1.170 This section contains a sweeping provision that reserves the right to tax capital gains resulting from the disposal of other types of property in the country where the person who derives the profits is established. These include, for example, profits from the sale of shares or other interests in a business (with the exception of a land-rich business). Such profits, made by Australian residents, are taxable only in Australia, regardless of where the property is located, and are not taxed in France. The Australian`s Australian tax liability on these profits is established in accordance with Australian law. [Article 13, paragraph 6] 1.207 Double taxation does not apply to income flowing between Australia and France: in the case of Australia, the dual obligations of tax relief arising from the French Convention become effective by applying the general provisions relating to foreign tax credits under Australian law or, if applicable, the exemption provisions applicable to this law. A tax treaty is also called a tax treaty or double taxation agreement (DBA). They prevent double taxation and tax evasion and promote cooperation between Australia and other international tax authorities by enforcing their respective tax laws. 3.49 In addition, the ATO handles “maintenance costs” related to tax treaties relating to investigations, decisions and other interpretive decisions and mutual agreement procedures (including advance price agreements). These costs also apply to existing rules.
The fundamental adaptation of the French treaty to the recent practice of the contract will reduce these costs. However, since these are agreements between the two countries, which reflect specific characteristics of bilateral relations, a certain degree of different treatment or wording between contracts that may require interpretation or declaration by the ATO is inevitable. 3.58 In general, business and industry groups have supported results similar to those of the United Kingdom Agreement and the Protocol with the United States. 2.116 With regard to the exclusion of taxed partnerships such as companies, the following reference is concerned with the limitation of the source country`s tax rate, the following reference reflects the agreement reached during the negotiations on the Norwegian agreement on the treatment of limited partnerships (limited liability companies): 2.308 In accordance with the practice of the Norwegian Treaty , paragraph 2 guarantees that double taxation will not be imposed. income is not taxed in the country where the diplomat or consular official is not taxed. is sent on the basis of tax privileges granted to diplomats and consular officials in accordance with the general rules of international law or under international agreements.