Regulations Governing Application of Agreements for the Avoidance of Double Taxation with Respect to Taxes on Income Article 6

Where an individual is a resident of both Contracting States pursuant to the stipulations of these Contracting States’ respective domestic tax laws, the criteria provided under a relevant DTA for determining that individual’s sole resident status for the purposes of that DTA shall be applicable and apply in a sequential order. The definitions of those criteria used and determinative factors adopted for those criteria, which may be of a relevant sequence depending on the applicable DTA, are as follows:1. The term “permanent home” means a place where an individual owns, rents, or arranges by any other means, and is available to that individual as a residence at all times and continuously for a period of 183 days.2. The term “the place with which that individual’s personal and economic relations are closer (center of vital interests)” shall be determined by giving overall consideration to factors, such as: the individual’s family and social relations; the individual’s occupation; the individual’s political, cultural, or other activities; the individual’s place of business; the place from which the individual administers properties; and other relevant factors.3. The term “habitual abode” shall be determined by comparing the length of time and frequency of the individual’s stays in the Contracting States.4. The term “national” means any individual possessing nationality in accordance with the Nationality Act of a Contracting State.Where a person other than an individual is a resident of both Contracting States based on the stipulations of these Contracting States’ respective domestic tax laws, and a relevant DTA thereof provides that the place of effective management may be of use to determine that person’s sole resident status for the purposes of that DTA, the determination for a location to be as the place of effective management shall be made by giving overall consideration to the following factors:1. The location of the place from which the individual derives its resident status or where the head office is located whereby such individual or head office is the decisive person who makes significant decisions in business management, financial management, and personnel management; or the location of the place where the preceding significant decisions are made.2. The location of the place where financial statements, records of accounting books, minutes of meetings of the Board of Directors, or minutes of meetings of shareholders are prepared or stored.3. The location of the place where major business activities are carried out.