AGREEMENT

Between

The Government of The Hashemite Kingdom of Jordan

And

The Government of The Republic Of Poland,

 For the avoidance of double taxation and prevention of fiscal evasion with respect to taxes on income

            The Government of The Hashemite Kingdom of Jordan and The Government of The Republic of Poland, desiring to promote and strengthen their mutual economic relations by removing fiscal obstacles ,

            Have agreed as follows :

Article 1

PERSONAL  SCOPE

            This Agreement shall apply to persons who are residents of one or both of the Contracting States .

Article 2

TAXES COVERED

1.         This Agreement shall apply to taxes on income imposed on behalf of  a Contracting State or of its political subdivisions or local authorities , irrespective of the manner in which they are levied  :

2.         There shall be regarded  as taxes on income all taxes imposed on total income, or on elements of income, including taxes on gains from the alinenation of movable or immovable property .

3.         The existing taxes to which the Agreement shall apply are in particular :

            a.         in  Jordan   :

                                                -           the income tax ;

                                                -           the distribution tax;

                                                -           the social service tax;

                                    ( hereinafter referred  to as " Jordanian tax " ) .

            b.         in Poland  :

                                    i.          the personal income tax ;

                                    ii.          the corporate income tax ;

                                    ( hereinafter referred  to as " Polish tax " );

 4.         The Agreement shall apply also to any identical or substantially similar taxes which are imposed by either Contracting State after the date of signature of the Agreement in addition to, or in place of, the existing taxes . The competent authorities of the Contracting States shall notify each other of any significant changes which have been made  in their respective taxation laws .

 

Article  3

GENERAL  DEFINITIONS

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

            a.  the term "  Jordan " means the territories of the Hashemite        Kingdom of Jordan, the territorial waters of Jordan, and the seabed  and subsoil of the territorial waters, and includes any area extending beyond the limits of the territorial waters of Jordan, and the seabed and subsoil of any such area, which has been or may hereafter be designated, under the laws of Jordan,and in accordance    with international law as an area over which Jordan has sovereign    rights for the purposes of exploring and exploiting the natural resources, whether living or non-living ;

            b. the term " Poland " when used in geographical sense means the territory of the Republic of Poland, including any area  beyond its   territorial waters, within which under the laws of Poland, and in accordance with international law, Poland may exercise its   sovereign rights over the sea-bed, its subsoil and their  natural resources ;

           

            c. the terms " one of the Contracting States " and " the other        Contracting State " mean Jordan or Poland, as the context requires;

            d. the term " national " means all individuals possessing the nationality of a Contracting State and all legal persons, partnerships and associations deriving their status as such from the law in force in a Contracting State ;

            e. the term " person " includes an individual, a company and any other body of persons ;

            f.  the term " company " means any body corporate or any entity which is treated as a body corporate for tax purposes ;

            g.  the term " fixed base " means a permanent place in which         professional activities are exercised;

            h.  the terms " enterprise of a Contracting State " and " enterprise of the other Contracting State " mean respectively an enterprise carried on by a resident of a Contracting State and an enterprise  carried on by a resident of the other Contracting State ;

            i.  the term " international traffic " means any transport by a ship,  aircraft or road vehicle operated by an enterprise which has its place of effective management in a Contracting State, except     when the ship,aircraft or road vehicle is operated solely between places in the other Contracting State ;

            j.  the term " competent authority " means :

                i.  in the case of Jordan, the Minister of Finance or his                               authorised representative ;

               ii. in the case Poland ,  the Minister of Finance or his authorised  representative .

2.         As regards the application of the Agreement by a  Contracting State any term not defined therein shall, unless the context otherwise requires, have the meaning which it has under the law of that State concerning the taxes to which this  Agreement applies .

Article  4

RESIDENT

1.         For the purposes of this Agreement, the term " resident of the Contracting State " means any person who, under the laws of that State , is liable to tax therein by reason of his domicile, residence, place of management or any other criterion of a similar nature . But this term does not include any person who is liable to tax in that State in respect only of income from sources in that State .

