(1) Income, profits or gains derived by a resident of a Con-
tracting 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 State.
(2) Income, profits or 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, including income, profits or gains
from the alienation of that permanent establishment (alone or
with the whole enterprise), may be taxed in that other State.
(3) Income, profits or gains of an enterprise of a Contracting
State from the alienation of ships or aircraft operated by that
enterprise in international traffic, or of movable property pertain-
ing to the operation of those ships or aircraft, shall be taxable
only in that State.
(4) Income, profits or gains derived by a resident of a Con-
tracting State from the alienation of shares or comparable inter-
ests may be taxed in the other Contracting State if, at any time
during the 365 days preceding the alienation, these shares or
comparable interests derived more than 50 per cent of their value
directly or indirectly from immovable property, as defined in
Article 6, situated in that other State.
(5) Gains of a capital nature from the alienation of any prop-
erty, other than that referred to in the preceding paragraphs of
this Article, shall be taxable only in the Contracting State of which
the alienator is a resident.
(6) Where an individual was a resident of the Federal Republic
of Germany for a period of at least 5 years and who, at the time
of giving up residence in the Federal Republic of Germany, has
become a resident of Australia, paragraph 5 shall not affect the
right of the Federal Republic of Germany to treat the individual
as having alienated shares or comparable interests at the time
of the change of residence. If the individual is so taxed in the
Federal Republic of Germany, Australia shall, in the event of an
alienation of shares or comparable interests after the change of
residence, calculate the capital gain on the basis of the value
which the Federal Republic of Germany applied at the time of the
change of residence unless the shares derived more than 50 per
cent of their value directly or indirectly from immovable property
situated in Australia to which paragraph 4 applies. In the case of
shares or comparable interests deriving more than 50 per cent
of their value directly or indirectly from immovable property
situated in Australia to which paragraph 4 applies, the German
tax shall be reduced pursuant to subparagraph 2c) of Article 22
by the amount of Australian tax which would have been payable
under the applicable Australian law if the shares or comparable
interests had been sold at the value which the Federal Republic
of Germany applied at the time of the change of residence.
(7) The provisions of paragraph 5 shall not affect the right of
Australia to tax, in accordance with its laws, gains of a capital
nature from the alienation of any movable property derived by an
individual who is a resident of Australia at any time during the
year of income in which the property is alienated, or was a resi-
dent at any time during the preceding 5 years. However, where
that individual is a resident of the Federal Republic of Germany
at the time of alienation, the amount of the gain that may be
taxed by Australia shall not exceed the amount that would have
been derived had the individual alienated the property at the time
the individual ceased to be a resident of Australia unless the
movable property consists of shares or comparable interests
deriving more than 50 per cent of their value directly or indirectly
from immovable property situated in Australia to which paragraph
4 applies. If the individual is so taxed in Australia, the Federal
Republic of Germany shall, in the event of an alienation of mov-
able property after the change of residence, calculate the capital
gain on the basis of the value which Australia applied at the time
of the change of residence unless the movable property consists
of shares or comparable interests deriving more than 50 per cent
of their value directly or indirectly from immovable property
situated in the Federal Republic of Germany to which para-
graph 4 applies.