Resolução

Resolução da Assembleia da República n.º 26/97

Aprova, para ratificação, a Convenção entre a República Portuguesa e a República Checa para Evitar a Dupla Tributação e Prevenir a Evasão Fiscal em Matéria de Impostos sobre o Rendimento, assinada em Lisboa, em 24 de Maio de 1994

Artigo 1.º

Pessoas visadas

Esta Convenção aplica-se às pessoas residentes de um ou de ambos os Estados Contratantes.

Artigo 2.º

Impostos visados

1 -Esta Convenção aplica-se aos impostos sobre o rendimento exigidos por cada um dos Estados Contratantes, suas subdivisões políticas ou administrativas e suas autarquias locais, seja qual for o sistema usado para a sua percepção.
2 -São considerados impostos sobre o rendimento os impostos incidentes sobre o rendimento total ou sobre parcelas do rendimento, incluídos os impostos sobre os ganhos derivados da alienação de bens mobiliários ou imobiliários, os impostos sobre o montante global dos salários pagos pelas empresas, bem como os impostos sobre as mais-valias.
3 -Os impostos actuais a que esta Convenção se aplica são:
1. a)Relativamente a Portugal (a seguir referidos pela designação «imposto português»):
  1. i)O imposto sobre o rendimento das pessoas singulares (IRS);
  2. ii)O imposto sobre o rendimento das pessoas colectivas (IRC); e
  3. iii)A derrama;
2. b)Relativamente à República Checa (a seguir referidos pela designação «imposto checo»):
  1. i)O imposto sobre o rendimento das pessos singulares (ver documento original); e
  2. ii)O imposto sobre o rendimento das pessoas colectivas (ver documento original).
4 -A Convenção será também aplicável aos impostos de natureza idêntica ou similar que entrem em vigor posteriormente à data da assinatura da Convenção e que venham a acrescer aos actuais ou a substituí-los. As autoridades competentes dos Estados Contratantes comunicarão uma à outra as modificações importantes introduzidas nas respectivas legislações fiscais.

Artigo 3.º

Definições gerais

1 -Para efeitos desta Convenção, a não ser que o contexto exija interpretação diferente:
1. a)O termo «Portugal» compreende o território da República Portuguesa situado no continente europeu, os arquipélagos dos Açores e da Madeira, o respectivo mar territorial e, bem assim, as outras zonas onde, em conformidade com a legislação portuguesa e o direito internacional, a República Portuguesa tem jurisdição ou direitos de soberania relativos à prospecção, pesquisa e exploração dos recursos naturais do leito do mar, do seu subsolo e das águas sobrejacentes;
2. b)O termo «República Checa» compreende o território a que se aplica a legislação fiscal da República Checa;
3. c)As expressões «um Estado Contratante» e «o outro Estado Contratante» significam Portugal ou a República Checa, consoante resulte do contexto;
4. d)O termo «pessoa» compreende uma pessoa singular, uma sociedade e qualquer outro agrupamento de pessoas;
5. e)O termo «sociedade» significa qualquer pessoa colectiva ou qualquer entidade que é tratada como pessoa colectiva para fins tributários;
6. f)As expressões «empresa de um Estado Contratante» e «empresa do outro Estado Contratante» significam, respectivamente, uma empresa explorada por um residente de um Estado Contratante e uma empresa explorada por um residente do outro Estado Contratante;
7. g)A expressão «tráfego internacional» significa qualquer transporte por navio ou aeronave explorado por uma empresa cuja direcção efectiva esteja situada num Estado Contratante, excepto se o navio ou aeronave forem explorados somente entre lugares situados no outro Estado Contratante;
8. h)A expressão «autoridade competente» significa:
  1. i)No caso de Portugal, o Ministro das Finanças, o director-geral das Contribuições e Impostos ou o seu representante autorizado;
  2. ii)No caso da República Checa, o Ministro das Finanças ou o seu representante autorizado;
9. i)O termo «nacional» designa:
  1. i)Todas as pessoas singulares que tenham a nacionalidade de um Estado Contratante; e
  2. ii)Todas as pessoas colectivas, associações ou outras entidades constituídas de harmonia com a legislação em vigor num Estado Contratante.
2 -Para aplicação da presente Convenção por um Estado Contratante, qualquer expressão aí não definida terá, a não ser que o contexto exija interpretação diferente, o significado que lhe for atribuído pela legislação desse Estado relativa aos impostos que são objecto desta Convenção.

Artigo 4.º

Residente

1 -Para efeitos desta Convenção, a expressão «residente de um Estado Contratante» significa qualquer pessoa que, por virtude da legislação desse Estado, está aí sujeita a imposto, devido ao seu domicílio, à sua residência, ao local de direcção ou a qualquer outro critério de natureza similar. Todavia, esta expressão não inclui qualquer pessoa que está sujeita a imposto nesse Estado apenas relativamente ao rendimento de fontes localizadas nesse Estado.
2 -Quando, por virtude do disposto no n.º 1, uma pessoa singular for residente de ambos os Estados Contratantes, a situação será resolvida como segue:
1. a)Será considerada residente do Estado em que tenha uma habitação permanente à sua disposição. Se tiver uma habitação permanente à sua disposição em ambos os Estados, será considerada residente do Estado com o qual sejam mais estreitas as suas relações pessoais e económicas (centro de interesses vitais);
2. b)Se o Estado em que tem o centro de interesses vitais não puder ser determinado, ou se não tiver uma habitação permanente à sua disposição em nenhum dos Estados, será considerada residente do Estado Contratante em que permaneça habitualmente;
3. c)Se permanecer habitualmente em ambos os Estados, ou se não permanecer habitualmente em nenhum deles, será considerada residente do Estado de que for nacional;
4. d)Se for nacional de ambos os Estados, ou se não for nacional de nenhum deles, as autoridades competentes de ambos os Estados resolverão o caso de comum acordo.
3 -Quando, por virtude do disposto no n.º 1, uma pessoa, que não seja uma pessoa singular, for residente de ambos os Estados Contratantes, será considerada residente do Estado em que estiver situada a sua direcção efectiva.

Artigo 5.º

Estabelecimento estável

1 -Para efeitos desta Convenção, a expressão «estabelecimento estável» significa uma instalação fixa através da qual a empresa exerça toda ou parte da sua actividade.
2 -A expressão «estabelecimento estável» compreende, nomeadamente:
1. a)Um local de direcção;
2. b)Uma sucursal;
3. c)Um escritório;
4. d)Uma fábrica;
5. e)Uma oficina;
6. f)Uma mina, um poço de petróleo ou gás, uma pedreira ou qualquer local de extracção de recursos naturais.
3 -Um local ou um estaleiro de construção, de instalação ou de montagem ou as actividades de supervisão com eles conexas só constituem um estabelecimento estável se a sua duração exceder 12 meses.
4 -Não obstante as disposições anteriores deste artigo, a expressão «estabelecimento estável» não compreende:
1. a)As instalações utilizadas unicamente para armazenar, expor ou entregar bens ou mercadorias pertencentes à empresa;
2. b)Um depósito de bens ou de mercadorias pertencentes à empresa mantido unicamente para os armazenar, expor ou entregar;
3. c)Um depósito de bens ou de mercadorias pertencentes à empresa mantido unicamente para serem transformados por outra empresa;
4. d)Uma instalação fixa mantida unicamente para comprar bens ou mercadorias ou reunir informações para a empresa;
5. e)Uma instalação fixa mantida unicamente para exercer para a empresa qualquer outra actividade de carácter preparatório ou auxiliar;
6. f)Uma instalação fixa mantida unicamente para o exercício de qualquer combinação das actividades referidas nas alíneas a) a e), desde que a actividade de conjunto da instalação fixa resultante desta combinação seja de carácter preparatório ou auxiliar.
5 -Não obstante o disposto nos n.os 1 e 2, quando uma pessoa - que não seja um agente independente, a que é aplicável o n.º 7 - actue por conta de uma empresa e tenha e habitualmente exerça num Estado Contratante poderes para concluir contratos em nome da empresa, será considerado que esta empresa tem um estabelecimento estável nesse Estado relativamente a qualquer actividade que essa pessoa exerça para a empresa, a não ser que as actividades de tal pessoa se limitem às indicadas no n.º 4, as quais, se fossem exercidas através de uma instalação fixa, não permitiriam considerar esta instalação fixa como um estabelecimento estável, de acordo com as disposições desse número.
6 -Com ressalva do disposto nos n.os 4, 7 e 8 deste artigo, quando uma empresa de um Estado Contratante exercer uma actividade de carácter permanente que consista na prestação de serviços, incluindo serviços de consultoria ou de gestão, no outro Estado Contratante, através dos seus próprios empregados ou de outro pessoal contratado pela empresa para esse efeito, considera-se que a empresa tem um estabelecimento estável nesse outro Estado, mas apenas se as actividades dessa natureza aí se mantiverem durante um período ou períodos que excedam, no total, 12 meses num período de 15 meses.
7 -Não se considera que uma empresa tem um estabelecimento estável num Estado Contratante pelo simples facto de exercer a sua actividade nesse Estado por intermédio de um corretor, de um comissário-geral ou de qualquer outro agente independente, desde que essas pessoas actuem no âmbito normal da sua actividade.
8 -O facto de uma sociedade residente de um Estado Contratante controlar ou ser controlada por uma sociedade residente do outro Estado Contratante, ou que exerce a sua actividade nesse outro Estado (quer seja através de um estabelecimento estável quer de outro modo), não é, por si, bastante para fazer de qualquer dessas sociedades estabelecimento estável da outra.

Artigo 6.º

Rendimentos dos bens imobiliários

1 -Os rendimentos que um residente de um Estado Contratante aufira de bens imobiliários (incluídos os rendimentos das explorações agrícolas ou florestais) situados no outro Estado Contratante podem ser tributados nesse outro Estado.
2 -A expressão «bens imobiliários» terá o significado que lhe for atribuído pelo direito do Estado Contratante em que tais bens estiverem situados. A expressão compreende sempre os acessórios, o gado e o equipamento das explorações agrícolas e florestais, os direitos a que se apliquem as disposições do direito privado relativas à propriedade de bens imóveis, o usufruto de bens imobiliários e os direitos a retribuições variáveis ou fixas pela exploração ou pela concessão da exploração de jazigos minerais, fontes e outros recursos naturais. Os navios e aeronaves não são considerados bens imobiliários.
3 -A disposição do n.º 1 aplica-se aos rendimentos derivados da utilização directa, do arrendamento ou de qualquer outra forma de utilização dos bens imobiliários.
4 -O disposto nos n.os 1 e 3 aplica-se igualmente aos rendimentos provenientes de bens imobiliários de uma empresa e aos rendimentos dos bens imobiliários utilizados para o exercício de profissões independentes.
5 -As disposições anteriores aplicam-se igualmente aos rendimentos provenientes de bens mobiliários que, de acordo com o direito fiscal do Estado Contratante em que tais bens estiverem situados, sejam assimilados aos rendimentos derivados dos bens imobiliários.