2.         Where by reason of the provisions of paragraph 1 an individual is a resident of both Contracting States, then his status shall be determined as follows :

 

            a.         he shall be deemed to be a resident of the State in which he has a                      permanent home available to him; if he has a permanent home                        available to him in both States, he shall be deemed to be a resident                         of the State with which his personal and economic relations are              closer ( centre of vital interests ) ;

 

            b.         if  the State in which he has his centre of vital interests cannot be                        determined, or if he has not a permanent home available to him in                 either State, he shall be deemed to be a resident of the State in             which he has an habitual abode ;

 

            c.         if he has an habitual abode in both States or in neither of them, he                      shall be deemed to be a resident of the State of which he is a national;

 

            d.         if the status of resident cannot be determined according to sub-              paragraphs a - c , the  competent authorities of the Contracting States                   shall settle the question by mutual agreement .

3.         Where by reason of the provisions of paragraph 1 a person other than an individual is a resident of both Contracting States, then it shall be deemed to be a resident of the State in which its place of effective management is situated .

            In case of doubts the  competent authorities of the Contracting States shall settle the question by mutual agreement .

Article  5

PERMANENT ESTABLISHMENT

1.         For the purpose of this Agreement, the term "permanent establishment " means a fixed place of business through which the business of an enterprise is wholly or partly carried on.

2.         the term " permanent establishment " includes especially :

            a.         a place of management ;

            b.         a branch ;

            c.         an office ;

            d.         a factory ;

            e.         a workshop ; and

            f.          a mine, an oil or gas well, a quarry or any other place of extraction                     of natural resources  . 

 

3.                     The building site or construction or installation project constitutes a                    permanent establishment only if it lasts more than six months,                   commencing from the date when effective work begins .

 

4.         Notwithstanding  the preceding provisions of  this  Article, the  term   "  permanent establishment " shall be deemed not to include :

            a.         the use of facilities solely for the purpose of storage, display or               delivery of goods or merchandise belonging to the enterprise ;

            b.         the maintenance of a stock of goods or merchandise belonging to the                 enterprise solely for the purpose of storage, display or delivery ;

            c.         the maintenance of a stock of goods or merchandise belonging to the                 enterprise solely for the purpose of processing by another enterprise;

            d.         the maintenance of a fixed place of business  solely for the purpose                    of purchasing goods or merchandise, or of collecting information,                      for the enterprise ;

            e.         the maintenance of a fixed place of business  solely for the purpose                    of carrying on, for the enterprise, any other activity of a preparatory                or auxiliary character ;

            f.          the maintenance of a fixed place of business  solely for any                                 combination of activities mentioned in sub-paragraphs (a. to e.) ,                         provided that the overall activity of the fixed place of business                        resulting from this combination is of a preparatory or auxiliary                character .

5.         Notwithstanding the provisions of paragraphs 1 and 2, where a person - other than an agent of an independent status to whom paragraph 6 applies - is acting on behalf of an enterprise and has, and habitually exercises, in a Contracting State an authority to conclude contracts in the name of the enterprise, that enterprise shall be deemed to have a permanent establishment in that State in respect of any activities which that person undertakes for the enterprise, unless the activities of such person   are limited to those mentioned in paragraph 4 which, if  exercised through a fixed place of business, would not make this fixed place of business a permanent establishment under the provisions of that paragraph .

6.         An enterprise shall not be deemed to have a permanent establishment in a  Contracting State merely because it carries on business in that State through a broker, general commission agent or any other agent of an independent status, provided that such persons are acting in the ordinary course of their business .

7.         The fact that a company which is a resident of  a Contracting State controls or is controlled by a company which is a resident of the other Contracting State, or which carries on business in that other State ( whether through a permanent establishment or otherwise ), shall not of itself constitute either company a permanent establishment of the other .

 

 

Article  6

 

INCOME FROM IMMOVABLE PROPERTY

 

1.         Income derived by a resident of a Contracting State from immovable property ( including income from agriculture or forestry ) situated  in the other Contracting State may be taxed in that other State .

 

2.         The term " immovable property " shall have the meaning which it has under the law of the Contracting State in which the property in question is situated . The term shall in any case include property accessory to immovable property, livestock and equipment used in  agriculture and forestry, rights to which the provisions of general law respecting landed property apply, usufruct of  immovable property and rights to variable or fixed payments as consideration for the working of, or the right to work,  mineral deposits, sources and other natural resources ; ships, boats and aircraft shall not be regarded as  immovable property .

 

3.         The provisions of paragraph 1 shall apply to income derived from the direct use, letting, or use in any other form of immovable property.

 

4.         The provisions of  paragraphs 1 and 3  shall also apply to the income from immovable property of an enterprise and to  income from immovable property used for the performance of independent personal services .

