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- 1. For the purposes of this Convention, unless the context otherwise requires:
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- (a) the term ‘United Kingdom’ means Great Britain and Northern Ireland, including any area outside the territorial sea of the United Kingdom designated under its laws concerning the Continental shelf and in accordance with international law as an area within which the rights of the United Kingdom with respect to the seabed and subsoil and their natural resources may be exercised;
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- (b) the term ‘Japan’, when used in a geographical sense, means all the territory of Japan, including its territorial sea, in which the laws relating to Japanese tax are in force, and all the area beyond its territorial sea, including the seabed and subsoil thereof, over which Japan may exercise sovereign rights in accordance with international law and in which the laws relating to Japanese tax are in force;
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- (c) the terms ‘a Contracting State’ and ‘the other Contracting State’ mean Japan or the United Kingdom, as the context requires;
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- (d) the term ‘tax’ means Japanese tax or United Kingdom tax, as the context requires;
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- (e) the term ‘person’ includes an individual, a company and any other body of persons;
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- (f) the term ‘company’ means any body corporate or any entity that is treated as a body corporate for tax purposes;
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- (g) the term ‘enterprise’ applies to the carrying on of any business;
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- (h) the terms ‘enterprise of a Contracting State’ and ‘enterprise of the other Contracting State’ mean respectively an enterprise carried on by a resident of a Contracting State and an enterprise carried on by a resident of the other Contracting State;
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- (i) the term ‘international traffic’ means any transport by a ship or aircraft operated by an enterprise of a Contracting State, except when the ship or aircraft is operated solely between places in the other Contracting State;
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- (j) the term ‘national’ of a Contracting State means:
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- (i) in the case of the United Kingdom, any British citizen, or any British subject not possessing the citizenship of any other Commonwealth country or territory, provided he has the right of abode in the United Kingdom and any legal person, partnership, association or other entity deriving its status as such from the laws in force in the United Kingdom; and
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- (ii) in the case of Japan, any individual possessing the nationality of Japan and any juridical person created or organised under the laws of Japan and any organisation without juridical personality treated for the purposes of Japanese tax as a juridical person created or organised under the laws of Japan;
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- (k) the term ‘competent authority’ means:
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- (i) in the case of the United Kingdom, the Commissioners for Her Majesty’s Revenue and Customs or their authorised representative; and
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- (ii) in the case of Japan, the Minister of Finance or his authorised representative;
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- (l) the term ‘business’ includes the performance of professional services and of other activities of an independent character; and
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- (m) the term ‘pension fund or pension scheme’ means any plan, scheme, fund, trust or other arrangement that is:
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- (i) established under the laws of a Contracting State;
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- (ii) operated principally to administer or provide pensions, retirement benefits or other similar remuneration or to earn income or gains for the benefit of one or more such arrangements; and
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- (iii) exempt from tax in that Contracting State with respect to income or gains derived from activities described in clause (ii) of this subparagraph.
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- 2. As regards the application of this Convention at any time by a Contracting State, any term not defined therein shall, unless the context otherwise requires, have the meaning which it has at that time under the laws of that Contracting State for the purposes of the taxes to which the Convention applies, any meaning under the applicable tax laws of that Contracting State prevailing over a meaning given to the term under other laws of that Contracting State.