Artigo 7.º

Lucros das empresas

1 -Os lucros de uma empresa de um Estado Contratante só podem ser tributados nesse Estado, a não ser que a empresa exerça a sua actividade no outro Estado Contratante, por meio de um estabelecimento estável aí situado. Se a empresa exercer a sua actividade deste modo, os seus lucros podem ser tributados no outro Estado, mas unicamente na medida em que forem imputáveis a esse estabelecimento estável.
2 -Com ressalva do disposto no n.º 3, quando uma empresa de um Estado Contratante exercer a sua actividade no outro Estado Contratante por meio de um estabelecimento estável aí situado, serão imputados, em cada Estado Contratante, a esse estabelecimento estável os lucros que este obteria se fosse uma empresa distinta e separada que exercesse as mesmas actividades ou actividades similares, nas mesmas condições ou em condições similares, e tratasse com absoluta independência com a empresa de que é estabelecimento estável.
3 -Na determinação do lucro de um estabelecimento estável é permitido deduzir as despesas que tiverem sido feitas para a realização dos fins prosseguidos por esse estabelecimento estável, incluindo as despesas de direcção e as despesas gerais de administração efectuadas com o fim referido quer no Estado em que esse estabelecimento estável estiver situado quer fora dele.
4 -Se for usual num Estado Contratante determinar os lucros imputáveis a um estabelecimento estável com base numa repartição dos lucros totais da empresa entre as suas diversas partes, a disposição do n.º 2 deste artigo não impedirá esse Estado Contratante de determinar os lucros tributáveis de acordo com a repartição usual; o método de repartição adoptado deve, no entanto, conduzir a um resultado conforme os princípios enunciados neste artigo.
5 -Nenhum lucro será imputado a um estabelecimento estável pelo facto da simples compra de bens ou de mercadorias por esse estabelecimento estável para a empresa.
6 -Para efeitos dos números precedentes, os lucros a imputar ao estabelecimento estável serão calculados, em cada ano, segundo o mesmo método, a não ser que existam motivos válidos e suficientes para proceder de forma diferente.
7 -Quando os lucros compreendam elementos do rendimento especialmente tratados noutros artigos desta Convenção, as respectivas disposições não serão afectadas pelas deste artigo.

Artigo 8.º

Navegação marítima e aérea

1 -Os lucros provenientes da exploração de navios ou aeronaves no tráfego internacional só podem ser tributados no Estado Contratante em que estiver situada a direcção efectiva da empresa.
2 -Se a direcção efectiva de uma empresa de navegação marítima se situar a bordo de um navio, a direcção efectiva considera-se situada no Estado Contratante em que se encontra o porto onde esse navio estiver registado, ou, na falta de porto de registo, no Estado Contratante de que é residente a pessoa que explora o navio.
3 -O disposto no n.º 1 é aplicável igualmente aos lucros provenientes da participação num pool, numa exploração em comum ou num organismo internacional de exploração.

Artigo 9.º

Empresas associadas

1 -Quando:
1. a)Uma empresa de um Estado Contratante participar, directa ou indirectamente, na direcção, no controlo ou no capital de uma empresa do outro Estado Contratante; ou
2. b)As mesmas pessoas participarem, directa ou indirectamente, na direcção, no controlo ou no capital de uma empresa de um Estado Contratante e de uma empresa do outro Estado Contratante, e,
em ambos os casos, as duas empresas, nas suas relações comerciais ou financeiras, estiverem ligadas por condições aceites ou impostas que difiram das que seriam estabelecidas entre empresas independentes, os lucros que, se não existissem essas condições, teriam sido obtidos por uma das empresas, mas não o foram por causa dessas condições, podem ser incluídos nos lucros dessa empresa e, consequentemente, tributados.
2 -Quando um Estado Contratante incluir nos lucros de uma empresa deste Estado - e tributar nessa conformidade - os lucros pelos quais uma empresa do outro Estado Contratante foi tributada neste outro Estado, e os lucros incluídos deste modo constituírem lucros que teriam sido obtidos pela empresa do primeiro Estado, se as condições acordadas entre as duas empresas tivessem sido as condições que teriam sido estabelecidas entre empresas independentes, o outro Estado procederá ao ajustamento adequado do montante do imposto aí cobrado sobre os lucros referidos, se este outro Estado considerar o ajustamento justificado. Na determinação deste ajustamento serão tomadas em consideração as outras disposições desta Convenção e as autoridades competentes dos Estados Contratantes consultar-se-ão, se necessário.

Artigo 10.º

Dividendos

1 -Os dividendos pagos por uma sociedade residente de um Estado Contratante a um residente do outro Estado Contratante podem ser tributados nesse outro Estado.
2 -Esses dividendos podem, no entanto, ser igualmente tributados no Estado Contratante de que é residente a sociedade que paga os dividendos e de acordo com a legislação desse Estado, mas, se a pessoa que recebe os dividendos for o seu beneficiário efectivo, o imposto assim estabelecido não poderá exceder 15% do montante bruto dos dividendos.
Este número não afecta a tributação da sociedade pelos lucros dos quais os dividendos são pagos.
3 -Não obstante o disposto no n.º 2, se o beneficiário efectivo for uma sociedade que, durante um período ininterrupto de dois anos anteriormente ao pagamento dos dividendos, detenha directamente pelo menos 25% do capital social da sociedade que paga os dividendos, o imposto assim estabelecido não poderá exceder 10% do montante bruto dos dividendos pagos depois de 31 de Dezembro de 1996.
4 -O termo «dividendos», usado neste artigo, significa os rendimentos provenientes de acções, acções ou bónus de fruição, partes de minas, partes de fundador ou outros direitos, com excepção dos créditos, que permitam participar nos lucros, assim como os rendimentos derivados de outras partes sociais sujeitos ao mesmo regime fiscal que os rendimentos de acções pela legislação do Estado de que é residente a sociedade que os distribui. O termo «dividendos» inclui também os rendimentos derivados de associação em participação.
5 -O disposto nos n.os 1 e 2 não é aplicável se o beneficiário efectivo dos dividendos, residente de um Estado Contratante, exercer no outro Estado Contratante de que é residente a sociedade que paga os dividendos uma actividade industrial ou comercial por meio de um estabelecimento estável aí situado ou exercer nesse outro Estado uma profissão independente por meio de uma instalação fixa aí situada e a participação relativamente à qual os dividendos são pagos estiver efectivamente ligada a esse estabelecimento estável ou a essa instalação fixa. Neste caso, são aplicáveis as disposições do artigo 7.º ou do artigo 14.º, consoante o caso.
6 -Quando uma sociedade residente de um Estado Contratante obtiver lucros ou rendimentos provenientes do outro Estado Contratante, este outro Estado não poderá exigir nenhum imposto sobre os dividendos pagos pela sociedade, excepto na medida em que esses dividendos forem pagos a um residente desse outro Estado ou na medida em que a participação relativamente à qual os dividendos são pagos estiver efectivamente ligada a um estabelecimento estável ou a uma instalação fixa situados nesse outro Estado, nem sujeitar os lucros não distribuídos da sociedade a um imposto sobre os lucros não distribuídos, mesmo que os dividendos pagos ou os lucros não distribuídos consistam, total ou parcialmente, em lucros ou rendimentos provenientes desse outro Estado.

Artigo 11.º

Juros

1 -Os juros provenientes de um Estado Contratante e pagos a um residente do outro Estado Contratante podem ser tributados nesse outro Estado.
2 -No entanto, esses juros podem ser igualmente tributados no Estado Contratante de que provêm e de acordo com a legislação desse Estado, mas, se a pessoa que recebe os juros for o seu beneficiário efectivo, o imposto assim estabelecido não poderá exceder 10% do montante bruto dos juros.
3 -Não obstante o disposto no n.º 2, os juros provenientes de um dos Estados Contratantes serão isentos de imposto nesse Estado:
1. a)Se o devedor dos juros for o Governo do dito Estado ou uma sua autarquia local; ou
2. b)Se os juros forem pagos ao Governo do outro Estado Contratante ou a uma sua autarquia local ou a uma instituição ou organismo (incluídas as instituições financeiras) por virtude de financiamentos por eles concedidos no âmbito de acordos concluídos entre os Governos dos Estados Contratantes; ou
3. c)Relativamente a empréstimos ou a créditos concedidos:
  1. i)No caso da República Checa, (ver documento original); e
  2. ii)No caso de Portugal, Caixa Geral de Depósitos, Banco Nacionl Ultramarino (BNU), Banco Fomento exterior (BFE), Banco Borges & Irmõ e ICEP - Investimentos, Comércio e Turismo de Portugal.
4 -O termo «juros» usado neste artigo significa os rendimentos de créditos de qualquer natureza, com ou sem garantia hipotecária e com direito ou não a participar nos lucros do devedor, nomeadamente os rendimentos da dívida pública e de obrigações, incluindo prémios atinentes a essa dívida ou títulos. Para efeitos deste artigo, não se consideram juros as penalizações por pagamento tardio.
5 -O disposto nos n.os 1, 2 e 3 não é aplicável se o beneficiário efectivo dos juros, residente de um Estado Contratante, exercer no outro Estado Contratante de que provêm os juros uma actividade industrial ou comercial por meio de um estabelecimento estável aí situado ou excercer nesse outro Estado uma profissão independente por meio de uma instalação fixa aí situada e o crédito relativamente ao qual os juros são pagos estiver efectivamente ligado a esse estabelecimento estável ou a essa instalação fixa. Neste caso, são aplicáveis as disposições do artigo 7.º ou do artigo 14.º, consoante o caso.
6 -Os juros consideram-se provenientes de um Estado Contratante quando o devedor for esse próprio Estado, uma sua subdivisão política ou administrativa, uma sua autarquia local ou um residente desse Estado. Todavia, quando o devedor dos juros, seja ou não residente de um Estado Contratante, tiver num Estado Contratante um estabelecimento estável ou numa instalação fixa em relação com os quais haja sido contraída a obrigação pela qual os juros são pagos e esse estabelecimento estável ou essa instalação fixa suporte o pagamento desses juros, tais juros são considerados provenientes do Estado Contratante em que o estabelecimento estável ou a instalação fixa estiver situada.
7 -Quando, devido a relações especiais existentes entre o devedor e o beneficiário efectivo ou entre ambos e qualquer outra pessoa, o montante dos juros pagos, tendo em conta o crédito pelo qual são pagos, exceder o montante que seria acordado entre o devedor e o beneficiário efectivo na ausência de tais relações, as disposições deste artigo são aplicáveis apenas a este último montante. Neste caso, o excesso pode continuar a ser tributado de acordo com a legislação de cada Estado Contratante, tendo em conta as outras disposições desta Convenção.

