UN tax experts committee release digital tax treaty model
The UN Committee of Experts on International Cooperation in Tax Matters released a draft tax treaty proposal on payments for digital services. The committee, comprised of members from developing countries acting in their personal capacity, was asked to consider a proposal drafted by Rajat Bansal from India. However, the committee’s proposal differs from the Organisation for Economic Co-operation and Development (OECD) led Inclusive Framework’s unified approach to Pillar One, which also seeks to grant greater taxing rights to countries. Besides, the proposal adds a new article to the UN Model Double Taxation Convention between Developed and Developing Countries (UNMC).