Article 12 Capital Gains 　　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 Contracting State. 　　2.Gains from the alienation of movable property forming part of the business property of a permanent establishment which an enterprise of a Contracting State has in the other Contracting State or of 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, including such gains from the alienation of such a permanent establishment (alone or with the whole enterprise) or of such a fixed base, may be taxed in that other Contracting State. 　　3.Gains from the alienation of ships or aircraft operated in international traffic and movable property pertaining to the operation of such ships or aircraft which are received by a resident of a Contracting State may only be taxed in that State. 　　4.Gains from the alienation of shares in the capital of a company, the assets of which consist mainly, directly or indirectly, of immovable property situated in a Contracting State, may be taxed in that contracting State. 　　5.Gains derived from the alienation of shares, other than those mentioned in paragraph 4 and which represent a participation of 25% in a company which is a resident of a Contracting State, may be taxed in that Contracting State. 　　6.Gains which a resident of a Contracting State derives from the alienation of any property other than that mentioned in paragraphs 1 to 5 above, may be taxed in the other Contracting State, if those gains are derived therefrom. 　　Article 13 Independent Personal Services 　　1.Income derived by a resident of a Contracting State in respect of professional services or other activities of an independent character shall be taxable only in that Contracting State; however, such income may also be taxed in the other Contracting State in the following circumstances: 　　(a)if he has a fixed base regularly available to him in the other Contracting State for the purpose of performing his activities; in such case so much of the income as is attributable to that fixed base may be taxed in that other Contracting State; or 　　(b)if his stay in the other Contracting State is for a period or periods exceeding in the aggregate 183 days in the calendar year concerned; in such case only so much of the income as is derived from the activities performed in that other Contracting State may be taxed in that other State. 　　2.The term "professional services" includes especially independent scientific, literary, artistic, educational or teaching activities as well as the independent activities of physicians, lawyers, engineers, architects, dentists and accountants. 　　Article 14 Dependent Personal Services 　　1.Subject to the provisions of Articles 15, 17, 18, 19 and 20, 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 Contracting 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 Contracting 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 the three following conditions are simultaneously met: 　　(a)the recipient is present in the other Contracting State for a period or periods not exceeding in the aggregate 183 days in the calendar year concerned; and 　　(b)the remuneration is paid by, or on behalf of, an employer who is not a resident of the other State; and 　　(c)the remuneration is not borne by a permanent establishment or a fixed base which the employer has in the other Contracting State. 　　3.Notwithstanding the provisions of paragraphs 1 and 2, remuneration derived in respect of an employment exercised aboard a ship or aircraft operated in international traffic by an enterprise of a Contracting State may be taxed in that Contracting State. 　　Article 15 Directors' Fees 　　directors' fees and other similar payments derived by a resident of a Contracting State in his capacity as a member of the board of directors of a company which is a resident of the other Contracting State may be taxed in that other State. 　　Article 16 Artistes and Athletes 　　1.Notwithstanding the provisions of Articles 13 and 14, income derived by a resident of a Contracting State as an entertainer, such as a theatre, motion picture, radio or television artiste, or a musician, or as an athlete, from his personal activities as such exercised in the other Contracting State, may be taxed in that other Contracting State. 　　2.Where income in respect of personal activities exercised by an entertainer or an athlete in his capacity as such accrues not to the entertainer or athlete himself but to another person, that income may, notwithstanding the provisions of Articles 7, 13 and 14, be taxed in the Contracting State in which the activities of the entertainer or athlete are exercised. 　　3.Notwithstanding the provisions of paragraphs 1 and 2, income derived from activities of an entertainer or an athlete who is a resident of a Contracting State, exercised in the other Contracting State within the framework of a cultural exchange program between the Governments of both Contracting States, shall not be taxed in that other Contracting State. 　　Article 17 Pensions 　　1.Subject to the provisions of paragraph 2 of Article 18, pensions and other similar remuneration paid to a resident of a Contracting State in consideration of past employment shall be taxable only in that Contracting State. 　　2.Notwithstanding the provisions of paragraph 1, pensions and other payments made by a Contracting State or a local authority thereof under its social security legislation shall be taxable only in that Contracting State. 　　Article 18 Government Service 　　1.(a) Remuneration, other than a pension, paid by the Government of a Contracting State or a local authority thereof to any individual in respect of services rendered to that State or authority shall be taxable only in that State. 　　