Artigo 12.º

Royalties

1 -As royalties provenientes de um Estado Contratante e pagas a um residente do outro Estado Contratante podem ser tributadas nesse outro Estado.
2 -Todavia, essas royalties podem ser igualmente tributadas no Estado Contratante de que provêm e de acordo com a legislação desse Estado, mas, se a pessoa que receber as royalties for o seu beneficiário efectivo, o imposto assim estabelecido não poderá exceder 10% do montante bruto das royalties.
3 -O termo «royalties» usado neste artigo significa as retribuições de qualquer natureza pagas pelo uso ou pela concessão do uso de um direito de autor sobre uma obra literária, artística ou científica, incluindo os filmes cinematográficos, bem como os filmes ou gravações para transmissão pela rádio ou televisão, de uma patente, de uma marca de fabrico ou de comércio, de um desenho ou de um modelo, de um plano, de uma fórmula ou de um processo secretos, bem como pelo uso ou pela concessão do uso de um equipamento industrial, comercial ou científico e por informações respeitantes a uma experiência adquirida no sector industrial, comercial ou científico.
4 -O disposto nos n.os 1 e 2 não é aplicável se o beneficiário efectivo das royalties, residente de um Estado Contratante, exercer no outro Estado Contratante de que provêm as royalties uma actividade industrial ou comercial por meio de um estabelecimento estável aí situado ou exercer nesse outro Estado uma profissão independente por meio de uma instalação fixa aí situada e o direito ou bem relativamente ao qual as royalties são pagas estiver efectivamente ligado a esse estabelecimento estável ou a essa instalação fixa. Neste caso, são aplicáveis as disposições do artigo 7.º ou do artigo 14.º, consoante o caso.
5 -As royalties consideram-se provenientes de um Estado Contratante quando o devedor for esse próprio Estado, uma sua subdivisão política ou administrativa, uma sua autarquia local ou um residente desse Estado. Todavia, quando o devedor das royalties, seja ou não residente de um Estado Contratante, tiver num Estado Contratante um estabelecimento estável ou uma instalação fixa em relação com os quais haja sido contraída a obrigação que dá origem ao pagamento das royalties e esse estabelecimento estável ou essa instalação fixa suportem o pagamento dessas royalties, tais royalties são consideradas provenientes do Estado Contratante em que o estabelecimento estável ou a instalação fixa estiverem situados.
6 -Quando, devido a relações especiais existentes entre o devedor e o beneficiário efectivo das royalties, ou entre ambos e qualquer outra pessoa, o montante das royalties, tendo em conta o uso, o direito ou as informações pelos quais são pagas, exceder o montante que seria acordado entre o devedor e o beneficiário efectivo, na ausência de tais relações, as disposições deste artigo são aplicáveis apenas a este último montante. Neste caso, o excesso pode continuar a ser tributado de acordo com a legislação de cada Estado Contratante, tendo em conta as outras disposições desta Convenção.

Artigo 13.º

Mais-valias

1 -Os ganhos que um residente de um Estado Contratante aufira da alienação de bens imobiliários, conforme são definidos no artigo 6.º, situados no outro Estado Contratante podem ser tributados nesse outro Estado.
2 -Os ganhos provenientes da alienação de bens mobiliários que façam parte do activo de um estabelecimento estável que uma empresa de um Estado Contratante tenha no outro Estado Contratante, ou de bens mobiliários afectos a uma instalação fixa de que um residente de um Estado Contratante disponha no outro Estado Contratante para o exercício de uma profissão independente, incluindo os ganhos provenientes da alienação desse estabelecimento estável, isolado ou com o conjunto da empresa, ou dessa instalação fixa, podem ser tributados nesse outro Estado.
3 -Os ganhos provenientes da alienação de navios ou aeronaves utilizados no tráfego internacional, ou de bens mobiliários afectos à exploração desses navios ou aeronaves, só podem ser tributados no Estado Contratante em que estiver situada a direcção efectiva da empresa.
4 -Os ganhos provenientes da alienação de quaisquer outros bens diferentes dos mencionados nos n.os 1, 2 e 3 deste artigo só podem ser tributados no Estado Contratante de que o alienante é residente.

Artigo 14.º

Profissões independentes

1 -Os rendimentos obtidos por um residente de um Estado Contratante pelo exercício de uma profissão liberal ou de outras actividades de carácter independente só podem ser tributados nesse Estado, a não ser que esse residente disponha, de forma habitual, no outro Estado Contratante, de uma instalação fixa para o exercício das suas actividades. Se dispuser de uma instalação fixa, os rendimentos podem ser tributados no outro Estado Contratante, mas unicamente na medida em que sejam imputáveis a essa instalação fixa.
2 -A expressão «profissões liberais» abrange em especial as actividades independentes de carácter científico, literário, artístico, educativo ou pedagógico, bem como as actividades independentes de médicos, advogados, engenheiros, arquitectos, dentistas e contabilistas.

Artigo 15.º

Profissões dependentes

1 -Com ressalva do disposto nos artigo 16.º, 18.º, 19.º, 20.º e 21.º, os salários, ordenados e remunerações similares obtidos de um emprego por um residente de um Estado Contratante só podem ser tributados nesse Estado, a não ser que o emprego seja exercido no outro Estado Contratante. Se o emprego for aí exercido, as remunerações correspondentes podem ser tributadas nesse outro Estado.
2 -Não obstante o disposto no n.º 1, as remunerações obtidas por um residente de um Estado Contratante de um emprego exercido no outro Estado Contratante só podem ser tributadas no Estado primeiramente mencionado se:
1. a)O beneficiário permanecer no outro Estado durante um período ou períodos que não excedam, no total, 183 dias em qualquer período de 12 meses; e
2. b)As remunerações forem pagas por uma entidade patronal ou em nome de uma entidade patronal que não seja residente do outro Estado; e
3. c)As remunerações não forem suportadas por um estabelecimento estável ou por uma instalação fixa que a entidade patronal tenha no outro Estado.
3 -Não obstante as disposições anteriores deste artigo, as remunerações de um emprego exercido a bordo de um navio ou de uma aeronave explorados no tráfego internacional podem ser tributadas no Estado Contratante em que estiver situada a direcção efectiva da empresa.

Artigo 16.º

Percentagens de membros de conselhos

As percentagens, senhas de presença e remunerações similares obtidas por um residente de um Estado Contratante na qualidade de membro do conselho de administração ou de um órgão análogo de uma sociedade residente do outro Estado Contratante podem ser tributadas nesse outro Estado.

Artigo 17.º

Artistas e desportistas

1 -Não obstante o disposto nos artigos 14.º e 15.º, os rendimentos obtidos por um residente de um Estado Contratante na qualidade de profissional de espectáculos, tal como artista de teatro, cinema, rádio ou televisão, ou músico, bem como de desportista, provenientes das suas actividades pessoais, exercidas, nessa qualidade, no outro Estado Contratante, podem ser tributados nesse outro Estado.
2 -Não obstante o disposto nos artigos 7.º, 14.º e 15.º, os rendimentos da actividade exercida pessoalmente pelos profissionais de espectáculos ou desportistas, nessa qualidade, atribuídos a uma outra pessoa podem ser tributados no Estado Contratante em que são exercidas essas actividades dos profissionais de espectáculos ou dos desportistas.
3 -Não obstante o disposto nos n.os 1 e 2 deste artigo, os rendimentos mencionados neste artigo serão isentos de imposto no Estado Contratante onde é exercida a actividade do profissional de espectáculo ou do desportista se essas actividades forem financiadas principalmente através de fundos públicos desse Estado Contratante ou do outro Estado ou se essas actividades forem exercidas ao abrigo de um acordo cultural entre os Estados Contratantes.

Artigo 18.º

Pensões

Com ressalva do disposto no n.º 2 do artigo 19.º, as pensões e remunerações similares pagas a um residente de um Estado Contratante em consequência de um emprego anterior só podem ser tributadas nesse Estado.

Artigo 19.º

Remunerações públicas

1 -a) As remunerações, excluindo as pensões, pagas por um Estado Contratante ou por uma das suas subdivisões políticas ou administrativas ou autarquias locais a uma pessoa singular em consequência de serviços prestados a esse Estado ou a essa subdivisão ou autarquia só podem ser tributadas nesse Estado.
1. b)Estas remunerações só podem, contudo, ser tributadas no outro Estado Contratante se os serviços forem prestados neste Estado e se a pessoa singular for um residente deste Estado:
  1. i)Sendo seu nacional; ou
  2. ii)Que não se tornou seu residente unicamente para o efeito de prestar os ditos serviços.
2 -a) As pensões pagas por um Estado Contratante ou por uma das suas subdivisões políticas ou administrativas ou autarquias locais, quer directamente quer através de fundos por elas constituídos, a uma pessoa singular em consequência de serviços prestados a esse Estado ou a essa subdivisão ou autarquia só podem ser tributadas nesse Estado.
1. b)Estas pensões só podem, contudo, ser tributadas no outro Estado Contratante se a pessoa singular for um residente e um nacional desse Estado.
3 -O disposto nos artigos 15.º, 16.º e 18.º aplica-se às remunerações e pensões pagas em consequência de serviços prestados em relação com uma actividade comercial ou industrial exercida por um Estado Contratante ou por uma das suas subdivisões políticas ou administrativas ou autarquias locais.

Artigo 20.º

Estudantes

As importâncias que um estudante ou um estagiário que é ou foi imediatamente antes residente de um Estado Contratante e que permanece no outro Estado Contratante com o único fim de aí prosseguir os seus estudos ou a sua formação profissional recebe para fazer face às despesas com a sua manutenção, estudos ou formação profissional não são tributadas nesse outro Estado, desde que provenham de fontes situadas fora dele.

Artigo 21.º

Professores e investigadores

As remunerações obtidas em consequência de ensino ou de investigação científica por uma pessoa que é, ou foi, imediatamente antes de se deslocar a um Estado Contratante, residente do outro Estado Contratante e que permaneça no primeiro Estado durante um período não excedente a dois anos com o propósito de efectuar investigação científica ou de ensinar numa universidade, colégio, estabelecimento de ensino superior ou instituto de investigação ou outro estabelecimento similar reconhecido pelo Governo do outro Estado Contratante ficam isentas de imposto no primeiro Estado, desde que as referidas entidades não tenham fins lucrativos e os rendimentos provenham de fontes externas.

Artigo 22.º

Outros rendimentos

1 -Os elementos do rendimento de um residente de um Estado Contratante, e donde quer que provenham, não tratados nos artigos anteriores desta Convenção só podem ser tributados nesse Estado.
2 -O disposto no n.º 1 não se aplica ao rendimento que não seja rendimento de bens imobiliários, como são definidos no n.º 2 do artigo 6.º, auferido por um residente de um Estado Contratante que exerce no outro Estado Contratante uma actividade industrial ou comercial por meio de um estabelecimento estável nele situado ou que exerce nesse outro Estado uma profissão independente através de uma instalação fixa nele situada, estando o direito ou a propriedade em relação aos quais o rendimento é pago efectivamente ligados a esse estabelecimento estável ou instalação fixa. Neste caso, são aplicáveis as disposições do artigo 7.º ou do artigo 14.º, consoante o caso.

Artigo 23.º

Eliminação da dupla tributação

A dupla tributação será eliminada do seguinte modo:

a)Na República Portuguesa:
1. i)Quando um residente de Portugal obtiver rendimentos que, de acordo com o disposto nesta Convenção, possam ser tributados na República Checa, Portugal deduzirá do imposto sobre o rendimento desse residente uma importância igual ao imposto sobre o rendimento pago na República Checa. A importância deduzida não poderá, contudo, exceder a fracção do imposto sobre o rendimento, calculado antes da dedução, correspondente aos rendimentos que podem ser tributados na República Checa;
2. ii)Quando, de acordo com o disposto nesta Convenção, o rendimento obtido por um residente de Portugal for isento de imposto neste Estado, Portugal poderá, não obstante, ao calcular o quantitativo do imposto sobre o resto dos rendimentos desse residente, ter em conta o rendimento isento;
b)Na República Checa:
1. i)A República Checa, ao tributar os seus residentes, pode incluir na base tributável sobre a qual esses impostos vão incidir os elementos do rendimento que, de acordo com o disposto nesta Convenção, também podem ser tributados em Portugal, mas deduzirá do montante do imposto calculado nessa base uma importância igual ao imposto pago em Portugal. A importância deduzida não poderá, contudo, exceder a fracção do imposto checo, calculado antes da dedução, correspondente aos rendimentos que, de acordo com as disposições desta Convenção, podem ser tributados em Portugal;
2. ii)Quando, de acordo com o disposto nesta Convenção ou na legislação interna, o rendimento obtido por um residente da República Checa for isento de imposto neste Estado, a República Checa poderá, não obstante, ao calcular o quantitativo do imposto sobre o resto dos rendimentos desse residente, ter em conta o rendimento isento.

