Agreement between the government of the Republic of Kazakhstan and the government of Mongolia for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on incom and on capital (Almaty, 12 March, 1998)

Agreement between the government of the Republic of Kazakhstan and the
government of Mongolia for the avoidance of double taxation and the
prevention of fiscal evasion with respect to taxes on incom and on capital
(Almaty, 12 March, 1998)
 

The Government of the Republic of Kazakhstan and the Government of Mongolia,

Desiring to conclude an Agreement for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital.

have agreed as follows:

CHAPTER I

SCOPE OF THE AGREEMENT

Article 1

PERSONAL SCOPE

This Agreement shall apply to persons who are residents of one or both of the Contracting States.

Article 2

TAXES COVERED

1. This Agreement shall apply to taxes on income and on capital imposed on behalf of a Contracting State or its administrative subdivisions or local authorities irrespective of the manner in which they are levied.

2. There shall be regarded as taxes on income and on capital all taxes imposed on total income, on total capital or on elements of income or of capital, including taxes on gains from the alienation of movable or immovable property, taxes on the total amounts of wages or salaries paid by enterprises, as well as taxes on capital appreciation.

3. The existing taxes to which the Agreement shall apply are in particular.

a) in the Republic of Kazakhstan:

(i) the individual income tax, (ii) the corporate income tax;

(hereafter referred to as "Kazakhstan tax").

b) in Mongolia :

(i) the tax on income of legal persons and individuals;

(ii) the tax on the property of legal persons and individuals;

(hereafter referred to as "Mongolian tax").

4. The Agreement shall apply to any identical or substantially similar taxes which are imposed after the date of signature of the Agreement in addition to or in place of the existing taxes. The competent authorities of the Contracting-States shall notify each other of any significant changes which have been made in their respective taxation laws.

CHAPTER II

DEFINITIONS

Arlicle 3

GENERAL DEFINITIONS

1. For the purposes of this Agreement, unless the context otherwise requires:

a) the term:

(i) "Kazakhstan" means the Republic of Kazakhstan. When used in a geographical sense, the term "Kazakhstan" includes the territorial waters, and also the exclusive economic zone and continental shelf in which Kazakhstan for certain purposes may exercise sovereign rights and jurisdiction in accordance with international law and in which the law relating to Kazakhstan tax are applicable;

(ii) "Mongolia" means, when used in a geographical sense, the territory of Mongolia and any area in which the tax law of Mongolia is in force insofar as Mongolia exercises in such area, in conformity with international law, sovereign rights to exploit its natural resources;

b) the term "person" includes an individual, a company and any other body of persons;