(b)However, such remuneration shall be taxable only in the other Contracting State if the services are rendered in that Contracting State and the individual is a resident of that Contracting State who: 　　(ⅰ)is a national of that other Contracting State; or 　　(ⅱ)die not become a resident of that other State solely for the purpose of performing the services. 　　2.(a)Any pension paid by, or out of funds created by the Government of a Contracting State or a local authority thereof to an individual in respect of services rendered to that State or authority shall be taxable only in that Contracting State. 　　(b)However, such pension shall be taxable only in the other Contracting State if the individual is a resident of, and a national of, that other Contracting State. 　　3.The provisions of Articles 14, 15, 16 and 17 shall apply to remuneration and pensions in respect of services rendered in connection with a business carried on by the Government of a Contracting State or a local authority thereof. 　　Article 19 Professors and Researchers 　　Remuneration which an individual who is or was immediately before visiting a Contracting State a resident of the other Contracting State, and who is present in the first-mentioned State solely for the purpose of teaching, giving lectures or engaging in research in a university, institute, school, or teaching institution or research institution recognized by the Government of that State, receives for such services shall be exempt from tax in that State for a period not exceeding, in total, three years, as from the date of his first arrival in that State. 　　Article 20 Students and Trainees 　　Payments which a student, a business apprentice or a trainee who is or was immediately before visiting a Contracting State a resident of the other Contracting State, and who is present in the first-mentioned Contracting state solely for the purpose of his education or training, receives for the purpose of his maintenance, education or training, shall be exempt from tax in that State. 　　Article 21 Other Income 　　1.Items of income of a resident of a Contracting State not dealt with in the foregoing Articles of this Agreement and arising in the other Contracting State may be taxed in that other Contracting State. 　　2.However, items of income of a resident of a Contracting State, wherever arising, other than those mentioned in paragraph 1, which are not dealt with in the foregoing Articles of this Agreement, shall be taxable only in that Contracting State. 　　3.The provisions of paragraphs 1 and 2 shall not apply to income, other than income from immovable property as defined in paragraph 2 of Article 6, if the recipient of such income, being a resident of a Contracting State, carries on business in the other Contracting State through a permanent establishment situated therein, or performs in that other State independent personal services from a fixed base situated therein, and the right or property in respect of which the income is paid is effectively connected with such permanent establishment or fixed base. In such case the provisions of Article 7 or Article 13, as the case may be, shall apply. 　　Article 22 Methods for Elimination of Double Taxation 　　Double taxation shall be avoided in the two Contracting States as follows: 　　1.In the case of the People's Republic of China: 　　(a)where a resident of China derives income from France, the tax levied in accordance with this Agreement in France on income, may be deducted from the Chinese tax payable by that resident of China, but the amount of the deduction shall not exceed the amount of Chinese tax on that income, calculated in accordance with the tax laws and regulations in the People's Republic of China; 　　(b)where the income consists of dividends paid by a company that is a resident of France to a company which is a resident of China and which owns more than 10% of the shares of the company paying the dividends, then, for the deduction from Chinese tax, the French tax paid by the company paying the dividends which corresponds to those dividends must be taken into account. 　　2.In the case of the French Republic: 　　(a)income other than that referred to in sub-paragraph (b) below shall be exempt from the French taxes mentioned in sub-paragraph (b) of paragraph 3 of Article 2, when such income is taxable in China under this Agreement; 　　(b)income referred to in Articles 9,10,11,12,15 and 16 derived from China shall be taxable in France, in accordance with the provisions of those Articles, on their gross amount. Residents of France will be entitled to a tax credit in France corresponding to the amount of Chinese tax levied on such income, but which shall not exceed the amount of French tax pertaining on such income; 　　(c)for the purposes of sub-paragraph (b) and in the case of the items of income referred to in Articles 9, 10 and 11, the amount of Chinese tax levied shall be deemed to be equal to: 　　(ⅰ)10% of the gross amount of the dividends paid by Chinese companies with mixed capital, 20% of other dividends; 　　(ⅱ)10% of the gross amount of the interest; 　　(ⅲ)20% of the gross amount of the royalties. 　　(d)notwithstanding the provisions of sub-paragraphs (a) and (b), French tax is computable on income taxable in France by virtue of this Agreement, at rates appropriate to the total of income taxable in accordance with French law. 　　Article 23 Non-Discrimination 　　1.Nationals 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 nationals of that other State in the same circumstances are or may be subjected. This provision shall notwithstanding the provisions of Article 1, also apply to persons who are not residents of one or both of the Contracting States. 　　2.The taxation on a permanent establishment which an enterprise of a Contracting State has in the other Contracting State shall not be less favourably levied in that other State than the taxation levied on enterprises of that other State carrying on the same activities. This provision shall not be construed as obliging a Contracting State to grant to residents of the other Contracting State any personal allowances, reliefs and reductions for taxation purposes on account of civil status or family responsibilities which it grants to its own residents. 　　