Artigo 24.º

Não discriminação

1 -Os nacionais de um Estado Contratante não ficarão sujeitos no outro Estado Contratante a nenhuma tributação ou obrigação com ela conexa diferentes ou mais gravosas do que aquelas a que estejam ou possam estar sujeitos os nacionais desse outro Estado que se encontrem na mesma situação, em especial no que se refere à residência. Não obstante o estabelecido no artigo 1.º, esta disposição aplicar-se-á também às pessoas que não são residentes de um ou de ambos os Estados Contratantes.
2 -A tributação de um estabelecimento estável que uma empresa de um Estado Contratante tenha no outro Estado Contratante não será nesse outro Estado menos favorável do que a das empresas desse outro Estado que exerçam as mesmas actividades. Esta disposição não poderá ser interpretada no sentido de obrigar um Estado Contratante a conceder aos residentes do outro Estado Contratante as deduções pessoais, abatimentos e reduções para efeitos fiscais atribuídos em função do estado civil ou encargos familiares concedidos aos seus próprios residentes.
3 -Salvo se for aplicável o disposto no n.º 1 do artigo 9.º, no n.º 7 do artigo 11.º ou no n.º 6 do artigo 12.º, os juros, royalties ou outras importâncias pagas por uma empresa de um Estado Contratante a um residente do outro Estado Contratante serão dedutíveis, para efeitos da determinação do lucro tributável de tal empresa, como se fossem pagas a um residente do Estado primeiramente mencionado.
4 -As empresas de um Estado Contratante cujo capital, total ou parcialmente, directa ou indirectamente, seja possuído ou controlado por um ou mais residentes do outro Estado Contratante não ficarão sujeitas, no Estado primeiramente mencionado, a nenhuma tributação ou obrigação com ela conexa diferentes ou mais gravosas do que aquelas a que estejam ou possam estar sujeitas as empresas similares desse primeiro Estado.
5 -Não obstante o disposto no artigo 2.º, as disposições do presente artigo aplicar-se-ão aos impostos de qualquer natureza ou denominação.

Artigo 25.º

Procedimento amigável

1 -Quando uma pessoa considerar que as medidas tomadas por um Estado Contratante ou por ambos os Estados Contratantes conduzem ou poderão conduzir, em relação a si, a uma tributação não conforme com o disposto nesta Convenção, poderá, independentemente dos recursos estabelecidos pela legislação nacional desses Estados, submeter o seu caso à autoridade competente do Estado Contratante de que é residente ou, se o seu caso estiver compreendido no n.º 1 do artigo 24.º, à do Estado Contratante de que é nacional. O caso deverá ser apresentado dentro de três anos a contar da data da primeira comunicação da medida que der causa à tributação não conforme com o disposto na presente Convenção.
2 -Essa autoridade competente, se a reclamação se lhe afigurar fundada e não estiver em condições de lhe dar uma solução satisfatória, esforçar-se-á por resolver a questão através de acordo amigável com a autoridade competente do outro Estado Contratante, a fim de evitar a tributação não conforme com o disposto na presente Convenção. O acordo alcançado será aplicado independentemente dos prazos estabelecidos no direito interno dos Estados Contratantes.
3 -As autoridades competentes dos Estados Contratantes esforçar-se-ão por resolver, através de acordo amigável, as dificuldades ou as dúvidas a que possa dar lugar a interpretação ou aplicação da Convenção.
4 -As autoridades competentes dos Estados Contratantes poderão comunicar directamente entre si, a fim de chegarem a acordo nos termos indicados nos números anteriores. Se se afigurar que tal acordo poderá ser facilitado por trocas de impressões orais, essas trocas de impressões poderão efectuar-se no seio de uma comissão composta por representantes das autoridades competentes dos Estados Contratantes.

Artigo 26.º

Troca de informações

1 -As autoridades competentes dos Estados Contratantes trocarão entre si as informações necessárias para aplicar as disposições desta Convenção ou das leis internas dos Estados Contratantes relativas aos impostos abrangidos por esta Convenção, na medida em que a tributação nelas prevista não seja contrária a esta Convenção. A troca de informações não é restringida pelo disposto no artigo 1.º As informações obtidas por um Estado Contratante serão consideradas secretas, do mesmo modo que as informações obtidas com base na legislação interna desse Estado, e só poderão ser comunicadas às pessoas ou autoridades (incluindo tribunais e autoridades administrativas) encarregadas do lançamento ou cobrança dos impostos abrangidos por esta Convenção, ou dos procedimentos declarativos ou executivos relativos a estes impostos, ou da decisão de recursos referentes a estes impostos. Essas pessoas ou autoridades utilizarão as informações assim obtidas apenas para os fins referidos. Essas informações poderão ser utilizadas no caso de audiências públicas de tribunais ou de sentença judicial.
2 -O disposto no n.º 1 nunca poderá ser interpretado no sentido de impor a um Estado Contratante a obrigação:
1. a)De tomar medidas administrativas contrárias à sua legislação e à sua prática administrativa ou às do outro Estado Contratante;
2. b)De fornecer informações que não possam ser obtidas com base na sua legislação ou no âmbito da sua prática administrativa normal ou das do outro Estado Contratante;
3. c)De transmitir informações reveladoras de segredos comerciais, industriais ou profissionais ou processos comerciais ou informações cuja comunicação seja contrária à ordem pública.

Artigo 27.º

Agentes diplomáticos e funcionários consulares

O disposto na presente Convenção não prejudicará os privilégios fiscais de que beneficiem os agentes diplomáticos ou funcionários consulares em virtude das regras gerais do direito internacional ou de disposições de acordos especiais.

Artigo 28.º

Entrada em vigor

1 -A presente Convenção será ratificada e os instrumentos de ratificação serão trocados o mais cedo possível.
2 -A Convenção entrará em vigor após a troca dos instrumentos de ratificação e as suas disposições serão aplicáveis:
1. a)Em Portugal:
  1. i)Aos impostos devidos na fonte cujo facto gerador surja em ou depois de 1 de Janeiro do ano imediatamente seguinte ao da entrada em vigor da presente Convenção;
  2. ii)Aos demais impostos, relativamente aos rendimentos produzidos no ano fiscal com início em ou depois de 1 de Janeiro do ano imediatamente seguinte ao da entrada em vigor da presente Convenção;
2. b)Na República Checa:
  1. i)Aos impostos devidos na fonte, relativamente às importâncias auferidas em ou depois de 1 de Janeiro do ano civil imediatamente seguinte ao da entrada em vigor da Convenção;
  2. ii)Aos demais impostos sobre o rendimento, relativamente aos impostos incidentes em qualquer ano fiscal com início em ou depois de 1 de Janeiro do ano civil imediatamente seguinte ao da entrada em vigor da Convenção.

Artigo 29.º

Denúncia

A presente Convenção estará em vigor enquanto não for denunciada por um Estado Contratante. Qualquer dos Estados Contratantes pode denunciar a Convenção por via diplomática, mediante um aviso prévio mínimo de seis meses antes do fim de qualquer ano civil posterior ao período de cinco anos a contar da data da entrada em vigor da Convenção. Nesse caso, a Convenção deixará de se aplicar:

