ARTICLE 11 　　　　　　　　　　　　　　Interest 　　1. Interest derived and beneficially owned by a resident of a Contracting State may be taxed only in that State. 　　2. The term "interest" as used in this Convention means income from debt-claims of every kind, unless described in paragraph 3 of Article 10 (Dividends), and in particular, income from government securities, and income from bonds or debentures, including premiums or prizes attaching to such securities, bonds, or debentures as well as all other income that is treated as income from money lent by the taxation law of the Contracting State in which the income arises. 　　3. The provisions of paragraph 1 shall not apply if the beneficial owner of the interest, being a resident of a Contracting State, carries on or has carried on business in the other Contracting State through a permanent establishment situated therein, or performs or has performed in that other State independent personal services from a fixed base situated therein, and the interest is attributable to such permanent establishment or fixed base. In such case the provisions of Article 6 (Business Profits) or Article 13 (Independent Personal Services), as the case may be, shall apply. 　　4. Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the interest, having regard to the debtclaim for which it is paid, exceeds the amount which would have been agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of this Article shall apply only to the last-mentioned amount. In such case the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of the Convention. 　　　　　　　　　　　　　　ARTICLE 12 　　　　　　　　　　　　　　Royalties 　　1. Royalties derived and beneficially owned by a resident of a Contracting State shall be taxable only in that State. 　　2. The term "royalties" as used in this Convention means payments of any kind received as a consideration for the use of, or the right to use, any copyright of literary, artistic, or scientific work, including computer programs, video cassettes, and cinematograph films and tapes for radio and television broadcasting; any patent, trademark, design or model, plan, secret formula or process, or other like right or property, or information concerning industrial, commercial, or scientific experience ("know-how"). 　　3. The provisions of paragraph 1 shall not apply if the beneficial owner of the royalties, being a resident of a Contracting State, carries on or has carried on business in the other Contracting State through a permanent establishment situated therein, or performs or has performed in that other State independent personal services from a fixed base situated therein, and the royalties are attributable to such permanent establishment or fixed base. In such case the provisions of Article 6 (Business Profits) or Article 13 (Independent Personal Services), as the case may be, shall apply. 　　4. Where, by reason of a special relationship between the payer and the beneficial owner or between both of them and some other person, the amount of the royalties, having regard to the use, right, or information for which they are paid, exceeds the amount which would have been agreed upon by the payer and the beneficial owner in the absence of such relationship, the provisions of this Article shall apply only to the last-mentioned amount. In such case the excess part of the payments shall remain taxable according to the laws of each Contracting State, due regard being had to the other provisions of the Convention. 　　　　　　　　　　　　　　ARTICLE 13 　　　　　　　　　　Independent Personal Services 　　1. Income derived by an individual who is a resident of a Contracting State from the performance of independent personal services shall be taxable only in that State, unless a) such services are performed or were performed in the other Contracting State; and 　　b) the income is attributable to a fixed base which the individual has or had regularly available to him in that other State; and 　　c) such individual is present or was present in that other State for a period or periods exceeding in the aggregate 183 days in the calendar year. In such a case, the income attributable to that fixed base may be taxed in that other State in accordance with principles similar to those of Article 6 (Business Profits) for determining the amount of business profits and attributing business profits to a permanent establishment. 　　2. The term "independent personal services" includes, in particular, independent scientific, literary, artistic, educational or teaching activities, as well as the independent services of physicians, lawyers, engineers, architects, dentists, and accountants. 　　　　　　　　　　　　　　ARTICLE 14 　　　　　　　　　　　Income from Employment 　　1. Subject to the provisions of Articles 15 (Directors' Fees), 16 (Government Service), and 17 (Pensions), salaries, wages, and other similar remuneration derived by a resident of a Contracting State in respect of an employment shall be taxable only in that State unless the employment is exercised in the other Contracting State. If the employment is so exercised, such remuneration as is derived therefrom may be taxed in that other State. 　　