3.Except where the provisions of Article 8, paragraph 7 of Article 10 or paragraph 6 of article 11, apply, interest, royalties and other disbursements paid by an enterprise of a Contracting State to a resident of the other Contracting State shall, for the purpose of determining the taxable profits of such enterprise, be deductible under the same conditions as if they had been paid to a resident of the first-mentioned State. 　　4.Enterprises 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 Contracting State to any taxation or any requirement connected therewith which is other or more burdensome than the taxation and connected requirements to which other similar enterprises of that first-mentioned State are or may be subjected. 　　5.The provisions of this Article shall, notwithstanding the provisions of Article 2, 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 Agreement, 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, if his case comes under paragraph 1 of Article 23, to that of the Contracting State of which he is a national. The case must be presented within three years from the first notification of the action resulting in taxation not in accordance with the provisions of the Agreement. 　　2.The competent authority shall endeavour , 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 not in accordance with the Agreement. Any agreement reached shall be implemented notwithstanding any time limits in the domestic laws of the Contracting States. 　　3.The competent authorities of the Contracting States shall endeavour to resolve by mutual agreement any difficulties or doubts arising as to the interpretation or application of the Agreement. They may also consult together for the elimination of double taxation in cases not provided from in the Agreement. 　　4.The competent authorities of the two Contracting States may communicate with each other directly for the purpose of reaching an agreement in the sense of paragraphs 2 and 3. To facilitate an agreement, the competent authorities of the two Contracting States may endeavour to reach an agreement through an oral exchange of opinions. 　　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 Agreement or of the domestic laws of the Contracting States concerning taxes covered by the Agreement insofar as the taxation thereunder is not contrary to the Agreement and, in particular, for the prevention of tax evasion. The exchange of information is not restricted by Article 1. Any information received by a Contracting State shall be treated as secret and shall be disclosed only to persons or authorities, including courts and administrative bodies, involved in the assessment or collection of, or the determination of appeals in relation to, the taxes covered by the Agreement. Such persons or authorities shall use the information only for such purposes. But 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 or the 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 ( ordre public). 　　Article 26 Diplomats 　　Nothing in this Agreement shall affect the fiscal privileges of diplomatic agents or consular officers under the general rules of international law or under the provisions of special agreements. 　　Article 27 Scope of Territorial Application 　　This agreement shall apply: 　　(a)in the case of the People's Republic of China, to the entire territory of the People's Republic of China in which the Chinese tax legislation is effectively applied, including the territorial sea and the areas adjacent thereto, over which the People's Republic of China may, in accordance with international law, exercise sovereign rights for the purpose of exploration and exploitation of the natural resources of the sea bed and sub-soil, and of the waters above the sea bed and sub-soil; 　　(b)in the case of the French Republic, to all departments and territories of the French Republic in which the French tax legislation with respect to the taxes referred to in this Agreement effectively applies, including the territorial sea and areas adjacent thereto, over which the French Republic may, in accordance with international law, exercise sovereign rights for the purpose of exploration and exploitation of the natural resources of the sea bed and sub-soil, and of the waters above the sea bed and sub-soil. 　　Article 28 Entry into Force 　　The two Contracting states shall notify each other in writing through diplomatic channels that the procedures required by their respective laws for the bringing into force of this Agreement have been completed. This Agreement shall enter into force on the 30th day after the date of the later of the notifications. It shall have effect on income arising as from 1 January or on income pertaining to accounting periods beginning in the course of the year following that in which the Agreement enters into force. 　　Article 29 Termination 　　This Agreement shall continue in effect indefinitely. However, five years after the date of entry into force, each of the Contracting States may give notice through diplomatic channels, before 1 July, of termination of this Agreement at the end of that calendar year. 　　In such event, the Agreement shall apply for the last time to income arising as from 1 January, or on income pertaining to accounting periods ending during the year following that in which such notice is given. 　　IN WITNESS WHEREOF the undersigned, duly authorized thereto, have signed this Agreement. 　　DONE in duplicate in Paris on 30 May 1984, in the Chinese and French languages, both texts being equally authentic. For the Government of the People's For the government of Republic of China the French Republic