those expenses, whether incurred in the Contracting State in which the permanent establishment is situated or elsewhere.

(4)(Deleted by Protocol reproduced in Legal Notice 14

2012).

(5)No profits shall be attributed to a permanent establishment by reason

the mere purchase by that permanent establishment

goods or merchandise for the enterprise.

(6)For the purposes

the preceding paragraphs, 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.

(7)The provisions

this Article shall not affect the provisions

the law

a Contracting State regarding the taxation

profits from the business

insurance.

(8)Where profits include items

income which are dealt with separately in *as amended by Protocol reproduced in Legal Notice 14

2012. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 7 other Articles

this Agreement, then the provisions

those Articles shall not be affected by the provisions

this Article. ARTICLE 8 * International Traffic

(1)Profits from the operation

ships, aircraft or road vehicles in international traffic shall be taxable only in the Contracting State in which the place

effective management

the enterprise is situated.

(2)If the place

effective management

a shipping enterprise is aboard a ship or boat, then it shall be deemed to be situated in the Contracting State in which the home harbour

the ship or boat is situated, or, if there is no such home harbour, in the Contracting State

which the operator

the ship or boat is a resident.

(3)The provisions

paragraph

(1)shall also apply to profits from the participation in a pool, a joint business or an international operating agency.
(4)For the purposes

this Article, profits derived from the operation

ships or aircraft in international traffic include profits derived from the rental

ships or aircraft if such ships or aircraft are operated in international traffic or if such rental profits are incidental to other profits described in paragraph 1

this Article. However, such profits do not include profits from leasing ships or aircraft on a bare boat charter basis except when it is an ancillary activity

an enterprise engaged in the international operation

ships or aircraft. ARTICLE 9† Associated Enterprises

(1)Where (a) an enterprise

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.

(2)(Deleted by Protocol reproduced in Legal Notice 14

2012).

(3)Where a Contracting State includes in the profits

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 that 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 *as amended by Protocol reproduced in Legal Notice 14

2012. †as amended by Protocol reproduced in Legal Notice 14

2012. 8 [ S.L.123.33 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND determining such adjustment, due regard shall be had to the other provisions

this Agreement and the competent authorities

the Contracting States shall if necessary consult each other. ARTICLE 10 * Dividends

(1)Dividends paid by a company which is a resident

a Contracting State to a resident

the other Contracting State may be taxed in that other State.

(2)However, such dividends may also be taxed in the Contracting State

which the company paying the dividends is a resident and according to the laws

the State, but: (a) where the dividends are paid by a company resident

Poland to a resident

Malta, Poland shall exempt from tax the dividends if the beneficial owner

such dividends is a company resident in Malta that holds directly at least 10 per cent

the capital

the company paying the dividends on the date the dividends are paid and has done so or will have done so for an uninterrupted 24-month period in which that date falls; (b) except as provided in subparagraph (a), the tax so charged by Poland shall not exceed 10 per cent

the gross amount

the dividends where the beneficial owner

the dividends is a resident

Malta; (c) where the dividends are paid by a company which is a resident

Malta to a resident

Poland which is the beneficial owner thereof Malta tax on the gross amount

the dividends shall not exceed that chargeable on the profits out

which the dividends are paid. This paragraph shall not affect the taxation

the company in respect

the profits out

which the dividends are paid.

(3)The term "dividends" as used in this Article means income from shares (including income from distributions on certificates or participating units

an investment fund and their redemption, the liquidation or partial liquidation

a company and income from the purchase or redemption

own shares by a company) or other rights, not being debt-claims, participating in profits, as well as income from other rights which is subjected to the same taxation treatment as income from shares by the laws

that State

which the company making the distribution is a resident.

(4)The provisions

paragraphs 1 and 2 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 dividends is a resident, through a permanent establishment situated therein and the holding in respect

which the dividends are paid is effectively connected with such permanent establishment. In such a case the provisions

Article 7shall apply.

(5)Where a company which is a resident

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 situated in that other State, nor subject the company’s undistributed profits to a tax on the *as amended by Protocol reproduced in Legal Notice 14

2012. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 9 company’s undistributed profits, even if the dividends paid or the undistributed profits consist wholly or partly

profits or income arising in such other State.

(6)The benefits

this Article shall not apply if it was the main purpose or one

the main purposes

any person concerned with the creation or assignment

the shares or other rights in respect

which the dividend is paid to take advantage

this Article by means

that creation or assignment. ARTICLE 11 * Interest

(1)Interest arising in a Contracting State and paid to a resident

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

that State, but if the recipient is the beneficial owner

the interest the tax so charged shall not exceed 4 per cent

the gross amount

the interest.

