By: Julius Melnitzer | April 2, 2026

The Organisation of Economic Co-operation and Development has introduced new guidelines for determining whether a remote employee’s home office amounts to a permanent establishment that attracts tax for a foreign employer.

The guidelines formulate a two-part test for use in determining whether a permanent establishment exists. The tests consist of a temporal threshold and an inquiry into the commercial reason for the employer’s presence where the home office is situated.

According to the guidelines, a permanent establishment exists. . . READ MORE

Julius Melnitzer is a Toronto-based writer who focuses on law, legal affairs, and the business of law. Follow him on LegalWriter.net or email him at julius@legalwriter.net.