Page:United States Statutes at Large Volume 49 Part 2.djvu/1130

 3146 DOUBLE TAXATION'". FRANCE. APRIL 27l 1932. Purchases of mer- chandise. State in respect of their industrial and commercial profits except in respect of such profits allocable to their pennanent establishments in the latter State. No account shall be taken, in detennining the tax in one of the contracting States, of the pur- chase of merchandise effected therein by an enterprise of the other Stat.e for the purpose of supplying establishments main- tained by such enterprise in the latter State. ARTICLE II Statem t ent~of Atmclri- American enterprises haying can t'n erprlses it' bl' I . sllbmitte(~ !o Fren:'h pennanent esta IS llnents In fiscaladmllllstratlUD. Frnnce are ~equired to submit to the French fiscal administ,ration the same declarations and the same justifications, with respect to such establishments, as French enterprises. The French fiscal administra- tion has the right, within the provisions of its national legisla- tion and subject to the measures of appeal provided in such legisla- tion, to make such corrections in th~ dedaration of profits realized in France as may be necessary to show the exact amount of such profits. Same applica~ion ~o The same principle applies French enterpnses III • di F h United States. mutatIS mutan s to renc en- terprises having pennanent estab- lishments in the United States. ARTICLE III Income from aircraft. Income which an enterprise of one of the contracting States derives from the operation of aircraft registered in such Stute and engaged in transportation between the two States is taxable only in the fonner State. ARTICLE IV Profits diverted from When an AnlCrican enterprise, Frenc~enterprise~yan by reason of its participation in Amencan enterprise. • the management or capItal of a French enterprise, makes or im- poses on the latter, in their com- mercial or financial relations, contractant, en ce qui concerne les benefices industrIels ct c.om- merciaux, qu'en raison des bene- fices provellant des etablisse- ments stables qu'elles eploitellt dans ce dernier Etat. N'entrent pus en compte pour l'assietw de l'impot dans l'un des Etats contract.ants les Rchuts de marchandises qui y sont effec- tues par une entre prise de l"autre Etat ponrl'appro\'isionnemcnt des ctnblissements que Illdite ent-re- pnse cxploite dUllS ce dernier Etat. ARTICLE II Les entreprises americaines qui possedent des etablissements sta- bles en France Bont tenues de fournir it I' administration fiscllie fran«aise les memes declarations et les memes justifications, en ce qui concerne les dits etublisse- m~nts, que les entreprises fran- <;aIses. L'administration fisc ale fran- «aise a Ie droit, dans la limite des dispositions de sa legislation na- tionale et sous reserve des recours prevus par cette legislation, d'ap- porter it la declaration des bene- fices realises en France, les redres- sements necessaires pour degager Ie chilTre exact de ces benefices. Le meme principe s'appli<\ue, mutatis mutandis, aux entreprIses fran<;aises ayant des ctablisse- ments stabbs aux Etats-Unis. _~RTICLE III Les revenus qu'une entreprise de l'nn des Etats contractants tire de l'exploitation d'aeronefs immatricules dans cet Etat et effectuant Ie transport entre les deux pays ne sont imposables que dans Ie premier Etat. ARTICLE IY Lorsqu'une entreprise ameri- caine, du fait de sa participation it la gestion ou au capital d'une entreprise fran<;aise, fait ou impose a cette dernierc, dans leurs rela- tions commerciales ou financieres,