(3)Notwithstanding the provisions

paragraph

(2)interest arising in a Contracting State and derived by the Government

the other Contracting State including local authorities thereof, the Central Bank or any financial institution controlled by that Government shall be exempt from tax in the first-mentioned State.

(4)The term "interest" as used in this Article means income from debt-claims

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. Penalty charges for late payment shall not be regarded as interest for the purposes

this Article.

(5)The provisions

paragraphs 1 and 2 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, and the debt-claim in respect

which the interest is paid is effectively connected with such permanent establishment. In such case the provisions

Article 7shall apply.

(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

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 in connection with which the indebtedness on which the interest is paid was incurred, and such interest is borne by such permanent establishment, then such interest shall be deemed to arise in the State in which the permanent establishment is situated.

(7)Where, by reason

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 payments shall remain taxable according to the laws

each Contracting State, due regard being had to the other provisions

this Agreement.

(8)The benefits

this Article shall not apply if it was the main purpose or one

*as amended by Protocol reproduced in Legal Notice 14

2012. 10 [ S.L.123.33 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND the main purposes

any person concerned with the creation or assignment

the debtclaim in respect

which the interest is paid to take advantage

this Article by means

that creation or assignment. ARTICLE 12* Royalties and payments for technical services

(1)Royalties or payments for technical services arising in a Contracting State and paid to a resident

the other Contracting State may be taxed in that other State.

(2)However, such royalties or payments for technical services may also be taxed in the Contracting State in which they arise and according to the laws

that State, but if the recipient is the beneficial owner

the royalties or payments for technical services the tax so charged shall not exceed: (a) five per cent (5%)

the gross amount

the royalties; (b) five per cent (5%)

the gross amount

the payments for technical services.

(3)(a) The term "royalties" as used in this Article means payments

any kind received as a consideration for the use

, or the right to use, any copyright, patent, trade mark, design or model, plan, secret formula or process, or for the use

, or the right to use any industrial, commercial or scientific equipment or for information (knowhow) concerning industrial, commercial or scientific experience; the term shall also include payments

any kind related to cinematograph films, and films or tapes for radio or television broadcasting. (b) The term "payments for technical services" as used in this Article means any payment in consideration for any service

a managerial or consultancy nature, unless the payment: (i) is made to an employee

the person making the payment; (ii) is made for teaching in an educational institution or for teaching by an educational institution; (iii) is made by an individual for services for the personal use

an individual; (iv) is made for services related to immovable property located in the Contracting State

which the person making the payment is a resident, if such services resulted in a construction, maintenance project, or a landscaping project or a similar tangible project; or (v) is accrued under the laws

a Contracting State to the initial value

the machinery or industrial equipment

the person making the payment or to the maintenance

such machinery or industrial equipment.

(4)The provisions

paragraphs 1 and 2 shall not apply if the beneficial owner

the royalties or payments for technical services, being a resident

a Contracting State, carries on business in the other Contracting State in which the royalties or payments for technical services arise through a permanent establishment situated therein *as amended by Protocol reproduced in Legal Notice 14

2012. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 11 and the right or property in respect

which the royalties or payments for technical services are paid is effectively connected with such permanent establishment. In such case the provisions

Article 7shall apply.

(5)Royalties or payments for technical services shall be deemed to arise in a Contracting State when the payer is that State itself, a political subdivision, or a local authority or a resident

that State. Where, however, the person paying the royalties or payments for technical services, whether he is a resident

a Contracting State or not, has in a Contracting State a permanent establishment in connection with which the liability to pay the royalties or payments for technical services was incurred, and such royalties or payments for technical services are borne by such permanent establishment, then such royalties or payments for technical services shall be deemed to arise in the State in which the permanent establishment is situated.

(6)Where, by reason

a special relationship between the payer and the beneficial owner or between both

them and some other person, the amount

the royalties or payments for technical services, 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 Agreement. ARTICLE 13* Alienation

Property

(1)Gains from the alienation

immovable property, as defined in paragraph 2

Article 6, may be taxed in the Contracting State in which such property is situated.

(2)Gains derived by a resident

a Contracting State from the alienation

shares or comparable interests, such as interests in a partnership or trust, or certificates or participating units

an investment fund, may be taxed in the other Contracting State if, at any time during the 365 days preceding the alienation, these shares or comparable interests derived more than 50 per cent

their value directly or indirectly from immovable property, as defined in Article 6, situated in that other State.

