Malaysia (tax/treaty)

TERMINATION 1. This Agreement shall remain in force indefinitely, but either of the Contracting States may terminate this Agreement, through diplomatic channel, by giving to the other Contracting State written notice of termination not later than thirtieth day of June of any calendar year starting at least five years after the year in which this Agreement entered into force. 2. In such event this Agreement shall cease to apply: a. in the case of the Kingdom of Saudi Arabia: i. with regard to taxes withheld at source, in respect of amounts paid or credited after the end of the calendar year in which such notice is given; and ii. with regard to other taxes, in respect of taxable years beginning after the end of the calendar year in which such notice is given. b. in the case of Malaysia: i. in respect of taxes withheld at source, to income derived on or after the first day of January in the calendar year following the year in which the notice is given; ii. in respect of Malaysian tax, other than petroleum income tax, to tax chargeable for any year of assessment beginning on or after the first day of January in the calendar year following the year in which the notice is given; and iii. in respect of petroleum income tax, to taxes chargeable for any year of assessment beginning on or after the first day of January of the second calendar year following the year in which the notice is given; IN WITNESS whereof the undersigned, duly authorised thereto, by their respective Governments, have signed this Agreement. DONE in duplicate at Putrajaya, this 31st day of January 2006, each in Arabic, Malay and English language, all texts being equally authentic. In case of any divergence in the interpretation and the application of this Agreement, the English text shall prevail. For the Government of Malaysia Kingdom of Saudi Ar TAN SRI NOR MD BIN YAKCOP IBRAHIM ABDULAZIZ SECOND MINISTER OF FINANCE MINISTER OF FINANC PROTOCOL At the moment of signing of the Agreement for the Avoidance of Double Taxation and the Prevention of Tax Evasion with respect to Taxes on Income, this day concluded between the Government of the Kingdom of Saudi Arabia and the Government of Malaysia, the undersigned have agreed that the following provisions shall form an integral part of the Agreement: 1. It is understood that the term "place of effective management" under this Agreement means the place where a company is actually managed and controlled or the place where the decision-making at the highest level on the important policies essential for the management of a company takes place. 2. The provisions of this Agreement do not have any effect on the provisions of the Agreement between the Government of Malaysia and the Government of Saudi Arabia for Reciprocal Exemption With Respect To Taxes on Income of Air Transport Enterprises of The Two Countries signed at Riyadh on 18th day of July 1993 [hereinafter referred to as "the Air Transport Agreement"]. In the event of any inconsistency between any provision of the Air Transport Agreement and any provision of this Agreement, the provision of the Air Transport Agreement shall prevail.