2. Notwithstanding the provisions of paragraph 1, remuneration derived by a resident of a Contracting State in respect of an employment exercised in the other Contracting State shall be taxable only in the first-mentioned State if all of the following conditions are met: 　　a) the recipient is present in the other State for a period or periods not exceeding in the aggregate 153 days in the calendar year concerned; 　　b) the remuneration is paid by, or on behalf of, an employer who is not a resident of the other State; 　　c) the remuneration is not borne by a permanent establishment or a fixed base which the employer has in the other State. 　　3. Remuneration derived by a resident of a Contracting State that would otherwise be taxable in the other Contracting State under the preceding provisions of this Article may be taxed only in the firstmentioned State when the remuneration is in respect of: 　　a) employment as a member of the regular complement of a ship or aircraft operated in international traffic, or 　　b) employment directly connected with a place of business which is not a permanent establishment under paragraph 3 of Article 5 (Permanent Establishment), but only if such resident is present in the other State for a period not exceeding 12 consecutive months, or 　　c) technical services directly connected with the application of a right or property giving rise to a royalty, as defined in paragraph 2 of Article 12 (Royalties), if such services are provided as part of a contract granting the use of the right or property. 　　　　　　　　　　　　　　ARTICLE 15 　　　　　　　　　　　　　Directors Fees 　　Directors' fees and similar payments derived by a resident of a Contracting State in his capacity as a member of the board of directors or similar body of a company which is a resident of the other Contracting State may be taxed in that other State. 　　　　　　　　　　　　　ARTICLE 16 　　　　　　　　　　　　Government Service 　　1. Remuneration, excluding a pension, paid from the public funds of a Contracting State, a political subdivision or local authority of the United States or any republic or local authority of Russia to an individual in respect of services rendered in the discharge of functions of a governmental nature shall be taxable only in that State. However, such remuneration shall be taxable only in the other Contracting State if the services are rendered in that State and the individual is a resident of that State who: 　　a) is a citizen of that State or 　　b) did not become a resident of that State solely for the purpose of rendering the services. 　　2. Any pension paid from the public funds of a Contracting State, a political subdivision or local authority of the United States or any republic or local authority of Russia to an individual in respect of services rendered to that State, subdivision, authority or republic shall be taxable only in that Contracting State. However, such pension shall be taxable only in the other Contracting State if the individual is a resident of, and a citizen of, that other Contracting State. 　　3. Notwithstanding the provisions of paragraphs 1 and 2, the provisions of Article 13 (Independent Personal Services), Article 14 (Income from Employment), or Article 17 (Pensions), as the case may be, shall apply to remuneration paid in respect of services rendered in connection with a business. 　　　　　　　　　　　　　　ARTICLE 17 　　　　　　　　　　　　　　Pensions 　　Subject to the provisions of Article 16 (Government Service): 　　a) Pensions and other similar remuneration derived and beneficially owned by a resident of a Contracting State in consideration of past employment may be taxed only in that State; and 　　b) Social security benefits and other public pensions paid by a Contracting State may be taxed only in that State. 　　　　　　　　　　　　　　　ARTICLE 18 　　　　　　　　　　Students, Trainees and Researchers 　　1. An individual who is a resident of a Contracting State at the beginning of his visit to the other Contracting State and who is temporarily present in that other State for the primary purpose of: 　　a) studying at a university or other accredited educational institution in that other State, or 　　b) securing training required to qualify him to practice a profession or professional specialty, or 　　c) studying or doing research as a recipient of a grant, allowance, or other similar payments from a governmental, religious, charitable, scientific, literary, or educational organization, shall be exempt from tax by that other State with respect to payments from abroad for the purpose of his maintenance, education, study, research, or training, and with respect to the grant, allowance, or other similar payments. 　　2. The exemption in paragraph 1 shall apply only for such period of time as is ordinarily necessary to complete the study, training or research, except that no exemption for training or research shall extend for a period exceeding five years. 　　3. This Article shall not apply to income from research if such research is undertaken not in the public interest but primarily for the private benefit of a specific person or persons. 　　　　　　　　　　　　　　　ARTICLE 19 　　　　　　　　　　　　　　　Other Income 　　1. Items of income of a resident of a Contracting State, wherever arising, not dealt with in the foregoing Articles of this Convention shall be taxable only in that State. 　　