S.L. 123.94 ст. 2Arrangements to have effect. Malta avoidance of taxes on This Contracting 1. This Contracting the manner in 2. There income, or on movable or by enterprises, 3. The a) in iv) b) in 4. The taxes which or in place of, shall notify respective 1. For the used in a of Spain, sea upon of its exercise in 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 the Kingdom of Spain with a view to affording relief from double taxation in relation to the following taxes imposed by the laws of the Kingdom of Spain;

(i) the income tax on individuals;

(ii) the corporation tax;

(iii) the income tax on non residents; and

(iv) local taxes on income<

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

(c) that the Convention shall be deemed to have come into force on the 12 September, 2006. SCHEDULE

C O N V E N T I O N BETWEEN MALTA AND THE KINGDOM OF SPAIN FOR THE AVOIDANCE OF DOUBLE TAXATION AND THE PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME and The Kingdom of Spain, desiring to conclude a convention for the double taxation and the prevention of fiscal evasion with respect to income, have agreed as follows:

Article 1 PERSONS COVERED Convention shall apply to persons who are residents of one or both of the States. Article 2

TAXES COVERED Convention shall apply to taxes on income imposed on behalf of a State or of its political subdivisions or local authorities, irrespective of which they are levied.

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 in particular: Spain: i) the income tax on individuals; ii) the corporation tax; iii) the income tax on non residents; and local taxes on income; (hereinafter referred to as "Spanish tax"). Malta: the income tax; (hereinafter referred to as "Malta tax"). Convention shall apply also to any identical or substantially similar are imposed after the date of signature of the Convention in addition to, the existing taxes. The competent authorities of the Contracting States each other of any significant changes which have been made in their taxation laws. Article 3 GENERAL DEFINITIONS

purposes of this Convention, unless the context otherwise requires: a) the term "Spain" means the Kingdom of Spain and, when geographical sense, means the territory of the Kingdom including the territorial sea and any area outside the territorial which, in accordance with international law and on application domestic legislation, the Kingdom of Spain exercises or may the future jurisdiction or sovereign rights with respect to subsoil and superjacent waters, and their natural resources; b) 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 sea-bed, its sub-soil 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; c) the terms "a Contracting State" and "the other Contracting Spain or Malta, as the context requires; d) the term "person" includes an individual, a company and of persons; e) the term "company" means any body corporate or any treated as a body corporate for tax purposes; f) 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; g) 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; h) the term "competent authority" means: i) in Spain: the Minister of Economy and Finance or representative; ii) in Malta: the Minister responsible for finance or representative; i) 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.