Curaçao-USA Protocol (1995) amending Income and Capital Tax Treaty (1948)

Curaçao­-United States: Protocol (1995) amending Income and Capital Tax Treaty (1948)

PROTOCOL BETWEEN THE GOVERNMENT OF THE UNITED STATES OF AMERICA AND THE GOVERNMENT OF THE KINGDOM OF THE NETHERLANDS IN RESPECT OF THE NETHERLANDS ANTILLES AMENDING ARTICLE VIII OF THE 1948 CONVENTION WITH RESPECT TO TAXES ON INCOME AND CERTAIN OTHER TAXES AS APPLICABLE TO THE NETHERLANDS ANTILLES

The Government of the United States of America and the Government of the Kingdom of the Netherlands in respect of the Netherlands Antilles, hereinafter the Contracting States;

Recognizing that the Convention Between the Government of the United States of America and the Government of the Kingdom of the Netherlands with Respect to Taxes on Income and Certain Other Taxes signed at Washington April 29, 1948, was extended to the Netherlands Antilles in accordance with Article XXVII thereof and that, notwithstanding its subsequent partial termination, Article VIII of the Convention and such other ancillary provisions in the Convention as apply to effectuate, modify or limit the exemption from tax provided in Article VIII continue to apply as between the United States and the Netherlands Antilles;

Desiring to amend Article VIII in light of developments that have affected the application of the Convention with respect to the Netherlands Antilles;

Have agreed as follows:

Article I

Article VIII [Interest] of the Convention shall be amended by adding the following sentence at the end of Paragraph (1):

“The exemption provided by this paragraph shall apply only to interest paid with respect to debt instruments issued on or before October 15, 1984 by a U.S. person to a related controlled foreign corporation that was in existence before October 15, 1984, the principal purpose of which consisted of the issuing of debt obligations or the holding of short-­term obligations and lending the proceeds of such obligations to affiliates.”

Article II

1. This Protocol shall be subject to ratification in accordance with the applicable procedures of each Contracting State. The Protocol shall enter into force upon the later of June 30, 1996, or the exchange of instruments of ratification.

2. Notwithstanding Paragraph 1, if this Protocol has not entered into force prior to January 1, 1997, it shall not enter into force.

IN WITNESS WHEREOF, the undersigned, duly authorized thereto by their respective Governments, have signed this Protocol.

Done at Washington, this 10th day of October 1995, in duplicate, in the English language.
FOR THE GOVERNMENT OF THE                    FOR THE GOVERNMENT OF THE>
UNITED STATES OF AMERICA:                       KINGDOM OF THE NETHERLANDS:>