a)Em Portugal:
1. i)Aos impostos devidos na fonte cujo facto gerador surja em ou depois de 1 de Janeiro imediatamente após a data em que o período referido no aviso de denúncia expira;
2. ii)Aos demais impostos, relativamente aos rendimentos produzidos no ano fiscal com início em ou depois de 1 de Janeiro imediatamente após a data em que o período referido no aviso de denúncia espira;
b)Na República Checa:
1. i)Aos impostos devidos na fonte, relativamente às importâncias auferidas em ou depois de 1 de Janeiro do ano civil imediatamente seguinte ao do aviso de denúncia;
2. ii)Aos demais impostos sobre o rendimento, relativamente aos impostos incidentes em qualquer ano fiscal com início em ou depois de 1 de Janeiro do ano civil imediatamente seguinte ao do aviso de denúncia.
  Em testemunho do que os signatários, devidamente autorizados para o efeito, assinaram a presente Convenção.
  Feito em duplicado, em Lisboa, aos 24 dias do mês de Maio de 1994, nas línguas portuguesa, checa e inglesa, sendo os três textos autênticos. No caso de interpretação divergente, prevalecerá o texto inglês.
  Pelo Governo da República Portuguesa:
  José Manuel Durão Barroso, Ministro dos Negócios Estrangeiros.
  Pelo Governo da República Checa:
  Josef Zielniec, Ministro dos Negócios Estrangeiros.
  CONVENTION BETWEEN THE PORTUGUESE REPUBLIC AND THE CZECH REPUBLIC FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME.
  The Government of the Portuguese Republic and the Government of the Czech Republic, desiring to conclude a convention for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, have agreed as follows:
  Article 1
  Personal scope
  This Convention shall apply to persons who are residents of one or both of the Contracting States.
  Article 2
  Taxes covered
1 -This Convention shall apply to taxes on income imposed on behalf of a Contracting State or of its political or administrative subdivisions or local authorities, irrespective of 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 of income, 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 Convention shall apply are:
1. a)In the case of Portugal (hereinafter referred to as «Portuguese tax»):
  1. i)The personal income tax [imposto sobre o rendimento das pessoas singulares (IRS)];
  2. ii)The corporate income tax [imposto sobre o rendimento das pessoas colectivas (IRC)]; and
  3. iii)The local surtax on corporate income tax (derrama);
2. b)In the case of the Czech Republic (hereinafter referred to as «Czech tax»):
  1. i)The tax on income of individuals (ver documento original); and
  2. ii)The tax on income of legal persons (ver documento original).
4 -The Convention shall apply also to any identical or substantially similar taxes which are imposed after the date of signature of Convention in addition to, or in place of, the existing taxes. The competent authorities of the Contracting States shall notify each other of any substantial changes which have been made in their respective taxation laws.
Article 3
General definitions
1 -For the purposes of this Convention, unless the context otherwise requires:
1. a)The term «Portugal» means the territory of the Portuguese Republic situated in the European Continent, the archipelagoes of Azores and Madeira, the respective territorial sea and any other zone in which, in accordance with the laws of Portugal and international law, the Portuguese Republic has its jurisdiction or sovereign rights with respect to the exploration and exploitation of the natural resources of the sea bed and subsoil, and of the superjacent waters;
2. b)The term «the Czech Republic» means the territory in which the tax laws of the Czech Republic are effective;
3. c)The terms «a Contracting State» and «the other Contracting State» mean Portugal or the Czech Republic, as the context requires;
4. d)The term «person» includes an individual, a company and any other body of persons;
5. e)The term «company» means any body corporate or any entity which is treated as a body corporate for tax purposes;
6. f)The terms «enterprise of a Contracting State» and «enterprise of the other Contracting State» mean respectively an enterprise carried on by a resident of a Contracting State and an enterprise carried on by a resident of the other Contracting State;
7. g)The term «international traffic» means any transport by a ship or aircraft operated by an enterprise which has its place of effective management in a Contracting State, except when the ship or aircraft is operated solely between places in the other Contracting State;
8. h)The term «competent authority» means:
  1. i)In the case of Portugal, the Minister of Finance, the Director General of Taxation (director-geral das Contribuições e Impostos) or their authorized representative;
  2. ii)In the case of the Czech Republic, the Minister of Finance or his authorized representative;
9. i)The term «national» means:
  1. i)Any individual possessing the nationality of a Contracting State;
  2. ii)Any legal person, association or other entity deriving its status as such from the laws in force in a Contracting State.
2 -As regards the application of the Convention by a Contracting State any term not defined therein shall, unless the context otherwise requires, have the meaning which it has under the law of that State concerning the taxes to which the Convention applies.
Article 4
Resident
1 -For the purposes of this Convention, the term «resident of a Contracting State» means any person who, under the laws of that State, is liable to tax therein by reason of his domicile, residence, place of management or any other criterion of a similar nature. But this term does not include any person who is liable to tax in that State in respect only of income from sources in that State.
2 -Where by reason of the provisions of paragraph 1 an individual is a resident of both Contracting States, then his status shall be determined as follows:
1. a)He shall be deemed to be a resident of the 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 of the State with which his personal and economic relations are closer (centre of vital interest);
2. b)If the State in which he has his centre of vital interest cannot be determined, or if he has not a permanent home available to him in either State, he shall be deemed to be a resident of the State in which he has an habitual abode;
3. c)If he has an habitual abode in both States or in neither of them, he shall be deemed to be a resident of the State of which he is a national;
4. d)If he is a national of both States or of neither of them, the competent authorities of the Contracting States shall settle the questions by mutual agreement.
3 -Where by reason of the provisions of paragraph 1 a person other than an individual is a resident of both Contracting States, then it shall be deemed to be a resident of the State in which its place of effective management is situated.
Article 5
Permanent establishment
1 -For the purpose of this Convention, the term «permanent establishment» means a fixed place of business through which the business of an enterprise is wholly or partly carried on.
2 -The term «permanent establishment» includes especially:
1. a)A place of management;
2. b)A branch;
3. c)An office;
4. d)A factory;
5. e)A workshop; and
6. f)A mine, an oil or gas well, a quarry or any other place of extraction of natural resources.
3 -A building site, a construction, assembly or installation project or supervisory activities in connection therewith constitutes a permanent establishment only if it lasts more than 12 months.
4 -Notwithstanding the preceding provisions of this article, the term «permanent establishment» shall be deemed not to include:
1. a)The use of facilities solely for the purpose of storage, display or delivery of goods or merchandise belonging to the enterprise;
2. b)The maintenance of a stock of goods or merchandise belonging to the enterprise solely for the purpose of storage, display or delivery;
3. c)The maintenance of a stock of goods or merchandise belonging to the enterprise solely for the purpose of processing by another enterprise;
4. d)The maintenance of a fixed place of business solely for the purpose of purchasing goods or merchandise or of collecting information, for the enterprise;
5. e)The maintenance of a fixed place of business solely for the purpose of carrying on, for the enterprise, any other activity of a preparatory or auxiliary character;
6. f)The maintenance of a fixed place of business solely for any combination of activities mentioned in sub-paragraphs a) to e), provided that the overall activity of the fixed place of business resulting from this combination is of preparatory or auxiliary character.
5 -Notwithstanding the provisions of paragraphs 1 and 2, where a person - other than an agent of an independent status to whom paragraph 7 applies - is acting on behalf of an enterprise and has, and habitually exercises, in a Contracting State an authority to conclude contracts in the name of the enterprise, that enterprise shall be deemed to have a permanent establishment in that State in respect of any activities which that person undertakes for the enterprise; unless the activities of such person are limited to those mentioned in paragraph 4 which, if exercised through a fixed place of business, would not make this fixed place of business a permanent establishment under the provisions of that paragraph.
6 -Subject to the provisions of paragraphs 4, 7 and 8 of this article, an enterprise of a Contracting State which exercises an activity of a permanent nature, consisting in supplying services, including consultancy or managerial services, in the other Contracting State, through its own employees or other personnel engaged by the enterprise for such purpose, shall be deemed to have a permanent establishment in that other State, but only where activities of that nature continue there for a period or periods exceeding in the aggregate 12 months in a 15 months period.
7 -An enterprise shall not be deemed to have a permanent establishment in a Contracting State merely because it carries on business in that State through a broker, general commission agent or any other agent of an independent status, provided that such persons are acting in the ordinary course of their business.
8 -The fact that a company which is a resident of a Contracting State controls or is controlled by a company which is a resident of the other Contracting State, or which carries on business in that other State (whether through a permanent establishment or otherwise), shall not of itself constitute either company a permanent establishment of the other.
Article 6
Income from immovable property
1 -Income derived by a resident of a Contracting State from immovable property (including income from agriculture or forestry) situated in the other Contracting State may be taxed in that other State.
2 -The term «immovable property» shall have the meaning which it has under the law of 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 of general law respecting landed property apply, usufruct of immovable property and rights to variable or fixed payments as consideration for the working of, or the right to work, mineral deposits, sources and other natural resources; ships and aircraft shall not be regarded as immovable property.
3 -The provisions of paragraph 1 shall apply to income derived from the direct use, letting, or use in any other form of immovable property.
4 -The provisions of paragraphs 1 and 3 shall also apply to the income from immovable property of an enterprise and to income from immovable property used for the performance of independent personal services.
5 -The foregoing provisions shall also apply to income from movable property which, under the taxation law of the Contracting State in which the property in question is situated, is assimilated to income from immovable property.
Article 7
Business profits
1 -The profits of an enterprise of 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 of the enterprise may be taxed in the other State but only so much of them as is attributable to that permanent establishment.
2 -Subject to the provisions of paragraph 3, where an enterprise of 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 ti 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 of which it is a permanent establishment.
3 -In determining the profits of a permanent establishment, there shall be allowed as deductions expenses which are incurred for the purposes of the permanent establishment, including executive and general administrative expenses so incurred, whether in the State in which the permanent establishment is situated or elsewhere.
4 -Insofar as it has been customary in a Contracting State to determine the profits to be attributed to a permanent establishment on the basis of an apportionment of the total profits of the enterprise to its various parts, nothing in paragraph 2 of this article shall preclude that Contracting State from determining the profits to be taxed by such an apportionment as may be customary; the method of apportionment adopted shall, however, be such that the result shall be in accordance with the principles contained in this article.
5 -No profits shall be attributed to a permanent establishment by reason of the mere purchase by that permanent establishment of goods or merchandise for the enterprise.
6 -For the purposes of 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 -Where profits include items of income which are dealt with separately in other articles of this Convention, then the provisions of those articles shall not be affected by the provisions of this article.
Article 8
Shipping and air transport
1 -Profits from the operation of ships or aircraft in international traffic shall be taxable only in the Contracting State in which the place of effective management of the enterprise is situated.
2 -If the place of effective management of a shipping enterprise is aboard a ship, then it shall be deemed to be situated in the Contracting State in which the home harbour of the ship is situated, or, if there is no such home harbour, in the Contracting State of which the operator of the ship is a resident.
3 -The provisions of paragraph 1 shall also apply to profits from the participation in a pool, a joint business or an international operating agency.
Article 9
Associated enterprises
1 -Where:
1. a)An enterprise of a Contracting State participates directly or indirectly in the management, control or capital of an enterprise of the other Contracting State; or
2. b)The same persons participate directly or indirectly in the management, control or capital of an enterprise of a Contracting State and an enterprise of 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 of the enterprises, but, by reason of those conditions, have not so accrued, may be included in the profits of that enterprises and taxed accordingly.
2 -Where a Contracting State includes in the profits of an enterprise of that State - and taxes accordingly - profits on which an enterprise of 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 the enterprise of 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 of the tax charged therein on those profits where that other State considers the adjustment justified. In determining such adjustment, due regard shall be had to the other provisions of this Convention and the competent authorities of the Contracting States shall if necessary consult each other.
Article 10
Dividends
1 -Dividends paid by a company which is a resident of a Contracting State to a resident of the other Contracting State may be taxed in that other State.
2 -However, such dividends may also be taxed in the Contracting State of which the company paying the dividens is a resident and according to the laws of that State, but if the recipient is the beneficial owner of the dividends the tax so charged shall not exceed 15 per cent of the gross amount of the dividends.
This paragraph shall not affect the taxation of the company in respect of the profits out of which the dividends are paid.
3 -Notwithstanding the provisions of paragraph 2, if the beneficial owner is a company that, for an uninterrupted period of two years prior to the payment of the dividends, owns directly at least 25 per cent of the capital stock (capital social) of the company paying the dividends, the tax so charged shall not exceed with respect to dividends paid after December 31, 1996, 10 per cent of the gross amount of such dividends.
4 -The term «dividends» as used in this article means income from shares, «jouissance» shares or «jouissance» rights, mining shares, founders' shares or other rights, not being deb-claims, participating in profits, as well as income from other corporated rights which is subjected to the same taxation treatment as income from shares by the laws of the State of which the company making the distribution is a resident. The term also includes profits attributed under an arrangement for participation in profits (associação em participação).
