The Austrian Ministry of Finance published an Express Answer Service and stated that the exemption method according to Art 23(1) DTC Malta applies only in cases in which only the source state has the right to tax. In its reasoning, the Austrian Ministry of Finance emphasizes that Art 23(1) DTC Malta in its German version stipulates that the exemption method can only be applied provided that “only" the source state has the right to tax. Therefore, as regards remunerations in respect of an employment exercised by Austrian crew members aboard an aircraft pursuant to Art 15(3) DTC Malta, the state of residence (Austria) may tax as well as the source state (state in which the place of effective management of the enterprise is situated). Thus, according to the Austrian Ministry of Finance, the exemption method cannot be applied in such cases. Michael Lang deals with the consequences of such an interpretation of the method article and the question whether such interpretation of the exemption method is, in general, in line with the treaty interpretation principles under the Vienna Convention on the Law of Treaties.
