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V1428-23 ·25 May 2023 ·consulta-vinculante Medium impact
Tax

Whether a permanent establishment exists depends on whether office activities are essential or auxiliary

A Luxembourgish company has requested a ruling on whether its office in Spain, where employees perform marketing and client contact tasks without authority to conclude contracts, constitutes a permanent establishment. The DGT indicates that the classification depends on whether these activities are preparatory or form an essential part of the company's business.

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Lifecycle

2023-05-25PublishedPublished in the BOE
Official text Based on BOE data (boe.es). Information, not advice.

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