 

 

 

Article  7

 

BUSINESS  PROFITS

 

1.                     The profits of an enterprise of a  Contracting State shall  be taxable only in that State unless the enterprise carries on business  in the other Contracting State through a permanent establishment situated therein . If the enterprise carries on business as aforesaid, the profits of the enterprise may be taxed in the other State but only so much of them as is attributable  to that  permanent establishment .

 

2          Subject to the provisions of paragraph 3, where an enterprise of a Contracting State  carries on business  in the other Contracting State through a permanent establishment situated therein, there shall in each Contracting State be attributed to that permanent establishment the profits which it might be expected to make if it were a distinct and separate enterprise engaged in the same or similar activities under the same or similar conditions and dealing wholly independently with the enterprise of which it is a permanent establishment .

 

3.         In determining the profits of a permanent establishment, there shall be allowed as deductions expenses which are incurred for the purposes of the permanent establishment, including executive and general administrative expenses so  incurred, whether in the State in which the permanent establishment is situated or elsewhere .

 

4.         Insofar as it has been customary in a  Contracting State to determine the profits to be attributed to a  permanent establishment on the basis of an apportionment of the total profits of the enterprise to its various parts, nothing in paragraph 2 shall preclude that Contracting State from determining the profits to be taxed by such an apportionment as may be customary ; the method of apportionment adopted shall , however , be such that the result shall be in accordance with the principles contained in this Article .

 

5.         No profits shall be attributed  to a  permanent establishment by reason of the mere purchase by that permanent establishment of goods or merchandise for the enterprise .

 

 

6.         For the purposes of  the preceding paragraphs, the profits to be attributed to the permanent establishment shall be determined by the same method year by year unless there is good and sufficient reason to the contrary .

 

7.         Where profits include items of income which are dealt with separately in other Articles of this Agreement, then the provisions of those Articles shall not be affected by the provisions of this Article .

 

 

 

Article  8

 

INTERNATIONAL TRANSPORT

 

1.                     Profits from the operation of ships, aircraft or road vehicles in international traffic shall  be taxable only in the Contracting State in which the place of effective management of the enterprise is situated .

 

2.                     Profits from the operation of boats engaged in inland waterways transport shall  be taxable only in the Contracting State in which the place of effective management of the enterprise is situated .

 

3.         If the place of effective management of a shipping enterprise or of an inland waterways transport enterprise is aboard a ship or boat , then it shall be deemed to be  situated in the Contracting State in which the home harbour of the ship or boat is situated , or, if there is no such home harbour , in the Contracting State of which the operator of the ship or boat is a resident .

 

4.         The provisions of paragraph 1 shall also apply to profits from the participation in a pool , a joint business or an international operating agency.  

 

 

Article  9

 

ASSOCIATED ENTERPRISES  

 

1.         Where

            a.         an enterprise of a Contracting State participates directly or indirectly                  in the management, control or capital of an enterprise of the other                Contracting State, or

            b.         the same persons participate directly or indirectly in the management,                 control or capital of an enterprise of a Contracting State and an                        enterprise of the other  Contracting State,

            and  in either case conditions are made or imposed between the two enterprises in their commercial or financial relations which differ from those which would be made between independent enterprises, then any profits which would, but for those conditions, have accrued to one of the enterprises, but, by reason of those conditions, have not so accrued, may be included in the profits of that enterprise and taxed accordingly .

 

2.         Where a Contracting State includes in the profits of an enterprise of that State - and taxes accordingly - profits on which an enterprise of the other  Contracting State has been charged to tax in that other State and the profits so included are profits which would have accrued to the enterprise of the first-mentioned State if the conditions made between the two enterprises had been those which would have been made between independent enterprises, then that other State shall make an appropriate adjustment to the amount of the tax charged therein on those profits . In determining such adjustment, due regard shall be had to the other provisions of this Agreement and the competent authorities of the Contracting States shall if necessary consult each other .

 

3.         The provisions of paragraph 2 shall not apply in the case of fraud or willful default .

 

 

 

 

Article 10

 DIVIDENDS

 

1.         Dividends paid by a company which is a resident of a  Contracting State to  a resident of the other Contracting State may be taxed in that other State .

2.         However, such dividends may also be taxed in the Contracting State of which the company paying the dividends is a resident and according to the laws of that State, but  if the recipient is the beneficial owner of the dividends the tax so charged shall not exceed ( 10 )  per cent of the gross amount of the dividends.

                        This paragraph shall not affect the taxation of the company in respect of the profits out of  which the dividends are paid.

