ARTICLE · 06 JUNE 2017

Permanent Establishment Risk: What Companies Assigning Staff Internationally Need To Know

Alliott Group (International)

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A Permanent Establishment (PE) problem can be triggered for companies and individuals unless the general principles of PE are understood.

GlobalTax

Giles Brake (Alliott Group Executive Office)

A Permanent Establishment (PE) problem can be triggered for companies and individuals unless the general principles of PE are understood. In this article, experts from Alliott Group's Global Mobility Services Group explain what PE is, the risks involved in sending staff across borders on short and long term assignments and the situations that can give rise to a PE issue in their countries.

Recently, international tax reforms have been developing fast, driven by numerous factors: the OECD's Action Plan on Base Erosion and Profit Shifting (BEPS) initiative, local corporate tax reform initiatives, but also the concept of permanent establishment (PE).

What is permanent establishment?

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