Direct Tax Avoidance Agreements

Taipei

Article 3

GENERAL DEFINITIONS

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

 (a)  the term "territory" means the territory referred to in paragraph 3(a) or 3(b) of Article 2, as the case may be. The terms "other territory" and "territories" shall be construed accordingly;

 (b)  the term "person" includes an individual, a company, a body of persons and any other entity which is treated as a taxable unit under the taxation laws in force in the respective territories;

 (c)  the term "company" means any body corporate or any entity that is treated as a body corporate for tax purposes;

 (d)  the term "enterprise" applies to the carrying on of any business;

 (e)  the terms "enterprise of a territory" and "enterprise of the other territory" mean respectively an enterprise carried on by a resident of a territory and an enterprise carried on by a resident of the other territory;

 (f)  the term "international traffic" means any transport by a ship or aircraft operated by an enterprise of a territory, except when the ship or aircraft is operated solely between places in the other territory;

 (g)  the term "competent authority" means:

  (i)  in the case of the territory in which the taxation law administered by the Ministry of Finance of India is applied, the Finance Minister of India or his authorized representative;

 (ii)  in the case of the territory in which the taxation law administered by the Ministry of Finance in Taipei is applied, the Finance Minister or his authorized representative;

 (h)  the term "tax" means the tax referred to in paragraph 3(a) and 3(b) of Article 2 as the case may be, but shall not include any amount which is payable in respect of any default or omission in relation to the taxes to which this Agreement applies or which represents a penalty or fine imposed relating to those taxes; (i) the term "fiscal year" means:

  (i)  in the territory referred to in paragraph 3(a) of Article 2: the financial year beginning on the first day of April;

 (ii)  in the territory referred to in paragraph 3(b) of Article 2: the financial year beginning on the first day of January.

2. As regards the application of the Agreement at any time by a territory, any term not defined therein shall, unless the context otherwise requires, have the meaning that it has at that time under the law of that territory for the purposes of the taxes to which the Agreement applies, any meaning under the applicable tax laws of that territory prevailing over a meaning given to the term under other laws of that territory.