3.         The term "  dividends  " as  used in this Article means income from shares, ["jouissance" shares or "jouissance" rights,] mining shares, founders'shares or other rights, not being debt-claims, participating in profits, as well as income from other corporate rights which is subjected to the same taxation treatment as income from shares by the taxation law of the State of which the company making the distribution is a resident .

4.         The provisions of  paragraphs 1 and 2 shall not apply if the beneficial owner of the dividends, being a resident of a  Contracting State, carries on business in the other Contracting State of which the company paying the dividends is a resident, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the holding in respect of which the dividends are paid is effectively connected with such permanent establishment or fixed base . In such case the provisions of  Article 7 or Article 14, as the case may be, shall apply.

5.         Where a company which is a resident of a  Contracting State derives profits or income from the other Contracting State, that other State may not impose any tax on dividends paid by the company, except insofar as such dividends are paid to a resident of that other State or insofar as the holding in respect of which the dividends are paid is effectively connected with a permanent establishment or a fixed base situated in that other State, nor subject the company's undistributed profits to a tax on  the company's undistributed profits, even if  the dividends paid or the undistributed profits consist wholly or partly of profits or income arising  in such other State .

 

 

Article 11

 INTEREST

 

1.         Interest arising in a  Contracting State and paid to  a resident of the other Contracting State may be taxed in that other State .

2.         However, such interest may also be taxed in the Contracting State in which it arises and according to the laws of that State, but if the recipient is the beneficial owner of the interest the tax so charged shall not exceed ( 10 ) percent of the gross amount of the interest .

3.         Notwithstanding the provisions of paragraph 2, interest arising in a Contracting State and derived by the Government of the other Contracting State including  local authorities thereof, the Central Bank  or any financial institution controlled by that Government shall be exempt from tax in the first mentioned State .

4.                     The term "  interest  " as  used in this Article means income from debt-claims of every kind, whether or not secured by mortgage and whether or not carrying a right  to participate in the debtor's profits, and in particular, income from government securities and income from bonds or debentures, including premiums and prizes attaching to such securities, bonds or debentures . Penalty charges for late payment shall not be regarded as interest for the purpose of this Article .

5.         The provisions of  paragraphs 1and 2 shall not apply if the beneficial owner of the interest, being a resident of a  Contracting State, carries on business in the other Contracting State in which the interest arises, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein,  and the debt-claim in respect of which the interest is paid is effectively connected with such permanent establishment or fixed base . In such case the provisions of  Article 7 or Article 14, as the case may be, shall apply.

6.         Interest shall be deemed to arise in a Contracting State when the payer is that State itself, a political sub-division, a local authority or a resident of that State . Where, however, the person paying the interest, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or a fixed base in connection with which the indebtedness on which the interest is paid was incurred, and such interest is borne by such permanent establishment or fixed base, then such interest shall be deemed to arise in the State in which the permanent establishment or fixed base is situated .

7.         Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the interest, having regard to the  debt-claim for which it is paid, exceeds the amount which would have been agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of  this Article shall apply only to the last-mentioned amount . In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Agreement.

 

Article 12

 ROYALTIES

 

1.         Royalties arising in a  Contracting State and paid to  a resident of the other Contracting State may be taxed in that other State .

2.                     However, the royalties referred to in paragraph 1 of this Article may also be taxed in the Contracting State in which they arise and according to the laws of that State, but if the recipient is the beneficial owner of the  royalties the tax so charged shall not exceed ( 10 ) percent of the gross amount of the royalties .

3.                     The term "royalties" as  used in this Article means payments of any kind, received as a consideration for the use of, or the right to use, any copyright of literary, artistic or scientific work including cinematograph films, any patent, trade mark, design or model, plan, secret formula or process, or for the use of, or the right to use any industrial, commercial, or scientific equipment, or for information concerning industrial, commercial or scientific experience .

4.         The provisions of  paragraphs 1 and 2 shall not apply if the beneficial owner of the royalties, being a resident of a  Contracting State, carries on business in the other Contracting State in which the royalties arise, through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein,  and the right or property in respect of which the royalties are paid is effectively connected with such permanent establishment or fixed base . In such case the provisions of Article 7 or Article 14, as the case may be, shall apply.