5 -The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the dividends, being a resident of a Contracting State, carries on business in the other Contracting State of which the company paying the dividends is a resident, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the holding in respect of which the dividends are paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of article 7 or article 14, as the case may be, shall apply.
6 -Where a company which is a 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 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 the company's undistributed profits, even if the dividends paid or the undistributed profits consist wholly or partly of profits or income arising in such other 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 10 per cent of the gross amount of the interest.
3 -Notwithstanding the provisions of paragraph 2, interest arising in a Contracting State shall be exempted from tax in that State:
1. a)If the debtor of such interest is the Government of that State or a local authority thereof; or
2. b)If interest is paid to the Government of the other Contracting State or a local authority thereof or an institution or body (including a financial institution) in connection with any financing grated by them under an agreement between the Governments of the Contracting States; or
3. c)In respect of loans or credit made by:
  1. i)In the case of the Czech Republic, (ver documento original); and
  2. ii)In the case of Portugal, Caixa Geral de Depósitos, Banco Nacional Ultramarino (BNU), Banco de Fomento e Exterior (BFE), Banco Borges & Irmão and ICEP - Investimentos, Comércio e Turismo de Portugal.
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. Penalty charges for late payment shall not be regarded as interest for the purpose of this article.
5 -The provisions of paragraphs 1, 2 and 3 shall 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, though 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. In such case de provisions of article 7 or article 14, as the case may be, shall apply.
6 -Interest shall be deemed to arise in a Contracting State when the payer is that State itself, a political or administrative subdivision, a local authority or a resident of that State. Where, however, the person paying the intrest, 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 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 Convention.
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 exceed 10 per cent of the gross amount of the royalties.
3 -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 of literary, artistic or scientific work including cinematograph films and films or tapes for radio or television broadcasting, any 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.
4 -The provisions of paragraphs 1 and 2 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. In such case the provisions of article 7 or article 14, as the case may be, shall apply.
5 -Royalties shall be deemed to arise in a Contracting State where the payer is that State itself, a political or administrative 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 that permanent establishment or fixed base, then such royalties shall be deemed to arise in the State in which the permanent establishment or fixed base is situated.
6 -Where, by reason of a special relationship between the payer and the beneficial owner or between both them and some other person, the amount of the royalties paid, 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 lastmentioned 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 Convention.
Article 13
Capital gains
1 -Gains derived by a resident of a Contracting State from the alienation of immovable property referred to in article 6 and situated in the other Contracting State may be taxed in that other State.
2 -Gains from the alienation of 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 of movable property pertaining to a fixed 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 fixed base, may be taxed in that other State.
3 -Gains from the alienation of ships or aircraft operated in international traffic, or movable property pertaining to the operation of such ships or aircraft, shall be taxable only in the Contracting State in which the place of effective management of the enterprise is situated.
4 -Gains from the alienation of any property other than that referred to in paragraphs 1, 2 and 3, shall be taxable only in the Contracting State of which the alienator is a resident.
Article 14
Independent personal services
1 -Income derived by a resident of a Contracting State in respect of professional services or other activities of an independent character shall be taxable only in that State unless he has a fixed base regularly available to him in other Contracting State for the purpose of performing his activities. If he has such a fixed base, the income may be taxed in the other State but only so much of it as is attributable to that fixed base.
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, 19, 20 and 21, 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:
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; and
2. b)The remuneration is paid by, or on behalf of, an employer who is not a resident of the other State, and
3. c)The 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 derived in respect of an employment exercised aboard a ship or aircraft operated in international traffic, may be taxed in the Contracting State in which the place of effective management of the enterprise is situated.
Article 16
Directors' fees
Directors' fees and other similar payments derived by a resident of a Contracting State in his capacity as a member of the board of directors or any 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 sportsmen
1 -Notwithstanding the provisions of articles 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 a sportsman, from is 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 a sportsman in his capacity as such accrues not to the entertainer or sportsman 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 sportsman are exercised.
3 -Notwithstanding the provisions of paragraphs 1 and 2 of this article income mentioned in this article shall be exempt from tax in Contracting State in which the activity of the entertainer or athlete is exercised provided that this activity is supported for the most part out of public funds of this State or of the other State or the activity is exercised under a cultural agreement or arrangement between the Contracting States.
Article 18
Pensions
Subject to the provisions of paragraph 2 of article 19, pensions and other similar remuneration paid to a resident of a Contracting State in consideration of past employment 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 or administrative 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.
1. 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:
  1. i)Is a national of that State; or
  2. ii)Did not become a resident of that State solely for the purpose of rendering the services.
2 -a) Any pension paid by, or out of funds created by, a Contracting State or a political or administrative 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.
1. b)However, such pension shall be taxable only in the other Contracting State if the individual is a resident of, and a national of, that State.
3 -The provisions of articles 15, 16 and 18 shall apply to remuneration and pensions in respect of services rendered in connection with a business carried on by a Contracting State or a political or administrative subdivision or a local authority thereof.
Article 20
Students
Payments which a student or business apprentice 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
Professors and researches
Remuneration received for teaching or scientific research by an individual who is or was immediately before visiting a Contracting State a resident of the other Contracting State and who is present in the first State during a period not exceeding two years for the purpose of scientific research or for teaching at a university, college, establishment for higher education, research institute or other similar establishment accredited by the Government of the other Contracting State shall be exempt from tax in the first State provided that all such entities have non-profitmaking purposes and the income is derived from abroad.
Article 22
Other income
1 -Items of income of a resident of a Contracting State, wherever arising, not dealt with in the foregoing articles of this Convention shall be taxable only in that State.
2 -The provisions of paragraph 1 shall not apply to income, other than income from immovable property as defined in paragraph 2 of article 6, if the recipient of such income, being a resident of a Contracting State, carries on business in the other Contracting State through 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 income is paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of article 7 or article 14, as the case may be, shall apply.
Article 23
Elimination of double taxation
The double taxation shall be eliminated as follows:
1. a)In the Portuguese Republic:
  1. i)Where a resident of Portugal derives income which, in accordance with the provisions of this Convention may be taxed in the Czech Republic, Portugal shall allow as a deduction from the tax on the income of that resident an amount equal to the income tax paid in the Czech Republic. Such deduction shall not, however, exceed that part of the income tax as computed before the deduction is given, which is attributable to the income which may be taxed in the Czech Republic;
  2. ii)Where in accordance with any provision of the Convention income derived by a resident of Portugal is exempt from tax in this State, Portugal may nevertheless, in calculating the amount of tax on the remaining income of such resident, take into account the exempted income;
2. b)In the Czech Republic:
  1. i)The Czech Republic, when imposing taxes on its residents, may include in the tax base upon which such taxes are imposed the items of income which according to the provisions of this Convention may also be taxed in Portugal, but shall allow as a deduction from the amount of tax computed on such a base an amount equal to the tax paid in Portugal. Such deduction shall not, however, exceed that part of the Czech tax, as computed before the deduction is given, which is appropriate to the income which, in accordance with the provisions of this Convention, may be taxed in Portugal;
  2. ii)Where in accordance with any provision of the Convention or the domestic law income derived by a resident of the Czech Republic is exempt from tax in this State, the Czech Republic may nevertheless, in calculating the amount of tax on the remaining income of such resident, take into account the exempted income.
    Article 24
    Non-discrimination
1 -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, in particular with respect to residence, are or may be subjected. This provision shall, notwithstanding the provisions of article 1, also apply to persons who are not residents of one or both of the Contracting States.
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. This provision shall not 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.
3 -Except where the provisions of paragraph 1 of article 9, paragraph 7 of article 11, or paragraph 6 of article 12, apply, interest, royalties and other disbursements paid by an enterprise of a Contracting State to a resident of the other Contracting State shall, for the purpose of determining the taxable profits of such enterprise, be deductible under the same conditions as if they had been paid to a resident of the first-mentioned State.
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 first-mentioned State are or may be subjected.
5 -The provisions of this article shall, notwithstanding the provisions of article 2, apply to taxes of every kind and description.
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 Convention, he may, irrespective of the remedies provided by the domestic law of those States, present his case to the competent authority of the Contracting State of which he is a resident or, if his case comes under paragraph 1 of article 24, to that of the Contracting State of which he is a national. The case must be presented within three years from the first notification of the action resulting in taxation not in accordance with the provisions of the Convention.
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 of the other Contracting State, with a view to the avoidance of taxation which is not in accordance with the Convention. Any agreement reached shall be implemented notwithstanding any time limits in the domestic law of the Contracting States.
3 -The competent authorities of the Contracting States shall endeavour to resolve by mutual agreement any difficulties or doubts arising as to the interpretation or application of the Convention.
4 -The competent authorities of the Contracting States may communicate with each other directly for the purpose of reaching an agreement in the sense of the preceding paragraphs. When it seems advisable in order to reach agreement to have an oral exchange of opinions, such exchange may take place through a Commission consisting of representatives of the competent authorities of the Contracting States.
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 Convention or of the domestic laws of the Contracting States concerning taxes covered by the Convention insofar as the taxation thereunder is not contrary to the Convention. The exchange of information is not restricted by article 1. 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 or prosecution in respect of, or the determination of appeals in relation to, the taxes covered by the Convention. 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.
2 -In no case shall the provisions of paragraph 1 be construed so as to impose on a Contracting State the obligation:
1. a)To carry out administrative measures at variance with the laws and 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 ou 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
  Nothing in this Convention 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.
  Article 28
  Entry into force
1 -This Convention shall be ratified and the instruments of ratification shall be exchanged as soon as possible.
2 -The Convention shall enter into force upon the exchange of instruments of ratification and its provisions shall have effect:
1. a)In Portugal:
  1. i)In respect of taxes withheld at source, the fact giving rise to the appearing on or after the first day of January in the year next following the year in which this Convention enters into force;
  2. ii)In respect of other taxes as to income arising in the fiscal year beginning on or after the first day of January in the year next following the year in which this Convention enters into force;
2. b)In the Czech Republic:
  1. i)In respect of taxes withheld at source, to amounts derived on or after 1st January in the calendar year next following that in which the Convention enters into force;
  2. ii)In respect of other taxes on income, to taxes chargeable for any taxable year beginning on or after 1st January in the calendar year next following that in which the Convention enters into force.
    Article 29
    Termination
    This Convention shall remain in force until terminated by one of the Contracting States. Either Contracting State may terminate the Convention, through diplomatic channels, by giving notice of termination at least six months before the end of any calendar year following after the period of five years from the date on which the Convention enters into force. In such event the Convention shall cease to have effect:
3. a)In Portugal:
  1. i)In respect of taxes withheld at source, the fact giving rise to them appearing on or after the first day of January next following the date on which the period specified in the said notice of termination expires;
  2. ii)In respect of other taxes as to income arising in the fiscal year beginning on or after the first day of January next following the date on which the period specified in the said notice of termination expires;
4. b)In the Czech Republic:
  1. i)In respect of taxes withheld at source, to amounts derived on or after 1st January in the calendar year next following that in which the notice is given;
  2. ii)In respect of other taxes on income to taxes chargeable for any taxable year beginning on or after 1st January in the calendar year next following that in which the notice is given.
    In witness whereof the undersigned, duly authorized thereto, have signed the Convention.
    Done in duplicate at Lisbon, this 24 day of May 1994, in the Portuguese, Czech and English languages, all three texts being authentic. In case of divergent interpretation, the English text shall prevail.
    For the Government of the Portuguese Republic:
    José Manuel Durão Barroso, Minister of Foreign Affairs.
    For the Government of the Czech Republic:
    Josef Zielniec, Minister of Foreign Affairs.
    (ver texto em língua estrangeira no documento original)