2. The provisions of paragraph 1 shall not apply to income if the beneficial owner of the income, being a resident of a Contracting State, carries on or has carried on business in the other Contracting State through a permanent establishment situated therein, or performs or has performed in that other State personal services in an independent capacity from a fixed base situated therein, and the income is attributable to such permanent establishment or fixed base. In such case the provisions of Article 6 (Business Profits) or Article 13 (Independent Personal Services), as the case may be, shall apply. 　　3. Notwithstanding the provisions of paragraph 1, gains derived by a resident of a Contracting State from the alienation of real property (as defined in paragraph 2 of Article 9 (Income from Real Property)) situated in the other Contracting State, or of shares or other rights participating in profits in a company whose assets consist not less than 50 percent of real property situated in that other Contracting State, may be taxed in accordance with the domestic law of that other State. 　　　　　　　　　　　　　　　　ARTICLE 20 　　　　　　　　　　　　　Limitation on Benefits 　　1. A person that is a resident of a Contracting State and derives income from the other Contracting State shall be entitled under this Convention to relief from taxation in that other State only if such person is: 　　a) an individual; 　　b) engaged in the active conduct of business in the first-mentioned State (other than the business of making or managing investments, unless these activities are banking or insurance activities carried on by a bank or insurance company), and the income derived from that other State is derived in connection with, or is incidental to, that business; 　　c) a company the shares of which are traded in the first-mentioned State on a substantial and regular basis on an officially recognized securities exchange or a company which is wholly owned, directly or indirectly, by another company that is a resident of the first-mentioned State and the shares of which are so traded; 　　d) a not-for-profit organization that is generally exempt from income taxation in its Contracting State of residence, provided that more than half of the beneficiaries, members or participants, if any, in such organization are entitled, under this Article, to the benefits of this Convention; or 　　e) a person that satisfies both of the following conditions: 　　i) more then 50 percent of the beneficial interest in such person, or in the case of a company, more than 50 percent of the number of shares of each class of the company's shares, is owned directly or indirectly by persons entitled to the benefits of this Convention under subparagraphs a), c) or d), and 　　ii) not more than 50 percent of the gross income of such person is used, directly or indirectly, to meet liabilities (including liabilities for interest or royalties) to persons not entitled to the benefits of this Convention under subparagraphs a), c) or d). 　　2. A person that is not entitled to the benefits of the Convention pursuant to the provisions of paragraph 1 may, nevertheless, be granted the benefits of the Convention if the competent authority of the State in which the income arises so determines. 　　3. For purposes of subparagraph (e)(ii) of paragraph 1, the term "gross income" means gross receipts, or where a person is engaged in a business which includes the manufacture or production of goods, gross receipts reduced by the direct costs of labor and materials attributable to such manufacture or production and paid or payable out of such receipts. 　　　　　　　　　　　　　　　ARTICLE 21 　　　　　　　　　　　　　　　Capital 　　1. Capital represented by real property referred to in Article 9 (Income from Real Property) owned by a resident of a Contracting State and situated in the other Contracting State may he taxed in that other State. 　　2. Capital represented by movable property forming part of the business property of a permanent establishment which a resident of a Contracting State has in the other Contracting State, or by movable property pertaining to a fixed base available to a resident of a Contracting State in the other Contracting State for the purpose of performing independent personal services, may be taxed in that other State. 　　3. Capital represented by ships, aircraft, and containers owned by a resident of a Contracting State and operated in international traffic, and by movable property pertaining to the operation of such ships, aircraft, and containers shall be taxable only in that State. 　　4. All other elements of capital of a resident of a Contracting State shall be taxable only in that State. 　　　　　　　　　　　　ARTICLE 22 　　　　　　　　　Relief From Double Taxation 　　In accordance with the provisions and subject to the limitations of the law of each Contracting State (as it may be amended from time to time without changing the general principle hereof), each State shall allow to its residents (and, in the case of the United States, its citizens), as a credit against the tax on income, the income tax paid to the other Contracting State by such residents (and, in the case of the United States, also such citizens). 　　　　　　　　　　　　