On February 17th, TEI submitted comments to the Organisation for Economic Co-operation and Development regarding the OECD’s discussion draft on the Interpretation and Application of Article 5 (Permanent Establishment) of the OECD Model Tax Convention, released on October 12, 2011. The OECD discussion draft proposes significant changes to the official commentary to Article 5 of the OECD model convention. TEI’s comments focus on many of the 25 separate issues addressed by the discussion draft, including the meaning of the phrase “at the disposal” for purposes of determining a permanent establishment, whether an employee’s “home office” can constitute a permanent establishment of a business enterprise, as well as the interpretation of a “place of management.”
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