Belgium

PROTOCOL AMENDING THE CONVENTION BETWEEN THE KINGDOM OF SPAIN AND THE KINGDOM OF BELGIUM TRENDING TO AVOID DOUBLE IMPOSITION AND PREVENTION OF EVASION AND TAX FRAUD IN THE FIELD OF RENT AND PATRIC TAXES, AND THE PROTOCOL, SIGNED IN BRUSSELS ON 14 JUNE 1995, AMENDED BY THE ADDITIONAL ACT SIGNED IN MADRID ON 22 JUNE 2000

His Majesty the King of Spain and His Majesty the King of the Belgians,

Desiring to amend the Convention between the Kingdom of Spain and the Kingdom of Belgium aimed at preventing double taxation and preventing tax evasion and fraud in the field of income and property taxes, and the Protocol, signed in Brussels on 14 June 1995, as amended by the Additional Act signed in Madrid on 22 June 2000 (hereinafter referred to as ‘The Convention’),

Have agreed as follows:

ARTICLE I

Article 26 of the Convention is deleted and replaced by the following:

‘1. The competent authorities of the Contracting States shall exchange information which is likely to be relevant to the application of this Convention or to the administration or application of national law relating to taxes of any kind or designation required by, or on behalf of, the Contracting States to the extent that the imposition thus required is not contrary to the Convention. The exchange of information is not limited by Articles 1 and 2.

2. Information received by a Contracting State pursuant to paragraph 1 shall be kept secret in the same manner as information obtained under the domestic law of that State and shall be communicated only to the persons or authorities (including courts and administrative bodies) responsible for the management or collection of taxes referred to in paragraph 1 of the declaratory or executive procedures relating to such taxes, for the determination of appeals relating thereto, or for the supervision of such activities. Such persons or authorities shall use this information only for these purposes. They may disclose the information at public court hearings or in court judgements. Notwithstanding the preceding provision, information received by a Contracting State may be used for other purposes where, under the law of both States, such information may be used for the same other purposes and is authorized by the competent authorities of the State providing the information.

3. In no case may the provisions of paragraphs 1 and 2 be interpreted as obliging a Contracting State to:

(a) take administrative measures contrary to its legislation and administrative practice or those of the other Contracting State;

(b) provide information which cannot be obtained on the basis of their own legislation or in the exercise of their normal administrative practice, or that of the other Contracting State;

(c) provide information revealing business, industrial, commercial or professional secrecy, or an industrial procedure, or information the communication of which is contrary to public policy (ordre public).

4. Where a Contracting State requests information under the provisions of this Article, the other Contracting State shall use the measures to collect information at its disposal in order to obtain the information requested, even if that other Contracting State may not need such information for its own tax purposes. The above obligation is limited by paragraph 3 of this Article, but in no case may Contracting States interpret such limitations as a basis for refusing the exchange of information solely because of the absence of national interest in it.

5. In no case shall the provisions of paragraph 3 of this Article be construed as allowing a Contracting State to refuse the exchange of information solely because it is held by banks, other financial institutions, trusts, foundations, or any person acting in a representative or fiduciary capacity, including designated agents, or because it relates to shares or shares in a person. In order to obtain such information, the tax administration of the Contracting State to which the information is required shall be entitled to request its communication, as well as to inspect and collect evidence, despite the fact that there may be provisions to the contrary in its own tax law.’

Article II

The Contracting States shall notify each other, through diplomatic means, of the completion of the procedures required by their legislation for the entry into force of this Protocol. The Protocol shall enter into force on the date of the last such notification and its provisions shall take effect:

(a) in respect of taxes due at source, in respect of income paid or accrued from 1 January (including) the year following the year in which the Protocol entered into force;

(b) in respect of other taxes in respect of income for periods beginning on or after 1 January (including) the year following the year in which the Protocol entered into force;

(c) in respect of any other tax required by, or on behalf of, the Contracting States in respect of taxable acts occurring from (including) 1 January of the year following the year in which the Protocol entered into force.

Article III

This Protocol, which shall form an integral part of the Convention, shall remain in force for the duration of the Convention and shall apply for as long as the Convention itself applies.

In faith, the signatories, duly authorized for this purpose by their respective Governments, have signed this Protocol.

Done at Brussels, 2 December 2009, in duplicate, in the English, French, Dutch and Spanish languages, the four texts being equally authentic. In the event of a divergence in interpretation, the English text shall prevail.

This Protocol entered into force on 23 April 2018, on the date of the last of the notifications by which the Parties were informed of the completion of their respective domestic requirements, as set out in Article II thereof.

Madrid, May 11, 2018.– Technical Secretary General José María Muriel Palomino.