Update On Ireland/Germany Double Tax Agreement

Ireland and Germany signed a Protocol on 25 May 2010 amending the existing Ireland/Germany Double Tax Agreement ("DTA") with effect from 1 January 2011. A revised DTA was also signed by Ireland and Germany on 30 March 2011 together with a Protocol to the new DTA and a Joint Declaration. These are yet to take effect, but the following provisions will be of particular interest to the Irish regulated funds industry:

• A UCITS which is established in one contracting state will be treated, for DTA purposes, as an individual who is a resident of that contracting state and as the beneficial owner of the income it receives to the extent that the beneficial interests in the UCITS are owned by "equivalent beneficiaries". An "equivalent beneficiary" means a resident of the contracting state in which the UCITS is established, or any other state with which the contracting state in which the income arises has a DTA which provides (or domestic law provides) for a rate of tax with