AS Code 16 Table 4. Limitation on Benefits Australia Name Treaty Article Citation Same Country3a 16(2)(g) 16(2)(c), (d), 16(5) 16(2)(e), (f) Same Country5a U.S. or Same Country3b U.S. or same country5b 16(3) Active Business 09 16(5) 10 Discretionary Determination Comp benefits8a Comp Rates8b Derivative Benefits 08 Named benefits8c HQ (16(1)(h)) Other 11 of 8 Triangular provision Stock Ownership and Base Erosion Test 07 Publicly Traded Companies 05or Subsidiary of Publicly Traded Companies06 Tax Exempt Organization and Pension Funds 03, 04 Exceptions and Special Rules Limitation on Benefits Tests (Safe Harbors) 2 The "Limitation on Benefits" article is an anti-treaty shopping provision intended to prevent residents of third countries from obtaining benefits under a treaty. Residents of a country whose income tax treaty with the United States contains a "Limitation on Benefits" article are eligible for benefits only if they satisfy one of the tests under the Limitation on Benefits article. Residents who are individuals of one of the Contracting States or political subdivision thereof are generally not affected by the Limitation on Benefits article. Residents of a country whose income tax treaty with the United States does not contain a Limitation on Benefits article do not need to satisfy these additional tests. The treaty or protocol article describing each of these tests is identified below for the general convenience of taxpayers. However, you must check the text of the relevant LOB article to determine which tests are available under the treaty and the particular requirements of those tests to make a final determination that you meet an LOB test. LOB Test Category Codes used to identify these various tests are as follows: 01- Individual 02- Government - contracting state/political subdivision/local authority 03- Tax exempt/ pension trust/ Pension fund 04- Tax exempt/ Charitable organization 05- Publicly-traded corporation 06- Subsidiary of publicly-traded corporation 07- Company that meets the ownership and base erosion test 08- Company that meets the derivative benefits test 09- Company with an item of income that meets the active trade or business test 10- Discretionary determination 11- Other Table 4. Limitation on Benefits Table 4 Appendix E-Miscellaneous Lists and Tables E-49