S.L. 123.108 Art. 2Arrangements to have effect. Malta Avoidance of This the Contracting 1. This Contracting levied. 2. There income, or on movable or by enterprises, 3. The (a) in (b) in 4. The taxes that are in place of, the shall notify taxation laws. 1. For the (1) (2) in used in a of Gozo and the territorial and t

It is hereby declared:-

(a) that the arrangements specified in the Convention set out in the Schedule to this Order have been made with Montenegro with a view to affording relief from double taxation in relation to the following taxes imposed by the laws of Montenegro:

(i) the tax on profit; and

(ii) the tax on income;

(b) that it is expedient that those arrangements should have effect;

(c) that the Convention has entered into force on the 23 September, 2009. SCHEDULE

CONVENTION BETWEEN MALTA AND MONTENEGRO FOR THE AVOIDANCE OF DOUBLE TAXATION

and Montenegro, desiring to conclude an Agreement for the Double Taxation, have agreed as follows: Article 1

PERSONS COVERED Convention shall apply to persons who are residents of one or both of States. Article 2 TAXES COVERED

Convention shall apply to taxes on income imposed on behalf of a State or local authorities, irrespective of the manner in which they are shall be regarded as taxes on income all taxes imposed on total elements of income, including taxes on gains from the alienation of immovable property, taxes on the total amounts of wages or salaries paid as well as taxes on capital appreciation.

existing taxes to which the Convention shall apply are: Montenegro:

(i) the tax on profit;

(ii) the tax on income (hereinafter referred to as "Montenegrin tax"). Malta, the income tax; (hereinafter referred to as "Malta tax").

Convention shall apply also to any identical or substantially similar imposed after the date of signature of the Convention in addition to, or existing taxes. The competent authorities of the Contracting States each other of any significant changes that have been made in their

Article 3 GENERAL DEFINITIONS purposes of this Convention:

the terms ''a Contracting State'' and ''the other Contracting State'' mean Montenegro or Malta, as the context requires; the term ''Montenegro'' means the State of Montenegro and, when used a geographical sense, it means the land territory of Montenegro, its internal sea waters and the belt of the territorial sea, the air space thereover, as well as the seabed and subsoil of the part of the high sea outside the outer limit of the territorial sea over which Montenegro exercises its sovereign rights for the purpose of exploration and exploitation of their natural resources in accordance with its internal legislation and international law;

(3) the term ''Malta'' means the Republic of Malta and, when geographical sense, means the Island of Malta, the Island the other islands of the Maltese archipelago including waters thereof, as well as any area of the seabed, its subsoil superjacent water column adjacent to the territorial waters, Malta exercises sovereign rights, jurisdiction, or control with international law and its national law, including relating to the exploration of the continental shelf and exploitation natural resources;

(4) the term ''national'' means:

(i) any individual possessing the nationality of a Contracting

(ii) any legal person, partnership or association deriving such from the laws in force in a Contracting State;

(5) the term ''person'' includes an individual, a company and of persons;

(6) the term ''company'' means any body corporate or any treated as a body corporate for tax purposes;

(7) the terms ''enterprise of a Contracting State'' and ''enterprise Contracting State'' mean respectively an enterprise carried resident of a Contracting State and an enterprise carried on of the other Contracting State;

(8) the term ''international traffic'' means any transport by a operated by an enterprise of a Contracting State, except or aircraft is operated solely between places in the other State;

(9) the term ''competent authority'' means:

(i) in Montenegro, the Ministry of Finance or representative;

(ii) in Malta, the Minister responsible for finance or representative.