Artigo 29.º

Denúncia

a)Em Portugal:
1. i)Aos impostos devidos na fonte cujo facto gerador surja em ou depois de 1 de Janeiro imediatamente após a data em que o período referido no aviso de denúncia expira;
2. ii)Aos demais impostos, relativamente aos rendimentos produzidos no ano fiscal com início em ou depois de 1 de Janeiro imediatamente após a data em que o período referido no aviso de denúncia espira;
b)Na República Checa:
1. i)Aos impostos devidos na fonte, relativamente às importâncias auferidas em ou depois de 1 de Janeiro do ano civil imediatamente seguinte ao do aviso de denúncia;
2. ii)Aos demais impostos sobre o rendimento, relativamente aos impostos incidentes em qualquer ano fiscal com início em ou depois de 1 de Janeiro do ano civil imediatamente seguinte ao do aviso de denúncia.
  Em testemunho do que os signatários, devidamente autorizados para o efeito, assinaram a presente Convenção.
  Feito em duplicado, em Lisboa, aos 24 dias do mês de Maio de 1994, nas línguas portuguesa, checa e inglesa, sendo os três textos autênticos. No caso de interpretação divergente, prevalecerá o texto inglês.
  Pelo Governo da República Portuguesa:
  José Manuel Durão Barroso, Ministro dos Negócios Estrangeiros.
  Pelo Governo da República Checa:
  Josef Zielniec, Ministro dos Negócios Estrangeiros.
  CONVENTION BETWEEN THE PORTUGUESE REPUBLIC AND THE CZECH REPUBLIC FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME.
  The Government of the Portuguese Republic and the Government of the Czech Republic, desiring to conclude a convention for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, have agreed as follows:
  Article 1
  Personal scope
  This Convention shall apply to persons who are residents of one or both of the Contracting States.
  Article 2
  Taxes covered
1 -This Convention shall apply to taxes on income imposed on behalf of a Contracting State or of its political or administrative subdivisions or local authorities, irrespective of 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 of income, 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 Convention shall apply are:
1. a)In the case of Portugal (hereinafter referred to as «Portuguese tax»):
  1. i)The personal income tax [imposto sobre o rendimento das pessoas singulares (IRS)];
  2. ii)The corporate income tax [imposto sobre o rendimento das pessoas colectivas (IRC)]; and
  3. iii)The local surtax on corporate income tax (derrama);
2. b)In the case of the Czech Republic (hereinafter referred to as «Czech tax»):
  1. i)The tax on income of individuals (ver documento original); and
  2. ii)The tax on income of legal persons (ver documento original).
4 -The Convention shall apply also to any identical or substantially similar taxes which are imposed after the date of signature of Convention in addition to, or in place of, the existing taxes. The competent authorities of the Contracting States shall notify each other of any substantial changes which have been made in their respective taxation laws.
Article 3
General definitions
1 -For the purposes of this Convention, unless the context otherwise requires:
1. a)The term «Portugal» means the territory of the Portuguese Republic situated in the European Continent, the archipelagoes of Azores and Madeira, the respective territorial sea and any other zone in which, in accordance with the laws of Portugal and international law, the Portuguese Republic has its jurisdiction or sovereign rights with respect to the exploration and exploitation of the natural resources of the sea bed and subsoil, and of the superjacent waters;
2. b)The term «the Czech Republic» means the territory in which the tax laws of the Czech Republic are effective;
3. c)The terms «a Contracting State» and «the other Contracting State» mean Portugal or the Czech Republic, as the context requires;
4. d)The term «person» includes an individual, a company and any other body of persons;
5. e)The term «company» means any body corporate or any entity which is treated as a body corporate for tax purposes;
6. f)The terms «enterprise of a Contracting State» and «enterprise of the other Contracting State» mean respectively an enterprise carried on by a resident of a Contracting State and an enterprise carried on by a resident of the other Contracting State;
7. g)The term «international traffic» means any transport by a ship or aircraft operated by an enterprise which has its place of effective management in a Contracting State, except when the ship or aircraft is operated solely between places in the other Contracting State;
8. h)The term «competent authority» means:
  1. i)In the case of Portugal, the Minister of Finance, the Director General of Taxation (director-geral das Contribuições e Impostos) or their authorized representative;
  2. ii)In the case of the Czech Republic, the Minister of Finance or his authorized representative;
9. i)The term «national» means:
  1. i)Any individual possessing the nationality of a Contracting State;
  2. ii)Any legal person, association or other entity deriving its status as such from the laws in force in a Contracting State.
2 -As regards the application of the Convention by a Contracting State any term not defined therein shall, unless the context otherwise requires, have the meaning which it has under the law of that State concerning the taxes to which the Convention applies.
Article 4
Resident
1 -For the purposes of this Convention, the term «resident of a Contracting State» means any person who, under the laws of that State, is liable to tax therein by reason of his domicile, residence, place of management or any other criterion of a similar nature. But this term does not include any person who is liable to tax in that State in respect only of income from sources in that State.
2 -Where by reason of the provisions of paragraph 1 an individual is a resident of both Contracting States, then his status shall be determined as follows:
1. a)He shall be deemed to be a resident of the 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 of the State with which his personal and economic relations are closer (centre of vital interest);
2. b)If the State in which he has his centre of vital interest cannot be determined, or if he has not a permanent home available to him in either State, he shall be deemed to be a resident of the State in which he has an habitual abode;
3. c)If he has an habitual abode in both States or in neither of them, he shall be deemed to be a resident of the State of which he is a national;
4. d)If he is a national of both States or of neither of them, the competent authorities of the Contracting States shall settle the questions by mutual agreement.
3 -Where by reason of the provisions of paragraph 1 a person other than an individual is a resident of both Contracting States, then it shall be deemed to be a resident of the State in which its place of effective management is situated.
Article 5
Permanent establishment
1 -For the purpose of this Convention, the term «permanent establishment» means a fixed place of business through which the business of an enterprise is wholly or partly carried on.
2 -The term «permanent establishment» includes especially:
1. a)A place of management;
2. b)A branch;
3. c)An office;
4. d)A factory;
5. e)A workshop; and
6. f)A mine, an oil or gas well, a quarry or any other place of extraction of natural resources.
3 -A building site, a construction, assembly or installation project or supervisory activities in connection therewith constitutes a permanent establishment only if it lasts more than 12 months.
4 -Notwithstanding the preceding provisions of this article, the term «permanent establishment» shall be deemed not to include:
1. a)The use of facilities solely for the purpose of storage, display or delivery of goods or merchandise belonging to the enterprise;
2. b)The maintenance of a stock of goods or merchandise belonging to the enterprise solely for the purpose of storage, display or delivery;
3. c)The maintenance of a stock of goods or merchandise belonging to the enterprise solely for the purpose of processing by another enterprise;
4. d)The maintenance of a fixed place of business solely for the purpose of purchasing goods or merchandise or of collecting information, for the enterprise;
5. e)The maintenance of a fixed place of business solely for the purpose of carrying on, for the enterprise, any other activity of a preparatory or auxiliary character;
6. f)The maintenance of a fixed place of business solely for any combination of activities mentioned in sub-paragraphs a) to e), provided that the overall activity of the fixed place of business resulting from this combination is of preparatory or auxiliary character.
5 -Notwithstanding the provisions of paragraphs 1 and 2, where a person - other than an agent of an independent status to whom paragraph 7 applies - is acting on behalf of an enterprise and has, and habitually exercises, in a Contracting State an authority to conclude contracts in the name of the enterprise, that enterprise shall be deemed to have a permanent establishment in that State in respect of any activities which that person undertakes for the enterprise; unless the activities of such person are limited to those mentioned in paragraph 4 which, if exercised through a fixed place of business, would not make this fixed place of business a permanent establishment under the provisions of that paragraph.
6 -Subject to the provisions of paragraphs 4, 7 and 8 of this article, an enterprise of a Contracting State which exercises an activity of a permanent nature, consisting in supplying services, including consultancy or managerial services, in the other Contracting State, through its own employees or other personnel engaged by the enterprise for such purpose, shall be deemed to have a permanent establishment in that other State, but only where activities of that nature continue there for a period or periods exceeding in the aggregate 12 months in a 15 months period.
7 -An enterprise shall not be deemed to have a permanent establishment in a Contracting State merely because it carries on business in that State through a broker, general commission agent or any other agent of an independent status, provided that such persons are acting in the ordinary course of their business.
8 -The fact that a company which is a resident of a Contracting State controls or is controlled by a company which is a resident of the other Contracting State, or which carries on business in that other State (whether through a permanent establishment or otherwise), shall not of itself constitute either company a permanent establishment of the other.
Article 6
Income from immovable property
1 -Income derived by a resident of a Contracting State from immovable property (including income from agriculture or forestry) situated in the other Contracting State may be taxed in that other State.
2 -The term «immovable property» shall have the meaning which it has under the law of 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 of general law respecting landed property apply, usufruct of immovable property and rights to variable or fixed payments as consideration for the working of, or the right to work, mineral deposits, sources and other natural resources; ships and aircraft shall not be regarded as immovable property.
3 -The provisions of paragraph 1 shall apply to income derived from the direct use, letting, or use in any other form of immovable property.
4 -The provisions of paragraphs 1 and 3 shall also apply to the income from immovable property of an enterprise and to income from immovable property used for the performance of independent personal services.
5 -The foregoing provisions shall also apply to income from movable property which, under the taxation law of the Contracting State in which the property in question is situated, is assimilated to income from immovable property.
Article 7
Business profits
1 -The profits of an enterprise of 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 of the enterprise may be taxed in the other State but only so much of them as is attributable to that permanent establishment.
2 -Subject to the provisions of paragraph 3, where an enterprise of 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 ti 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 of which it is a permanent establishment.
3 -In determining the profits of a permanent establishment, there shall be allowed as deductions expenses which are incurred for the purposes of the permanent establishment, including executive and general administrative expenses so incurred, whether in the State in which the permanent establishment is situated or elsewhere.
4 -Insofar as it has been customary in a Contracting State to determine the profits to be attributed to a permanent establishment on the basis of an apportionment of the total profits of the enterprise to its various parts, nothing in paragraph 2 of this article shall preclude that Contracting State from determining the profits to be taxed by such an apportionment as may be customary; the method of apportionment adopted shall, however, be such that the result shall be in accordance with the principles contained in this article.
5 -No profits shall be attributed to a permanent establishment by reason of the mere purchase by that permanent establishment of goods or merchandise for the enterprise.
6 -For the purposes of 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 -Where profits include items of income which are dealt with separately in other articles of this Convention, then the provisions of those articles shall not be affected by the provisions of this article.
Article 8
Shipping and air transport
1 -Profits from the operation of ships or aircraft in international traffic shall be taxable only in the Contracting State in which the place of effective management of the enterprise is situated.
2 -If the place of effective management of a shipping enterprise is aboard a ship, then it shall be deemed to be situated in the Contracting State in which the home harbour of the ship is situated, or, if there is no such home harbour, in the Contracting State of which the operator of the ship is a resident.
3 -The provisions of paragraph 1 shall also apply to profits from the participation in a pool, a joint business or an international operating agency.
Article 9
Associated enterprises
1 -Where:
1. a)An enterprise of a Contracting State participates directly or indirectly in the management, control or capital of an enterprise of the other Contracting State; or
2. b)The same persons participate directly or indirectly in the management, control or capital of an enterprise of a Contracting State and an enterprise of 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 of the enterprises, but, by reason of those conditions, have not so accrued, may be included in the profits of that enterprises and taxed accordingly.
2 -Where a Contracting State includes in the profits of an enterprise of that State - and taxes accordingly - profits on which an enterprise of 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 the enterprise of 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 of the tax charged therein on those profits where that other State considers the adjustment justified. In determining such adjustment, due regard shall be had to the other provisions of this Convention and the competent authorities of the Contracting States shall if necessary consult each other.
Article 10
Dividends
1 -Dividends paid by a company which is a resident of a Contracting State to a resident of the other Contracting State may be taxed in that other State.
2 -However, such dividends may also be taxed in the Contracting State of which the company paying the dividens is a resident and according to the laws of that State, but if the recipient is the beneficial owner of the dividends the tax so charged shall not exceed 15 per cent of the gross amount of the dividends.
This paragraph shall not affect the taxation of the company in respect of the profits out of which the dividends are paid.
3 -Notwithstanding the provisions of paragraph 2, if the beneficial owner is a company that, for an uninterrupted period of two years prior to the payment of the dividends, owns directly at least 25 per cent of the capital stock (capital social) of the company paying the dividends, the tax so charged shall not exceed with respect to dividends paid after December 31, 1996, 10 per cent of the gross amount of such dividends.
4 -The term «dividends» as used in this article means income from shares, «jouissance» shares or «jouissance» rights, mining shares, founders' shares or other rights, not being deb-claims, participating in profits, as well as income from other corporated rights which is subjected to the same taxation treatment as income from shares by the laws of the State of which the company making the distribution is a resident. The term also includes profits attributed under an arrangement for participation in profits (associação em participação).