5.         Royalties shall be deemed to arise in a Contracting State when the payer is that State itself, a political sub-division, a local authority or a resident of that State . Where, however, the person paying the royalties, whether he is a resident of a Contracting State or not, has in a Contracting State a permanent establishment or fixed base in connection with which the liability to pay the  royalties was incurred, and such  royalties are borne by such permanent establishment or fixed base, then such royalties shall be deemed to arise in the State in which the permanent establishment or fixed base is situated .

6.         Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the royalties, having regard to the use, right or information for which they are paid, exceeds the amount which would be agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of  this Article shall apply only to the last - mentioned amount . In such case, the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of this Agreement.

 

Article 13

CAPITAL GAINS

 

1.         Gains derived by a resident of a Contracting State from the alienation of immovable property referred to in Article 6 and situated in the  other Contracting State may be taxed in that other State .

 

2.                     Gains from the alienation of movable property forming part of the business property of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State or of movable property pertaining to a fixed base available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal services, including such gains from   the alienation of  such  a  permanent  establishment  ( alone or with the whole enterprise ) or of such fixed base, may be taxed in that other State .                

 

3.         Gains from the alienation of ship, aircraft, road vehicle operated in international traffic, boats engaged in inland waterways transport or movable property pertaining to the operation of such means of ships, aircraft, road vehicles or boats shall be taxable only in the Contracting State in which the place of effective management of the enterprise is situated .

 

 

 

Article 14

 

INDEPENDENT PERSONAL SERVICES

 

1.         Income derived by a resident of a Contracting State in respect of professional services or other independent activities of a similar character shall be taxable only in that State. However, in the following circumstances such income may be taxed in the other Contracting State :

            a.         if his stay in the other State is for a period or periods                                         amounting to or exceeding in the aggregate 183 days in the calendar              year  concerned; or

            b.         if the remuneration for his services in the other State is either derived from residents of that State or borne by a permanent establishment which a person who is not resident in that State has in that State .

 

2.         The term " professional services " includes especially independent scientific, literary, artistic, educational or teaching activities as well as the  independent activities of physicians, lawyers, engineers, architects, dentists and accountants .

 

 

Article 15

 

DEPENDENT PERSONAL SERVICES

 

 

1.         Subject to the provisions of  Articles 16, 18 and 19, salaries, wages and other similar remuneration derived by a resident of a Contracting State in. respect of an employment shall be taxable only in that State unless the employment is exercised in the other Contracting State . If  the employment is so exercised, such remuneration as is derived therefrom may be taxed in that other State.

 

2.         Notwithstanding the provisions of paragraph 1,  remuneration derived by a resident of a Contracting State in respect of an employment  exercised in the other Contracting State shall be taxable only in the  first-mentioned State if :

 

            a)         the recipient is present in the other State for a period or periods                         not exceeding in the aggregate 183 days in any twelve-months                      period commencing or ending in the fiscal year concerned, and

 

            b)         the remuneration is paid by, or on behalf of, an employer who is not                   a resident of the other State, and

 

            c)         the remuneration is not borne by a permanent establishment or a fixed base which the employer has in the other State .

 

3.         Notwithstanding the preceding provisions of this Article,   remuneration derived in respect of an employment  exercised aboard a ship or aircraft operated in international traffic, or aboard a boat engaged in inland waterways transport , shall be  taxed in the Contracting State  in which the place of effective management of the enterprise is situated .

 

Article 16

 

DIRECTOR'S FEES

                                    Director's fees and other similar payments derived by a resident of a Contracting State in his capacity as a member of the board of directors of a company which is a resident of the other Contracting State may be taxed in that other  Contracting State .

Article 17

ARTISTES AND SPORTSMEN 

1.         Notwithstanding the provisions of  Articles 14 and 15, income derived by a resident of a Contracting State as an entertainer, such as a theatre, motion picture, radio or television artiste, or a musician, or as a sportsman, from his personal activities as such exercised in the other Contracting State, may be taxed in that other State.

 

2.         Where income in respect of personal activities exercised by an entertainer, or a sportsman in his capacity as such accrues not to the entertainer or sportsman himself but to another person, that income may, notwithstanding the provisions of  Articles 7, 14 and 15, be taxed in the Contracting State in which the activities of the entertainer or sportsman are exercised.

 

Article 18

 

PENSIONS

 

 

            Subject to the provisions of  paragraph 2 of Article 19, pensions and other similar remuneration paid to a resident of a Contracting State in consideration of past employment shall be taxable only in the State of which the recipient of the pension is a resident.

