The Double Taxation Relief (Taxes on Income) (Mongolia) Order 1996

Article 3General definitions

(1) For the purposes of this Convention, unless the context otherwise requires:

(a)the term “United Kingdom” means Great Britain and Northern Ireland, including any area outside the territorial sea of the United Kingdom which in accordance with international law has been or may hereafter be designated, under the laws of the United Kingdom concerning the Continental Shelf, as an area within which the rights of the United Kingdom with respect to the sea bed and sub-soil and their natural resources may be exercised;

(b)the term “Mongolia” means when used in a geographical sense all the territory of Mongolia;

(c)the term “national” means:

(i)in relation to the United Kingdom, any British citizen, or any British subject not possessing the citizenship of any other Commonwealth country or territory, provided he has the right of abode in the United Kingdom; and any legal person, partnership, association or other entity deriving its status as such from the law in force in the United Kingdom;

(ii)in relation to Mongolia, any individual possessing the nationality of Mongolia and any legal person, partnership or association deriving its status as such from the laws in force in Mongolia;

(d)the terms “a Contracting State” and “the other Contracting State” mean the United Kingdom or Mongolia, as the context requires;

(e)the term “person” comprises an individual, a company and any other body of persons, but subject to paragraph (2) of this Article does not include a partnership;

(f)the term “company” means any body corporate or any entity which is treated as a body corporate for tax purposes;

(g)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;

(h)the term “international traffic” means any transport by a ship, aircraft, road vehicle or railway operated by an enterprise of a Contracting State, except when the ship, aircraft, road vehicle or railway is operated solely between places in the other Contracting State;

(i)the term “competent authority” means, in the case of the United Kingdom, the Commissioners of Inland Revenue or their authorised representative, and, in the case of Mongolia, the Minister of Finance or his authorised representative.

(2) A partnership which is treated as a taxable unit under the laws of Mongolia shall be treated as a person for the purposes of this Convention.

(3) Where, under any provision of this Convention, a partnership is entitled, as a resident of Mongolia, to exemption from tax in the United Kingdom of any income or capital gains, that provision shall not be construed as restricting the right of the United Kingdom to tax any member of the partnership who is a resident of the United Kingdom on his share of such income or capital gains; but any such income or gains shall be treated for the purposes of Article 24 of this Convention as income or gains from sources in Mongolia.

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