Convention between France and Ukraine for the avoidance of double taxation dated 30 January 1997 entered into force on 1 November 1999 (ratified by the Law of Ukraine # 150 dated 3 March 1998).
Article 10 (Dividends):
Paragraph 2. Dividends may be taxed in the Contracting State of which the company paying the dividends is a resident and according to the laws of that State, but if the beneficial owner of the dividends is the resident of the other Contracting State the tax so charged shall not exceed:
(a) 5% of the gross amount of the dividends if the beneficial owner is a company which holds directly or indirectly at least 20% of the capital of the company paying the dividends if the company is the resident of Ukraine;
(b) 15% of the gross amount of the dividends in all other cases.
Paragraph 3. Notwithstanding the provisions of paragraphs 1 and 2, dividends paid by a company being a resident of a Contracting State shall be taxable only in the other Contracting State if the beneficial owners of such dividends are one or several companies being residents of the other State and if:
a) that or those companies together hold directly or indirectly at least 50% of the capital of the company paying the dividends and the total amount of their investments into that company constitutes at least 5 million French Francs or their equivalent in Ukrainian currency; or
b) their investment into the company paying the dividends is guaranteed or insured by the other State, its Central Bank or any person acting on behalf of that other State.
Article 11 (Interest):
Paragraph 1. Interest arising in a Contracting State and payable to the resident of the other Contracting State shall be taxable only in that other State.
Paragraph 2. However, in respect of any contract relevant to interest mentioned in paragraph 1 that is concluded on or after the date when this Convention takes effect, any such interest may also be taxable in the Contracting State where it arises and according to the laws of that State, however, if the beneficial owner is the resident of the other Contracting State the tax so charged shall not exceed:
a) 2% of the gross amount of the interest being paid:
i) in connection with sale on credit of any industrial, commercial or scientific equipment or sale or provision on credit of any products or services by one enterprise to another enterprise; or
ii) under any loans of any type provided by a bank or by any other financial institution;
b) 10% of the gross amount of the interest in all other cases.
Paragraph 3. Notwithstanding the provisions of paragraph 2 interest mentioned in paragraph 1 arising in a Contracting State shall be exempt from tax in that State if it is paid:
a) by that State, its Central Bank, one of its political-administrative subdivisions or local authorities, or any agency of that State, subdivision or authority; or
b) to the other Contracting State, its Central Bank, one of its political-administrative subdivisions or local authorities, or any agency of that State, subdivision or authority; or
c) in respect of any debt-claims or loans guaranteed, insured or financed by a Contracting State, its Central Bank, one of political-administrative subdivisions or local authorities, or any person acting on behalf of that State, subdivision or authority.
Article 12 (Royalties):
Paragraph 2. Royalties may be taxed in the Contracting State in which they arise and according to the laws of that State, but if the beneficial owner of the royalties is a resident of the other Contracting State the tax so charged shall not exceed 10 % of the gross amount of the royalties.
Paragraph 3. Notwithstanding the provisions of paragraphs 1 and 2, royalties arising in a Contracting State and beneficially owned by a resident of the other Contracting State shall be taxable only in that other State if such royalties are payments of any kind received for the use of, or the right to use, any computer software, patent, trade mark, design or model, plan secret formula or process, or for information concerning industrial, commercial or scientific experience (know how).