 

Article  19

 

GOVERNMENT SERVICE

 

1.         a)         Remuneration, other than a pension, paid by a Contracting State or a                 political subdivision or a local authority thereof to an individual in                         respect of services rendered to that State or subdivision or                                     authority shall be taxable only in that State.

 

            b)         However, such  remuneration shall be taxable only in the other               Contracting State if the services are rendered in that State and the                individual is a resident of that State who :

                                     i.         is a national of that State; or

                                    ii.          did not become a resident of that State solely for the purpose                            of rendering the services .                            

 

2.         a)         Any pensions paid by,or out of funds created by, a Contracting State                 or a political subdivision or a local authority thereof to an individual                in respect of services rendered to that State or subdivision or     local                        authority thereof shall be taxable only in that State.

 

            b)         However, such pension shall be taxable only in the other Contracting                 State if the individual is a resident of, and a national of, that State.

 

3.         The provisions of  Articles 15, 16 and 18 shall apply to  remuneration, and to pensions, in respect of services rendered in connection with a business carried on by a Contracting State or a political subdivision or a local authority thereof .

 

 

 

Article 20

 

STUDENTS

 

 

                                    Payments which a  student , business apprentice or  trainee who is   or was immediately before visiting  a Contracting State  a resident of the other Contracting State and who is present in the first-mentioned solely for the purpose of his education or training receives for the purpose of his maintenance, education or training shall not be taxed in that State, provided that such payments arise from sources outside that State .

 

 

 

Article 21

 

OTHER INCOME

 

 

1.         Items of income of a resident of a Contracting State, wherever arising, not dealt with in the foregoing Articles of this Agreement shall be taxable only in that State .

 

2.         The provisions of  paragraph 1  shall not  apply to income, other than income from immovable property as defined in paragraph 2 of Article 6, if the recipient of such income, being a resident of a Contracting State,  carries on business in the other Contracting State through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right or property in respect of which the income is paid is effectively connected with such permanent establishment or fixed base . In such case, the provisions of Article 7 or Article 14, as the case may be, shall apply.

 

 

Article  22

ELIMINATION OF DOUBLE TAXATION

 

1.         In the case of  a resident of Jordan, double taxation shall be avoided as follows:

            a)         Where a resident of Jordan derives income which, in accordance                       with the provisions of this Agreement, may be taxed in Poland,                 Jordan shall, subject to the provisions of sub-paragraph b), exempt                         such income from tax.

            b)         Where a resident of Jordan derives items of income which, in                             accordance with the provisions of Articles 10, 11, and 12, may be                taxed    in Poland , Jordan shall allow as a deduction from the tax on                     the income of that resident an amount equal to the income tax paid                     in Poland . Such deduction shall not, however, exceed that part of              the tax, as computed before the  deduction is given, which is                                    attributable to such items of income derived  from Poland .

 

2.         In the case of  a resident of Poland, double taxation shall be avoided as follows:

            a)         Where a resident of Poland derives income which, in accordance                       with the provisions of this Agreement, may be taxed in Jordan,                  Poland shall, subject to the provisions of sub-paragraph b), exempt                         such income from tax.

            b)         Where a resident of Poland derives items of income which, in                accordance with the provisions of Articles 10, 11, and 12, may be                        taxed    in Jordan , Poland shall allow as a deduction from the tax on                         the income of that resident an amount equal to the income tax paid                     in Jordan . Such deduction shall not, however, exceed that part of                       the tax, as computed before the  deduction is given, which is                                    attributable to such items of income derived  from Jordan .

 

Article  23

NON - DISCRIMINATION

 

1.         Nationals of a Contracting State shall not be subjected in the other Contracting State to any taxation or any requirement connected therewith, which is other or more burdensome than the taxation and connected requirements to which nationals of that other State in the same circumstances, in particular with respect to residence, are or may be subjected . The provision shall, notwithstanding the provisions of Article 1, also apply to persons who are not residents of one or both of the  Contracting States .

 

2.         The taxation on a permanent establishment which an enterprise of a Contracting State has in the other Contracting State shall not be less favourably levied  in that other State than the taxation levied on enterprise of that other State carrying on the same activities . This provision shall not be construed as obliging a Contracting State to grant to residents of the other Contracting State any personal allowances, reliefs and reductions for taxation purposes on account of civil status or family responsibilities which it grants to its own residents  .

 

3.         Except where the provisions of paragraph 1 of Article 9,  paragraph  6   of Article 11, or of paragraph 4 of Article