Treaty between Belgium and Lithuania – Belgian Court holds that exemption method provided for under the treaty requires effective taxation

On 11 September 2013, the Court of First instance Mons (Cour de Première Instance de Mons) decided a case (recently published) on the application of the exemption method under the Belgium - Lithuania Income Tax Treaty (1998) (the treaty). Details of the case are summarized below.
(a) Facts. A Belgian resident worked as a permanent consultant for the European Bank for Reconstruction and Development in Lithuania. While reporting his income, he claimed an exemption based on article 23(2)(a) of the …