Double Taxation
p. 26 · Read in the full issue
Relief
Agreement Between UK and Fiji
AN agreement has been entered into be tween the United Kingdom and Fiji to provide relief from double taxa tion of the income of individuals and companies. Details of the agreement were discussed when the Fiji Commissioner of Inland Revenue (Mr. R. B. Ackland) visited the United Kingdom recently.
Companies resident in the UK and operating in Fiji through a branch estab lishment will be taxed by Fiji on branch profits only. Similarly companies resid ent in Fiji and operating in the UK through a branch establishment will be taxed by the United Kingdom on branch profits only.
Shipping and air profits are taxable by the country of residence only. Dividends are exempt from sur-tax in eithe: country.
The arrangement makes provision for avoiding double taxation on royalties, pen sions and the remuneration of per sons from one territory visiting the other territory either on business or on holidav. or for the purpose of lecturing or teach ing, or as students or apprentices.
The arrangement takes effect in the United Kingdom from the year of assess ment beginning on April 6, 1949, (for sur tax, the year beginning April 6, 1948) and in Fiji for the year of assessment be ginning on January 1, 1949.
The arrangement is for an indefinite period terminable by notice on or before June 30 in any year after 1950.