Beirut, 22 February 1968
Whereas the Government of India and the Government of the Republic of Lebanon,
DESIRE to conclude an Agreement for the avoidance of double taxation of income of enterprises operating aircraft chargeable to tax
in the said countries in accordance with their respective laws,
NOW, therefore, the said two Governments do hereby,
AGREE as follows :
(1) The taxes to which this Agreement shall apply are :
(a) In the case of India :
(i) the income-tax including any surcharge on income-tax imposed under the Income-tax Act, 1961 (43 of 1961) as amended; and
(ii) the surtax imposed under the Companies (Profits) Surtax Act, 1964 (7 of 1964) as ammended
(hereinafter referred to as “Indian Tax”)’
(b) in the case of the Republic of Lebanon : the income-tax including any additional tax on income-tax prescribed under the Income-tax
law issued by the Legislative Decree No. 144 dated June 12, 1959 as amended (hereinafter referred to as “Lebanese tax”).
(2) This agreement shall also apply to any identical or substantially similar taxes which are imposed after the date of signature
of this Agreement in addition to, or in place of, the existing taxes.
(1) In this Agreement, unless the context otherwise requires :
(a) the term “India” shall have the meaning assigned to it in Article I of the Constitution of India;
(b) the term “the Republic of Lebanon” shall have the meaning assigned to it in the Lebanese Constituion;
(c) the terms “a Contracting State” and “other Contracting State” mean India or the Republic of Lebanon, as the context requires;
(d) the term “tax” means “Indian tax” and “Lebanese tax” as the context requires;
(i) an airline designated by the Government of that State in pursuance of the Agreement dated September 19, 1964, as may be amended
or revised from time to time, between the Government of India and the Government of the Republic of Lebanon relating to air services,
(ii) an airline which is authorised by the Government of that State by a general or special arrangement between the two Contracting
States to operate charter flights between or beyond their territories.
(2) In the application of the provisions of this Agreement by one of the Contracting States, any term used but not defined herein
shall, unless the context otherwise requires, have the meaning which it has under the laws in force in that State relating to the
taxes to which this Agreement applies.
(1) Income derived from the operation of aircraft in international traffic by an enterprise of one of the Contracting States shall
be exempt from tax in the other Contracting State.
(2) Paragraph (1) shall likewise apply in respect of participations in pools of any kind byenterprises engaged in air transport.
The laws in force in either of the Contracting States will continue to govern the assessment and taxation of income in the Contracting
States except where express provision to the contrary is made in this Agreement.
(1) This Agreement shall be ratified and the instruments of ratification shall be exchanged at Beirut as soon as possible.
(2) This Agreement shall enter into force on the date of the change of the instruments of ratification and its provisions shall have
(a) in India, in respect of income assessable for any year of assessment commencing on or after the 1st day of April 1962;
(b) In Lebanon, in respect of income assessable for any year of assessment commencing on or after the 1st day of April 1962.
This Agreement shall continue in effect indefinitely but either of the Contracting States may, on or before the 30th day of June in
any calendar year after the year 1970, give notice of termination to the other Contracting State and in such event this Agreement
shall cease to be effective :
(a) in India, in respect of income assessable for any year of assessment commencing on or after the 1st day of April in the calendar
year next following that year in which the notice is given;
(b) in Lebanon in respect of income assessable for any year of assessment commencing on or after the 1st day of April in the calendar
year next following that year in which the notice is given.
IN WITNESS WHEREOF the undersigned, duly authorised thereto, have signed the present Agreement.
DONE in duplicate at Beirut, this 22nd day of February, one thousand nine hundred and sixty eight in the Hindi, Arabic and English
languages, all the three texts being equally authentic, except in the case of doubt when the English text shall prevail
For the Government of India
For the Government of the
Republic of Lebanon