Statute Details
- Title: Income Tax (Singapore — Albania) (Avoidance of Double Taxation Agreement) Order 2011
- Act Code: ITA1947-S409-2011
- Type: Subsidiary Legislation (SL)
- Authorising Act: Income Tax Act (Chapter 134)
- Enacting Formula / Power Used: Section 49 and section 105C of the Income Tax Act
- Commencement / Made Date: Made on 1 July 2011
- Legislation Number: S 409/2011
- Schedule: Contains the treaty arrangements (as modified by a Protocol) for avoidance of double taxation between Singapore and Albania
- Status: Current version as at 27 March 2026 (per the legislation portal)
What Is This Legislation About?
The Income Tax (Singapore — Albania) (Avoidance of Double Taxation Agreement) Order 2011 (“the Order”) is Singapore’s domestic legal instrument that gives effect to a tax treaty relationship with Albania. In practical terms, it ensures that the double tax relief arrangements agreed between the two governments operate within Singapore’s tax system, so that Singapore taxpayers are not taxed twice on the same income—once in Albania and again in Singapore—without appropriate treaty relief.
The Order does not itself “set” tax rates or create a full tax code. Instead, it performs a legal gateway function: it declares that the arrangements in the treaty (and the accompanying protocol) are “prescribed arrangements” and that they should have effect in Singapore notwithstanding anything inconsistent in other written law. This is a common structure for Singapore’s double tax agreement (DTA) orders.
For practitioners, the key point is that the Order is the mechanism by which the treaty becomes enforceable for Singapore tax purposes. Once in force, treaty provisions typically govern how Singapore taxes certain categories of cross-border income (for example, dividends, interest, royalties, and certain business profits), including how relief is computed and what procedural or documentation requirements may apply.
What Are the Key Provisions?
1. Treaty arrangements are declared to have been made with Albania. The enacting provisions state that the arrangements specified in the Schedule have been made with the Council of Ministers of the Republic of Albania. This declaration is important because it ties the domestic legal effect to the specific treaty text contained in the Schedule. In other words, the Schedule is the operative content for the Singapore legal system.
2. Effect is given notwithstanding other written law. The Order expressly provides that it is expedient for the treaty arrangements to have effect “notwithstanding anything in any written law.” This language is designed to resolve conflicts between treaty relief and domestic statutory provisions. It reflects the legislative intent that the DTA arrangements should prevail for the purposes of Singapore income tax where the treaty applies.
3. The treaty (as modified by a Protocol) is a “prescribed arrangement” under Part XXA. The Order also declares that the arrangements, as modified by the Protocol, are a prescribed arrangement for the purposes of Part XXA of the Income Tax Act. Part XXA is the legislative framework that deals with avoidance of double taxation arrangements. By classifying the treaty as a prescribed arrangement, the Order ensures that the statutory machinery for treaty relief is engaged.
4. The legal basis: sections 49 and 105C of the Income Tax Act. The “whereas” clauses identify the statutory powers used. Section 49 provides that where the Minister declares that arrangements specified in an order have been made with a foreign government for relief from double taxation, those arrangements shall have effect notwithstanding other written law. Section 105C provides that the Minister may declare an avoidance of double taxation arrangement as a prescribed arrangement for Part XXA purposes. The Order therefore relies on both provisions to (i) give treaty effect and (ii) integrate the treaty into the Part XXA regime.
5. Dates and treaty instruments referenced. The Order references an Agreement dated 23 November 2010 between Singapore and Albania and a Protocol dated 23 November 2010 that modifies the arrangements as prescribed. The Order is made on 1 July 2011. For practitioners, these dates matter when advising on treaty eligibility and when determining whether particular treaty text (including any modifications) applies to a given period of assessment.
Practical note on the Schedule. The extract provided does not reproduce the Schedule text itself. However, in substance, the Schedule is where the treaty articles are set out. Those articles typically include rules on: (a) scope of the treaty (covered taxes and persons), (b) residence, (c) allocation of taxing rights (e.g., business profits, dividends, interest, royalties), (d) methods for eliminating double taxation, (e) mutual agreement procedures, and (f) exchange of information. When advising clients, lawyers should read the Schedule articles alongside the domestic provisions that implement treaty relief.
