An opportunistic, and yet appropriate, revision of the source thresshold for the twenty-fist century tax treaties
ISSN: 0165-2826
Año de publicación: 2015
Volumen: 43
Número: 1
Páginas: 6-13
Tipo: Artículo
Otras publicaciones en: Intertax
Resumen
The present paper aims to delve into one of the most thrilling debates set out by the Base Erosion and Profit Shifting (BEPS) Project (specifically Action 1): the reconsideration of the permanent establishment threshold. Without disregarding the fiscal interests that have undeniably boosted the reopening of the discussion, we prefer to question the appropriateness of the PE from a different perspective. First, we will analyse the theoretical principles that originally served to justify the PE threshold. Subsequently, we will demonstrate the obsolescence of the term - as it currently stands - as a result of the challenges posed by the so-called digital economy and in light of the aforementioned principles. Some proposals for the way forward will be briefly outlined.