Exceptions to permanent establishment status under the MLI: What is meant by preparatory or auxiliary activities?

With the entry into force of the Multilateral Instrument (MLI), it is of utmost importance to analyze the changes that this will represent in the application of practically all the treaties to avoid double taxation to which Mexico is a party, such as the measures adopted to prevent the artificial avoidance of permanent establishment status through exemptions of specific activities, which expand this concept.

Therefore, a much more in-depth and individualized study is required of the activities actually carried out by those who intend to apply a treaty to avoid double taxation, issues that are addressed Sarahi Lopez, associate in the Tax area of ​​Santamarina + Steta, in this article published by the magazine Fine Points from Thomson Reuters.