9. pants

(1) Šo grozījumu protokolu ratificē un ratifikācijas rakstu

apmaiņu veic visdrīzākajā laikā.

(2) Šis grozījumu protokols stājas spēkā trīsdesmitajā dienā

pēc ratifikācijas rakstu apmaiņas datuma, un tā noteikumi abās

Līgumslēdzējās Valstīs tiek piemēroti:

a) attiecībā uz nodokļiem, ko ietur ienākuma izmaksas brīdī

par summām, kas samaksātas - janvāra pirmajā dienā vai pēc tās,

kalendārajā gadā, kas seko gadam, kurā šis grozījumu protokols

stājies spēkā;

b) attiecībā uz nodokļiem, kas tiek iekasēti par jebkuru

taksācijas periodu, kas sākas janvāra pirmajā dienā vai pēc tās,

kalendārajā gadā, kas seko gadam, kurā šis grozījumu protokols

stājies spēkā.

Parakstīts Rīgā, 2022.gada 29.septembrī divos eksemplāros,

katrs latviešu, vācu un angļu valodā, turklāt visi trīs teksti ir

autentiski. Latviešu un vācu tekstu atšķirīgas interpretācijas

gadījumā izšķirošais ir teksts angļu valodā.

Latvijas Republikas vārdā

Jānis

Reirs

Vācijas Federatīvās

Republikas vārdā

Kristians

Helts

Protocol

amending the Agreement of 21 February 1997

between

the Republic of Latvia

and

the Federal Republic of Germany

for the Avoidance of Double Taxation

with respect to Taxes on Income and on Capital

The Republic of Latvia

and

the Federal Republic of

Germany,

Desiring to conclude a Protocol amending the Agreement of 21

February 1997 between the Republic of Latvia and the Federal

Republic of Germany for the Avoidance of Double Taxation with

respect to Taxes on Income and on Capital,

Have agreed as follows:

Article 1

The Preamble shall read as follows:

"The Republic of Latvia

and

the Federal Republic of

Germany,

Desiring to further develop their economic relationship and to

enhance their co-operation in tax matters,

Intending to eliminate double taxation with respect to the

taxes covered by this Agreement without creating opportunities

for non-taxation or reduced taxation through tax evasion or

avoidance (including through treaty-shopping arrangements aimed

at obtaining reliefs provided in this Agreement for the indirect

benefit of residents of third States),

Have agreed as follows:".

Article 2

Sub-paragraph a) of paragraph 1 of Article 3 (General

Definitions) shall read as follows:

"a) the term "Federal Republic of Germany"

means the Federal Republic of Germany and, when used in a

geographical sense, includes the territory of the Federal

Republic of Germany as well as the area of the sea-bed, its

subsoil and the superjacent water column adjacent to the

territorial sea, wherein the Federal Republic of Germany

exercises sovereign rights or jurisdiction in conformity with

international law and its national legislation for the purpose of

exploring, exploiting, conserving and managing the living and

non-living natural resources or for the production of energy from

renewable energy sources;".

Article 3

The wording of Article 9 (Associated Enterprises) shall be

paragraph 1 of Article 9. A new paragraph 2 of Article 9 shall be

inserted after paragraph 1 as follows:

"(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."

Article 4

Sub-paragraph c) of paragraph 3 of Article 11 (Interest) shall

read as follows:

"c) interest arising in the Federal Republic of Germany

and paid in consideration of a loan guaranteed by, or to the

state joint stock company Attīstības finanšu institūcija

Altum or in consideration of a loan guaranteed by, or to any

organisation established in the Republic of Latvia after the date

of signature of this Agreement and which is of a similar nature

as any of the bodies referred to in sub-paragraph b) (the

competent authorities of the Contracting States shall by mutual

agreement determine whether such organisations are of a similar

nature) shall be exempt from German tax;"

Article 5

(1) Paragraph 1 of Article 13 (Capital Gains) shall read as

follows:

"(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) A new paragraph 1a shall be inserted after paragraph 1 of

Article 13 (Capital Gains) as follows:

"(1a) Gains derived by a resident of a Contracting State

from the alienation of shares or comparable interests, such as

interests in a partnership or trust, may be taxed in the other

Contracting State if, at any time during the 365 days preceding

the alienation, these shares or comparable interests derived more

than 50 per cent of their value directly or indirectly from

immovable property, as defined in Article 6, situated in that

other State."

Article 6

A new sentence 3 shall be inserted after sentence 2 of

paragraph 2 of Article 25 (Mutual Agreement Procedure) as

follows:

"Where a competent authority does not consider the

taxpayer's objection to be justified it shall notify or consult

the competent authority of the other Contracting State without

delay."

Article 7

A new Article 26A shall be inserted after Article 26 (Exchange

of Information) with the following wording:

"Article 26A

Prevention of Treaty Abuse

Notwithstanding the other provisions of this Agreement, a

benefit under this Agreement shall not be granted in respect of

an item of income or capital if it is reasonable to conclude,

having regard to all relevant facts and circumstances, that

obtaining that benefit was one of the principal purposes of any

arrangement or transaction that resulted directly or indirectly

in that benefit, unless it is established that granting that

benefit in these circumstances would be in accordance with the

object and purpose of the relevant provisions of this

Agreement."

Article 8

Paragraph 8 of the Protocol to the Agreement shall be

deleted.

Article 9

(1) This Amending Protocol shall be ratified and the

instruments of ratification shall be exchanged as soon as

possible.

(2) This Amending Protocol shall enter into force thirty days

from the date of the exchange of the instruments of ratification

and shall have effect in both Contracting States:

a) in respect of taxes withheld at source, in respect of

amounts paid on or after the first day of January of the calendar

year next following that in which this Amending Protocol entered

into force;

b) in respect of taxes which are levied for any assessment

period beginning on or after the first day of January in the

calendar year next following that in which this Amending Protocol

entered into force.

Done at Riga on 29th day of September 2022 in two

originals, each in the Latvian, German and English languages, all

three texts being authentic. In the case of divergent

interpretation of the Latvian and the German texts, the English

text shall prevail.

For the

Republic of Latvia

Jānis

Reirs

For the

Federal Republic of Germany

Christian

Heldt