China allows tax treaty concession in COVID-19 period
The unprecedented travel restriction and quarantine measures due to the global COVID-19 pandemic has caused many tax issues. One major area of concern is the impact on Permanent Establishment (“PE”) and tax residency analysis under tax treaties. China’s State Administration of Taxation (“SAT”) has recently clarified its view on COVID-19-affected tax treaty terms which is concessional and generally in line with the OECD guidance. Please see WTS China’s newsletter for a detailed update.