5 -The provisions of paragraphs 1 and 2 shall not apply if the beneficial owner of the dividends, being a resident of a Contracting State, carries on business in the other Contracting State of which the company paying the dividends is a resident, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the holding in respect of which the dividends are paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of article 7 or article 14, as the case may be, shall apply.
6 -Where a company which is a 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 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 the company's undistributed profits, even if the dividends paid or the undistributed profits consist wholly or partly of profits or income arising in such other 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 10 per cent of the gross amount of the interest.
3 -Notwithstanding the provisions of paragraph 2, interest arising in a Contracting State shall be exempted from tax in that State:
1. a)If the debtor of such interest is the Government of that State or a local authority thereof; or
2. b)If interest is paid to the Government of the other Contracting State or a local authority thereof or an institution or body (including a financial institution) in connection with any financing grated by them under an agreement between the Governments of the Contracting States; or
3. c)In respect of loans or credit made by:
  1. i)In the case of the Czech Republic, (ver documento original); and
  2. ii)In the case of Portugal, Caixa Geral de Depósitos, Banco Nacional Ultramarino (BNU), Banco de Fomento e Exterior (BFE), Banco Borges & Irmão and ICEP - Investimentos, Comércio e Turismo de Portugal.
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. Penalty charges for late payment shall not be regarded as interest for the purpose of this article.
5 -The provisions of paragraphs 1, 2 and 3 shall 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, though 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. In such case de provisions of article 7 or article 14, as the case may be, shall apply.
6 -Interest shall be deemed to arise in a Contracting State when the payer is that State itself, a political or administrative subdivision, a local authority or a resident of that State. Where, however, the person paying the intrest, 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 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 Convention.
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 exceed 10 per cent of the gross amount of the royalties.
3 -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 of literary, artistic or scientific work including cinematograph films and films or tapes for radio or television broadcasting, any 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.
4 -The provisions of paragraphs 1 and 2 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. In such case the provisions of article 7 or article 14, as the case may be, shall apply.
5 -Royalties shall be deemed to arise in a Contracting State where the payer is that State itself, a political or administrative 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 that permanent establishment or fixed base, then such royalties shall be deemed to arise in the State in which the permanent establishment or fixed base is situated.
6 -Where, by reason of a special relationship between the payer and the beneficial owner or between both them and some other person, the amount of the royalties paid, 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 lastmentioned 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 Convention.
Article 13
Capital gains
1 -Gains derived by a resident of a Contracting State from the alienation of immovable property referred to in article 6 and situated in the other Contracting State may be taxed in that other State.
2 -Gains from the alienation of 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 of movable property pertaining to a fixed 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 fixed base, may be taxed in that other State.
3 -Gains from the alienation of ships or aircraft operated in international traffic, or movable property pertaining to the operation of such ships or aircraft, shall be taxable only in the Contracting State in which the place of effective management of the enterprise is situated.
4 -Gains from the alienation of any property other than that referred to in paragraphs 1, 2 and 3, shall be taxable only in the Contracting State of which the alienator is a resident.
Article 14
Independent personal services
1 -Income derived by a resident of a Contracting State in respect of professional services or other activities of an independent character shall be taxable only in that State unless he has a fixed base regularly available to him in other Contracting State for the purpose of performing his activities. If he has such a fixed base, the income may be taxed in the other State but only so much of it as is attributable to that fixed base.
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, 19, 20 and 21, 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:
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; and
2. b)The remuneration is paid by, or on behalf of, an employer who is not a resident of the other State, and
3. c)The 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 derived in respect of an employment exercised aboard a ship or aircraft operated in international traffic, may be taxed in the Contracting State in which the place of effective management of the enterprise is situated.
Article 16
Directors' fees
Directors' fees and other similar payments derived by a resident of a Contracting State in his capacity as a member of the board of directors or any 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 sportsmen
1 -Notwithstanding the provisions of articles 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 a sportsman, from is 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 a sportsman in his capacity as such accrues not to the entertainer or sportsman 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 sportsman are exercised.
3 -Notwithstanding the provisions of paragraphs 1 and 2 of this article income mentioned in this article shall be exempt from tax in Contracting State in which the activity of the entertainer or athlete is exercised provided that this activity is supported for the most part out of public funds of this State or of the other State or the activity is exercised under a cultural agreement or arrangement between the Contracting States.
Article 18
Pensions
Subject to the provisions of paragraph 2 of article 19, pensions and other similar remuneration paid to a resident of a Contracting State in consideration of past employment 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 or administrative 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.
1. 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:
  1. i)Is a national of that State; or
  2. ii)Did not become a resident of that State solely for the purpose of rendering the services.
2 -a) Any pension paid by, or out of funds created by, a Contracting State or a political or administrative 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.
1. b)However, such pension shall be taxable only in the other Contracting State if the individual is a resident of, and a national of, that State.
3 -The provisions of articles 15, 16 and 18 shall apply to remuneration and pensions in respect of services rendered in connection with a business carried on by a Contracting State or a political or administrative subdivision or a local authority thereof.
Article 20
Students
Payments which a student or business apprentice 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
Professors and researches
Remuneration received for teaching or scientific research by an individual who is or was immediately before visiting a Contracting State a resident of the other Contracting State and who is present in the first State during a period not exceeding two years for the purpose of scientific research or for teaching at a university, college, establishment for higher education, research institute or other similar establishment accredited by the Government of the other Contracting State shall be exempt from tax in the first State provided that all such entities have non-profitmaking purposes and the income is derived from abroad.
Article 22
Other income
1 -Items of income of a resident of a Contracting State, wherever arising, not dealt with in the foregoing articles of this Convention shall be taxable only in that State.
2 -The provisions of paragraph 1 shall not apply to income, other than income from immovable property as defined in paragraph 2 of article 6, if the recipient of such income, being a resident of a Contracting State, carries on business in the other Contracting State through 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 income is paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of article 7 or article 14, as the case may be, shall apply.
Article 23
Elimination of double taxation
The double taxation shall be eliminated as follows:
1. a)In the Portuguese Republic:
  1. i)Where a resident of Portugal derives income which, in accordance with the provisions of this Convention may be taxed in the Czech Republic, Portugal shall allow as a deduction from the tax on the income of that resident an amount equal to the income tax paid in the Czech Republic. Such deduction shall not, however, exceed that part of the income tax as computed before the deduction is given, which is attributable to the income which may be taxed in the Czech Republic;
  2. ii)Where in accordance with any provision of the Convention income derived by a resident of Portugal is exempt from tax in this State, Portugal may nevertheless, in calculating the amount of tax on the remaining income of such resident, take into account the exempted income;
2. b)In the Czech Republic:
  1. i)The Czech Republic, when imposing taxes on its residents, may include in the tax base upon which such taxes are imposed the items of income which according to the provisions of this Convention may also be taxed in Portugal, but shall allow as a deduction from the amount of tax computed on such a base an amount equal to the tax paid in Portugal. Such deduction shall not, however, exceed that part of the Czech tax, as computed before the deduction is given, which is appropriate to the income which, in accordance with the provisions of this Convention, may be taxed in Portugal;
  2. ii)Where in accordance with any provision of the Convention or the domestic law income derived by a resident of the Czech Republic is exempt from tax in this State, the Czech Republic may nevertheless, in calculating the amount of tax on the remaining income of such resident, take into account the exempted income.
    Article 24
    Non-discrimination
1 -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, in particular with respect to residence, are or may be subjected. This provision shall, notwithstanding the provisions of article 1, also apply to persons who are not residents of one or both of the Contracting States.
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. This provision shall not 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.
3 -Except where the provisions of paragraph 1 of article 9, paragraph 7 of article 11, or paragraph 6 of article 12, apply, interest, royalties and other disbursements paid by an enterprise of a Contracting State to a resident of the other Contracting State shall, for the purpose of determining the taxable profits of such enterprise, be deductible under the same conditions as if they had been paid to a resident of the first-mentioned State.
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 first-mentioned State are or may be subjected.
5 -The provisions of this article shall, notwithstanding the provisions of article 2, apply to taxes of every kind and description.
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 Convention, he may, irrespective of the remedies provided by the domestic law of those States, present his case to the competent authority of the Contracting State of which he is a resident or, if his case comes under paragraph 1 of article 24, to that of the Contracting State of which he is a national. The case must be presented within three years from the first notification of the action resulting in taxation not in accordance with the provisions of the Convention.
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 of the other Contracting State, with a view to the avoidance of taxation which is not in accordance with the Convention. Any agreement reached shall be implemented notwithstanding any time limits in the domestic law of the Contracting States.
3 -The competent authorities of the Contracting States shall endeavour to resolve by mutual agreement any difficulties or doubts arising as to the interpretation or application of the Convention.
4 -The competent authorities of the Contracting States may communicate with each other directly for the purpose of reaching an agreement in the sense of the preceding paragraphs. When it seems advisable in order to reach agreement to have an oral exchange of opinions, such exchange may take place through a Commission consisting of representatives of the competent authorities of the Contracting States.
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 Convention or of the domestic laws of the Contracting States concerning taxes covered by the Convention insofar as the taxation thereunder is not contrary to the Convention. The exchange of information is not restricted by article 1. 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 or prosecution in respect of, or the determination of appeals in relation to, the taxes covered by the Convention. 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.
2 -In no case shall the provisions of paragraph 1 be construed so as to impose on a Contracting State the obligation:
1. a)To carry out administrative measures at variance with the laws and 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 ou 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
  Nothing in this Convention 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.
  Article 28
  Entry into force
1 -This Convention shall be ratified and the instruments of ratification shall be exchanged as soon as possible.
2 -The Convention shall enter into force upon the exchange of instruments of ratification and its provisions shall have effect:
1. a)In Portugal:
  1. i)In respect of taxes withheld at source, the fact giving rise to the appearing on or after the first day of January in the year next following the year in which this Convention enters into force;
  2. ii)In respect of other taxes as to income arising in the fiscal year beginning on or after the first day of January in the year next following the year in which this Convention enters into force;
2. b)In the Czech Republic:
  1. i)In respect of taxes withheld at source, to amounts derived on or after 1st January in the calendar year next following that in which the Convention enters into force;
  2. ii)In respect of other taxes on income, to taxes chargeable for any taxable year beginning on or after 1st January in the calendar year next following that in which the Convention enters into force.
    Article 29
    Termination
    This Convention shall remain in force until terminated by one of the Contracting States. Either Contracting State may terminate the Convention, through diplomatic channels, by giving notice of termination at least six months before the end of any calendar year following after the period of five years from the date on which the Convention enters into force. In such event the Convention shall cease to have effect:
3. a)In Portugal:
  1. i)In respect of taxes withheld at source, the fact giving rise to them appearing on or after the first day of January next following the date on which the period specified in the said notice of termination expires;
  2. ii)In respect of other taxes as to income arising in the fiscal year beginning on or after the first day of January next following the date on which the period specified in the said notice of termination expires;
4. b)In the Czech Republic:
  1. i)In respect of taxes withheld at source, to amounts derived on or after 1st January in the calendar year next following that in which the notice is given;
  2. ii)In respect of other taxes on income to taxes chargeable for any taxable year beginning on or after 1st January in the calendar year next following that in which the notice is given.
    In witness whereof the undersigned, duly authorized thereto, have signed the Convention.
    Done in duplicate at Lisbon, this 24 day of May 1994, in the Portuguese, Czech and English languages, all three texts being authentic. In case of divergent interpretation, the English text shall prevail.
    For the Government of the Portuguese Republic:
    José Manuel Durão Barroso, Minister of Foreign Affairs.
    For the Government of the Czech Republic:
    Josef Zielniec, Minister of Foreign Affairs.
    (ver texto em língua estrangeira no documento original)