ARTICLE 23 　　　　　　　　　　Non-discrimination 　　1. A citizen of a Contracting State shall not be subjected in the other Contracting State to any taxation or any requirement connected therewith which is other or more burdensome than the taxation and connected requirements to which a citizen of that other State or of a third State, who is in the same circumstances, is or may be subjected. This provision shall apply to persons who are not residents of one or both of the Contracting States. This provision shall not be construed as obliging a Contracting State to grant to citizens of the other Contracting State tax benefits granted by special agreements to citizens of a third State. 　　2. A resident of a Contracting State which has a permanent establishment in the other Contracting State shall not, in that other State and with respect to income attributable to that permanent establishment, be subjected to more burdensome taxes than are generally imposed on residents of that other State or of a third State which are carrying on the same activities. This provision shall not be construed as obliging a Contracting State to grant to permanent establishments of the residents of the other Contracting State tax benefits granted by special agreements to permanent establishments of the residents of a third State. 　　3. Except where the provisions of paragraph 1 of Article 7 (Adjustments to Income in Cases Where Persons Participate, Directly or Indirectly, in the Management, Control or Capital of Other Persons,) paragraph 4 of Article 11 (Interest), or paragraph 4 of Article 12 (Royalties) apply, interest, royalties, and other disbursements paid by a resident of a Contracting State to a resident of the other Contracting State shall, for the purposes of determining the taxable profits of the first-mentioned resident, be deductible under the same conditions as if they had been paid to a resident of the first-mentioned State. Similarly, any debts of a resident of a Contracting State to a resident of the other Contracting State shall, for the purposes of determining the taxable capital of the first-mentioned resident, be deductible under the same conditions as if they had been contracted to a resident of the first-mentioned State. 　　4. A company which is a resident of a Contracting State, the capital of which is wholly or partly owned or controlled, directly or indirectly, by one or more residents of the other Contracting State, shall not be subjected in the first-mentioned State to any taxation or any requirement connected therewith which is more burdensome than the taxation and connected requirements to which other similar companies which are residents of the first-mentioned State (whether owned by residents of that State or of a third State) are or may be subjected. 　　5. Nothing in this Article shall prevent a Contracting State from imposing the tax described in paragraph 5 of Article 10 (Dividends). 　　6. The provisions of this Article shall, notwithstanding the provisions of Article 2 (Taxes Covered), apply to taxes of every kind and description. 　　　　　　　　　　　　　　ARTICLE 24 　　　　　　　　　　Mutual Agreement Procedure 　　1. Where a person considers that the actions of one or both of the Contracting States result or will result for him in taxation not in accordance with the provisions of this Convention, he may, irrespective of the remedies provided by the domestic law of those States, present his case to the competent authority of the Contracting State of which he is a resident or citizen. 　　2. The competent authority shall endeavor, if the objection appears to it to be justified and if it is not itself able to arrive at a satisfactory solution, to resolve the case by mutual agreement with the competent authority of the other Contracting State, with a view to the avoidance of taxation which is not in accordance with the Convention. Any agreement reached shall be implemented notwithstanding any time limits or other procedural limitations in the domestic law of the Contracting States. 　　3. The competent authorities of the Contracting States shall endeavor to resolve by mutual agreement any difficulties or doubts arising as to the interpretation or application of the Convention. In particular the competent authorities of the Contracting States may agree: 　　a) to the same attribution of income, deductions, credits, or allowances of a resident of a Contracting State to its permanent establishment situated in the other Contracting State; 　　b) to the same allocation of income, deductions, credits, or allowances between persons; 　　c) to the same characterization of particular items of income; 　　d) to the same application of source rules with respect to particular items of income; 　　e) to a common meaning of a term; and 　　f) to the application of the provisions of domestic law regarding penalties, fines, and interest in a manner consistent with the purposes of the Convention. 　　They may also consult together for the elimination of double taxation in cases not provided for in the Convention. 　　4. The competent authorities of the Contracting States may communicate with each other directly for the purpose of reaching an agreement in the sense of the preceding paragraphs. 　　　　　　　　　　　　