S.L. 123.34 Art. 3connected be regarded as integral to the not apply in 1. Where a) an the b) the and in either their commercial between conditions, have have not so accordingly. 2. Where - and taxes State has been profits which conditions made made between appropriate determining such Agreement and consult each 1. r

For the purposes of this Article interest on investments directly with the operation of ships or aircraft in international traffic shall profits derived from the operation of such ships or aircraft if they are carrying on of such business, and the provisions of Article 11 shall Article 9

ASSOCIATED ENTERPRISES

enterprise of a Contracting State participates directly or indirectly in management, control or capital of an enterprise of the other Contracting State, or 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, case conditions are made or imposed between the two enterprises in or financial relations which differ from those which would be made independent enterprises, then any profits which would, but for those accrued to one of the enterprises, but, by reason of those conditions, accrued, may be included in the profits of that enterprise and taxed a Contracting State includes in the profits of an enterprise of the State accordingly - profits on which an enterprise of the other Contracting charged to tax in that other State and the profits so included are would have accrued to the enterprise of the first-mentioned State if the between the two enterprises had been those which would have been independent enterprises, then that other State shall make an adjustment to the amount of the tax charged therein on those profits. In adjustment, due regard shall be had to the other provisions of this the competent authorities of the Contracting States shall if necessary other. Article 10

DIVIDENDS Dividends paid by a company which is a resident of a Contracting State to a other Contracting State may be taxed in that other State. such dividends may also be taxed in the Contracting State of company paying the dividends is a resident and according to the laws of the dividends are paid by a company that is a resident of India to a resident of Malta who is the beneficial owner thereof, the tax charged India shall not exceed 10 per cent of the gross amount of the dividends; the dividends are paid by a company that is a resident of Malta to a resident of India who is the beneficial owner thereof, the tax charged by Malta on the gross amount of the dividends shall not exceed that Malta chargeable on the profits out of which the dividends are paid. paragraph shall not affect the taxation of the company in respect of the which the dividends are paid. "dividends" as used in this Article means income from shares or being debt-claims, participating in profits, as well as income from of the dividends, being a resident of a Contracting State, carries on other Contracting State of which the company paying the dividends through a permanent establishment situated therein, or performs in independent personal services from a fixed base situated therein, and respect of which the dividends are paid is effectively connected with establishment or fixed base. In such case the provisions of Article 7 the case may be, shall apply.