How Is This Legislation Structured?
The Order is structured in a conventional “DTA order” format:
(1) Title and status information. The document identifies the subject treaty relationship and indicates that it is the current version as at 27 March 2026.
(2) Enacting formula and preamble (“whereas” clauses). The preamble explains the statutory basis and the background treaty instruments (Agreement and Protocol). It also states the Minister’s determinations: that the arrangements have been made, that it is expedient for them to have effect notwithstanding other written law, and that the modified arrangements are prescribed arrangements for Part XXA.
(3) Operative declarations. The operative provisions are concise and focus on legal effect rather than substantive tax rules. The operative effect is achieved through the Schedule.
(4) The Schedule. The Schedule contains the treaty arrangements (as modified by the Protocol). This is the substantive part that practitioners must consult to determine how treaty relief operates for specific income types and factual scenarios.
Who Does This Legislation Apply To?
The Order applies to persons and transactions within Singapore’s income tax jurisdiction where the treaty conditions are met. In practice, this means it is relevant to Singapore tax residents and other persons who seek treaty benefits in respect of cross-border income with Albania, such as dividends paid by an Albanian company to a Singapore shareholder, interest paid on loans between the two jurisdictions, royalties for intellectual property, or business profits attributable to a permanent establishment.
However, treaty relief is not automatic for every cross-border payment. Eligibility generally depends on treaty concepts such as “residence” (who is entitled to treaty benefits) and the classification of the income under the treaty articles. The Order’s role is to make the treaty provisions effective in Singapore; it does not replace the need to satisfy the treaty’s substantive conditions. Lawyers should therefore assess: (i) whether the claimant is a treaty resident of Singapore, (ii) whether the income falls within the relevant treaty category, and (iii) whether any treaty limitations or anti-abuse concepts apply (for example, where applicable, limitations on benefits or beneficial ownership concepts).
Why Is This Legislation Important?
For tax practitioners, the Order is important because it is the legal bridge between Singapore’s domestic tax law and the Singapore–Albania double tax treaty. Without such an order, treaty provisions might not have direct effect in Singapore’s tax system. The Order ensures that treaty arrangements can be invoked to obtain relief from double taxation and to allocate taxing rights in accordance with the treaty.
From an enforcement and compliance perspective, the “notwithstanding anything in any written law” language is significant. It signals that where there is a conflict between domestic provisions and treaty entitlements, the treaty arrangements (as incorporated through the Schedule and declared as prescribed arrangements) should prevail for the relevant tax matters. This can affect how withholding tax is treated, how exemptions or reductions are claimed, and how tax computations are performed.
Practically, the Order also matters for structuring and dispute resolution. When advising on cross-border investments, financing, licensing, or service arrangements involving Albania, lawyers typically need to determine whether treaty relief is available and, if so, which treaty article governs. In disputes—such as challenges to withholding tax treatment or claims for refund—this Order provides the domestic legal basis for the taxpayer’s reliance on the treaty text.
Finally, the Order’s reference to a Protocol underscores that treaty terms may be modified after the initial agreement. Practitioners should ensure they use the modified treaty text as set out in the Schedule when advising on the applicable legal position for the relevant period.
Related Legislation
- Income Tax Act (Chapter 134) — in particular:
- Section 49 (Ministerial power to declare arrangements having effect notwithstanding other written law)
- Section 105C (power to declare avoidance of double taxation arrangements as prescribed arrangements for Part XXA)
- Part XXA (framework for avoidance of double taxation arrangements)
- Income Tax (Singapore — Albania) (Avoidance of Double Taxation Agreement) Order 2011 — S 409/2011 (this Order)
- Timeline / Legislation updates — to confirm the current version and any subsequent amendments (if any)
Source Documents
This article provides an overview of the Income Tax (Singapore — Albania) (Avoidance of Double Taxation Agreement) Order 2011 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.