ARTICLE 25 　　　　　　　　Exchange of Information 　　1. The competent authorities of the Contracting States shall exchange such information as is necessary for carrying out the provisions of this Convention or of the domestic laws of the Contracting States concerning taxes covered by the Convention insofar as the taxation thereunder is not contrary to the Convention. The exchange of information is not restricted by Article 1 (General Scope). Any information received by a Contracting State shall be treated as confidential in the same manner as information obtained under the domestic laws of that State and shall be disclosed only to persons or authorities (including courts and administrative bodies) involved in the assessment, collection, or administration of, the enforcement or prosecution in respect of, or the determination of appeals in relation to, the taxes covered by the Convention. Such persons or authorities shall use the information only for such purposes. They may disclose the information in public court proceedings or in judicial decisions. 　　2. In no case shall the provisions of paragraph 1 be construed so as to impose on a Contracting State the obligation: 　　a) to carry out administrative measures at variance with the laws and administrative practice of that or of the other Contracting State; 　　b) to supply information which is not obtainable under the laws or in the normal course of the administration of that or of the other Contracting State; 　　c) to supply information which would disclose any trade, business, industrial, commercial, or professional secret or trade process, or information the disclosure of which would be contrary to public policy. 　　3. If information is requested by a Contracting State in accordance with this Article, the other Contracting State shall obtain the information to which the request relates in the same manner and to the same extent as if the tax of the first-mentioned State were the tax of that other State and were being imposed by that other State. If specifically requested by the competent authority of a Contracting State, the competent authority of the other Contracting State shall provide information under this Article in the form of depositions of witnesses and authenticated copies of complete original documents (including books, papers, statements, records, accounts, and writings), to the same extent such depositions and documents can be obtained under the laws and administrative practices of that other State with respect to its own taxes. 　　4. For the purposes of this Article, the Convention shall apply, notwithstanding the provisions of Article 2 (Taxes Covered), to taxes of every kind imposed by a Contracting State. 　　　　　　　　　　　　　ARTICLE 26 　　　　Members of Diplomatic Missions and Consular Officers 　　Nothing in this Convention shall affect the fiscal privileges of members of diplomatic missions and consular officers or employees of a consular establishment under the general rules of international law or under the provisions of special agreements. 　　　　　　　　　　　　　ARTICLE 27 　　　　　　　　　　　　Entry Into Force 　　1. This Convention shall be subject to ratification in each Contracting State and instruments of ratification shall be exchanged as soon as possible. 　　2. The Convention shall enter into force on the date of the exchange of instruments of ratification and its provisions shall have effect: 　　a) in respect of taxes withheld at source on dividends, interest or royalties, for amounts paid or credited on or after the first day of the second month following the month in which the Convention enters into force; 　　b) in respect of other taxes, for taxable periods beginning on or after the first of January following the date on which the Convention enters into force. 　　3. Upon entry into force of the provisions of this Convention in accordance with this Article, the Convention between the United States of America and the Union of Soviet Socialist Republics on Matters of Taxation, signed on June 20, 1973, ("the 1973 Convention") shall cease to have effect. 　　4. Where any greater relief from tax would have been afforded to a person entitled to the benefits of the 1973 Convention under that Convention than under this Convention, the 1973 Convention shall, at the election of such person, continue to have effect in its entirety for the first taxable year with respect to which the provisions of this Convention would otherwise have effect under paragraph 2. 　　　　　　　　　　　　　ARTICLE 28 　　　　　　　　　　　　　Termination 　　This Convention shall remain in force until terminated by a Contracting State. Either Contracting State may terminate the Convention at any time after 5 years from the date on which the Convention enters into force, by giving, through diplomatic channels, at least 6 months prior notice of termination in writing. In such event, the Convention shall cease to have effect: 　　a) in respect of taxes withheld at source, for amounts paid or credited on or after the first of January following the expiration of the 6 month period; 　　b) in respect of other taxes, for taxable periods beginning on or after the first of January following the expiration of the 6 month period. 　　DONE at Washington, this seventeenth day of June, 1992, both in duplicate, in the English and Russian languages, both texts being equally authentic. FOR THE UNITED STATES FOR THE RUSSIAN OF AMERICA: FEDERATION: (s) George Bush (s) Boris Yelsin