The agreements stipulated in the agreement will enter into force in accordance with the content of the agreement. The 1986 double taxation (China) decision (RS 1986/314) was revoked on the date covered by Article 28, paragraph 1 of the agreement, on the effective date of the agreement. Under Article 4, paragraph 3, the competent authorities of the two States Parties try to decide on the residence or the main operation, the place of effective administration, where it is registered or founded, or other relevant factors, in cases where a person other than a person has a dual residence. In the absence of such an agreement, that person is not entitled to a discharge or exemption under the revised contract. The competent authorities of the contracting states can communicate directly with each other in order to reach an agreement within the meaning of paragraphs 2 and 3. Where it appears desirable to reach an agreement, representatives of the competent authorities of the contracting states may meet for an oral exchange of views. This agreement does not affect the tax privileges of members of diplomatic or consular missions, in accordance with the general rules of international law or the provisions of specific agreements. Notwithstanding the provisions of paragraphs 1 and 2 of this article, income from activities carried out in paragraph 1 of this article as part of a cultural agreement or agreement between States Parties is tax-exempt in the contracting state where the activities are carried out, where the visit to that state is fully or essentially supported by public or state means of one of the States Parties. In China, double taxation is eliminated as follows, in accordance with the provisions of Chinese law: what is perhaps interesting, it is that while the existing 1986 DBA is a “covered agreement” within the meaning of the multilateral convention for the implementation of related measures to prevent the erosion of the tax base and the transfer of profits (MLI), China`s position in this area in relation to New Zealand meant that many new articles of the MLI would not actually apply to the 1986 DBA.
For example, not all changes to the institution`s articles apply (artificial prevention through commission regimes, specific exemptions and contract splitting). Although China has not yet ratified the MLI and therefore did not enter into force for the DBA in 1986. However, the new DBA not only contains the new articles on MLI that have been agreed upon, but it also contains some of these other articles. For example, Article 12 of the MLI, which concerns the artificial circumvention of settlement status by Commission agreements, was effectively included in the article on the stable establishment of the new agreement, although China reserves the right, initially, to adopt this article of LML. Overall, this section means that when a person acts on behalf of a company and normally enters into certain types of contracts or usually plays the primary role that leads to the conclusion of certain types of contracts concluded on a regular basis without substantial changes by the company, a stable establishment is created. The transparent tax formulation (Article 3 MLI) and the definition of a person closely linked to a business (Article 15 MLI) were also included in the DBA. China-DBA authorizes tax credit to New Zealand resident for “Chinese tax paid … SAF income established by a New Zealand resident” (Article 23, paragraph 2, point a), chinese DBA).