(3)Gains from the alienation

movable property forming part

the business property

a permanent establishment which an enterprise

a Contracting State has in the other Contracting State, including such gains from the alienation

such a permanent establishment (alone or together with the whole enterprises) may be taxed in that other State.

(4)Gains from the alienation

ships, aircraft or road vehicles operated in international traffic or movable property pertaining to the operation

such means

transportation shall be taxable only in the Contracting State in which the place

effective management

the enterprise is situated.

(5)Gains from the alienation

any property other than that referred to in paragraphs 1, 2, 3 and 4 shall be taxable only in the Contracting State

which the alienator is a resident. *as substituted by Protocol reproduced in Legal Notice 14

2012. 12 [ S.L.123.33 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND ARTICLE 14* Independent Personal Services (Deleted by Protocol reproduced in Legal Notice 14

2012). ARTICLE 15 † Dependent Personal Services

(1)Subject to the provisions

Articles 16, 18, 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 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

paragraph 1, salaries, wages and other similar 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: (

  1. a)the recipient is present in the other State for a period or periods not exceeding in the aggregate 183 days in any twelve month period commencing or ending in the fiscal year concerned; and (
  2. 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 which the employer has in the other State.

(3)Notwithstanding the preceding provisions

this Article, remuneration derived in respect

an employment exercised aboard a ship, aircraft or road vehicle operated in international traffic may be taxed in the Contracting State in which the place

effective management

the enterprise is situated. ARTICLE 16 Directors’ Fees Directors’ fees and other similar payments derived by a resident

a Contracting State in the capacity as a member

the board

directors or

the supervisory board or

any other similar organ or a company which is a resident

the other Contracting State shall be taxed only in that first-mentioned State. ARTICLE 17 Artistes and Sportsmen

(1)Notwithstanding the provisions

Articles 14 and 15, income derived by a resident

a Contracting State as an entertainer, such as a theatre, motion picture, radio or television artiste or a musician or as a sportsman from his personal activities as such exercised in the other Contracting State, may be taxed in that other Contracting State.

(2)Where income in respect

personal activities exercised by an entertainer or a sportsman in his capacity as such accrues not to the entertainer or sportsman *as amended by Protocol reproduced in Legal Notice 14

2012. †as amended by Protocol reproduced in Legal Notice 14

2012. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 13 himself but to another person, that income may, notwithstanding the provisions

Articles 7, 14 and 15, be taxed in the Contracting State in which the activities

the entertainer or sportsman are exercised.

(3)Notwithstanding the provisions

paragraphs

(1)and
(2)

this Article, income mentioned in this Article shall be exempt from tax in the Contracting State in which the activity

the entertainer or sportsman is exercised provided that this activity is supported in a considerable part out

public funds

that State or

the other State or the activity is exercised under a cultural agreement or arrangement between the Contracting States. ARTICLE 18 Pensions

(1)Subject to the provisions

paragraph

(2)

Article 19

, pensions and other similar remuneration paid to a resident

a Contracting State in consideration

past employment shall be taxable only in that State.

(2)Notwithstanding the provisions

paragraph

(1), pensions and other payments made under the social security legislation

a Contracting State shall be taxable only in that State. ARTICLE 19 Government Service

(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

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 purpose

rendering the services.

(2)(a) Any pension paid by, or out

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, 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.

(3)The provisions

Articles 15, 16 and 18 shall apply to remuneration and 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 20 Professors and Teachers

(1)Where a professor or teacher who is a resident

a Contracting State visits the other Contracting State for a period not exceeding two years for the purpose

teaching or carrying out advanced study or research at a university, college, school or other educational institution in that other State, any remuneration the person 14 [ S.L.123.33 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND receives for such teaching, advance study or research shall be exempt from tax in that other State to the extent to which that remuneration is, or upon the application

this Article will be, subject to tax in the first-mentioned State.

(2)This Article shall not apply to remuneration which a professor or teacher receives for conducting research if the research is undertaken primarily for the private benefit

a specific person or persons. ARTICLE 21 * Students Payments which a student, pupil 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

that individual’s education or training receives for the purpose

that individual’s 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

(1)Items

income

a resident

a Contracting State, wherever arising, not dealt with in the foregoing Articles

this Agreement shall be taxable only in that State.

