Permanent establishment (pe)
In the realm of finance, there exists a term known as "permanent establishment," which holds particular significance in the context of double taxation agreements. This term refers to the scenario where a non-resident entrepreneur is subject to taxation in a country. Essentially, this means that an enterprise operating in one country will not be required to pay income tax in another country unless it has a "permanent establishment," which serves as a physical presence through which business operations are conducted. Furthermore, even if a permanent establishment is established, only the income directly attributable to it will be subject to taxation.
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