(2)The provisions

paragraph 1 shall not apply to income, other than income from immovable property as defined in paragraph 2

Article 6

, if the recipient

such income, being a resident

a Contracting State, carries on business in the other Contracting State through a permanent establishment situated therein and the right or property in respect

which the income is paid is effectively connected with such permanent establishment. In such case, the provisions

Article 7shall apply.

ARTICLE 23‡ Elimination

Double Taxation

(1)In case

Poland, double taxation shall be avoided as follows: (a) Where a resident

Poland derives income which may be taxed in Malta in accordance with the provisions

this Agreement (except to the extent that these provisions allow taxation by Malta solely because the income is also income derived by a resident

Malta), Poland shall allow as a deduction from the tax on the income

that resident, an amount equal to the income tax paid in Malta. Such deduction shall not, however, exceed that part

the income tax, as computed before the deduction is given, which is attributable to the income which may be taxed in Malta; (b) Where in accordance with any provision

this Agreement income derived by a resident

Poland is exempt from tax in Poland, Poland may nevertheless, in calculating the amount

tax on the remaining income

such resident, take into account the exempted income.. *as substituted by Protocol reproduced in Legal Notice 14

2012. †as amended by Protocol reproduced in Legal Notice 14

2012. ‡as amended by Protocol reproduced in Legal Notice 14

2012. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND

(2)[ S.L.123.33 15 In the case

Malta, double taxation shall be eliminated as follows: Subject to the provisions

the law

Malta regarding the allowance

a credit against Malta tax in respect

foreign tax, where, in accordance with the provisions

this Agreement, there is included in a Malta assessment income from sources within Poland, the Polish tax on such income shall be allowed as a credit against the relative Malta tax payable thereon.

(3)(Deleted by Protocol reproduced in Legal Notice 14

2012).

(4)(Deleted by Protocol reproduced in Legal Notice 14

2012). ARTICLE 24 Non-discrimination

(1)Nationals

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. This provision shall, notwithstanding the provisions

Article 1

, also apply to persons who are not residents

one or both

the Contracting States.

(2)The taxation on a permanent establishment which an enterprise

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.

(3)Except where the provisions

paragraph

(1)

Article 9, paragraph

(7)

Article 11, or paragraph

(6)

Article 12

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.

(4)Enterprises

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

that firstmentioned State are or may be subjected.

(5)Nothing in this Article shall be construed as obliging a Contracting State to grant to individuals who are resident

the other Contracting State any personal allowances, reliefs and reductions for tax purposes on account

civil status, family responsibilities or any other personal circumstances which it grants to its own residents.

(6)The provisions

this Article shall apply to the taxes referred to in Article 2

this Agreement. ARTICLE 25 Mutual Agreement Procedure

(1)Where a person considers that the actions

one or both

the Contracting States result or will result for him in taxation not in accordance with the provisions

this Agreement, 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

(1)

Article 24

, 16 [ S.L.123.33 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND 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 Agreement.

(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

the other Contracting State, with a view to the avoidance

taxation which is not in accordance with the Agreement. Any agreement reached shall be implemented notwithstanding any time limits in the domestic law

the Contracting States.

(3)The competent authorities

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

the Agreement. They may also consult together for the elimination

double taxation in cases not provided for in the Agreement.

(4)The competent authorities

the Contracting States may communicate with each other directly for the purpose

reaching an agreement in the sense

the paragraphs

(1),
(2)and
(3)

this Article. When it seems advisable in order to reach agreement to have an oral exchange

opinions, such exchange may take place through a Commission consisting

representatives

the competent authorities

the Contracting States.

(5)Where, (a) under paragraph 1, a person has presented a case to the competent authority

a Contracting State on the basis that the actions

one or both

the Contracting States have resulted for that person in taxation not in accordance with the provisions

this Agreement, and (b) the competent authorities are unable to reach an agreement to resolve that case pursuant to paragraph 2 within three years from the presentation

the case to the competent authority

the other Contracting State, any unresolved issues arising from the case shall be submitted to arbitration if the person so requests in writing. These unresolved issues shall not, however, be submitted to arbitration if a decision on these issues has already been rendered by a court or administrative tribunal

either State. Unless a person directly affected by the case does not accept the mutual agreement that implements the arbitration decision, that decision shall be binding on both Contracting States and shall be implemented notwithstanding any time limits in the domestic laws

these States. The competent authorities

the Contracting States shall by mutual agreement settle the mode

application

this paragraph. For the purposes

sub-paragraph (b), the competent authorities

the Contracting States may agree to resolve the case within two years. ARTICLE 26* Exchange

Information

(1)The competent authorities

the Contracting States shall exchange such information as is foreseeably relevant for carrying out the provisions

this Agreement or to the administration or enforcement

the domestic laws concerning taxes

every kind and description imposed on behalf

the Contracting States, or *as substituted by Protocol reproduced in Legal Notice 14

2012. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 17

their political subdivisions or local authorities, insofar as the taxation thereunder is not contrary to the Agreement. The exchange

information is not restricted by Articles 1 and 2.

(2)Any information received under paragraph 1 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) concerned with the assessment or collection

, the enforcement or prosecution in respect

, the determination

appeals in relation to the taxes referred to in paragraph 1, or the oversight

the above. Such persons or authorities shall use the information only for such purposes. They may disclose the information in public court proceedings or in judicial decisions. Notwithstanding the foregoing, information received by a Contracting State may be used for other purposes when such information may be used for such other purposes under the laws

both States and the competent authority

the supplying State authorizes such use.

(3)In no case shall the provisions

paragraphs 1 and 2 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 (ordre public).

(4)If information is requested by a Contracting State in accordance with this Article, the other Contracting State shall use its information gathering measures to obtain the requested information, even though that other State may not need such information for its own tax purposes. The obligation contained in the preceding sentence is subject to the limitations

paragraph 3 but in no case shall such limitations be construed to permit a Contracting State to decline to supply information solely because it has no domestic interest in such information.

(5)In no case shall the provisions

paragraph 3 be construed to permit a Contracting State to decline to supply information solely because the information is held by a bank, other financial institution, nominee or person acting in an agency or a fiduciary capacity or because it relates to ownership interests in a person. ARTICLE 26A Prevention

Treaty Abuse Notwithstanding any provisions

this Agreement, a benefit under this Agreement shall not be granted in respect

an item

income if it is reasonable to conclude, having regard to all relevant facts and circumstances, that obtaining that benefit was one

the principal purposes

any arrangement or transaction that resulted directly or indirectly in that benefit, unless it is established that granting that benefit in these circumstances would be in accordance with the object and purposes

the relevant provisions

this Agreement. 18 [ S.L.123.33 DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND ARTICLE 27 Diplomatic and Consular

ficials Nothing in this Agreement shall affect the fiscal privileges

diplomatic and consular

ficials under the general rules

international law or under the provisions

special agreements. ARTICLE 28 Entry into Force

(1)Each

the Contracting States shall notify the other the completion

the procedures required by its law for bringing into force

this Agreement.

(2)This Agreement shall enter into force thirty days after the date

the later

the notifications and its provisions shall have effect: (a) in Malta: in respect

taxes for any year

assessment beginning on or after I January in the second calendar year following the year in which this Agreement enters into force; (b) in Poland: (i) in respect

taxes withheld at source, to amounts

income derived on or after 1 January in the calendar year next following the year in which the Agreement enters into force; and (ii) in respect

other taxes on income, to such taxes chargeable for any taxable year beginning on or after 1st January in the calendar year next following the year in which the Agreement enters into force. ARTICLE 29 Termination This Agreement shall remain in force until terminated by a Contracting State. Either Contracting State may terminate the Agreement, through diplomatic channels, by giving written notice

termination at least six months before the end

any calendar year beginning after the expiration

a period

five years from the date

its entry into force. In such event, the Agreement shall cease to have effect: (a) in Malta: in respect

taxes for any year

assessment beginning on or after 1 January in the second calendar year following the year in which the notice is given; (b) in Poland: (i) in respect

taxes withheld at source, to amounts

income derived on or after 1 January in the calendar year next following the year in which the notice is given; and (ii) in respect

other taxes on income, to such taxes chargeable for any taxable year beginning on or after 1st January in the calendar year next following the year in which the notice be given. IN WITNESS whereof the undersigned, being duly authorised thereto, have signed this Agreement. DOUBLE TAXATION RELIEF ON TAXES ON INCOME WITH THE REPUBLIC

POLAND [ S.L.123.33 19 DONE at Valletta this 7th day

January, 1994, in duplicate in the English and Polish languages, both texts being equally authentic. VICTOR CAMILLERI FOR THE GOVERNMENT

MALTA PANA BOLESLAWA MICHALKA FOR THE GOVERNMENT

THE REPUBLIC

POLAND

🔗 Għas-sors uffiċjali

AI explanation based on the official legal text. Indicative, not a substitute for legal advice.