Tax treaties

Discussion draft released on the application of tax treaties to State-owned entities, including Sovereign Wealth Funds


from 25 November 2009 to 31 January 2010


The OECD Committee on Fiscal Affairs invites public comments on draft changes to the Commentary on the OECD Model Tax Convention dealing with the application of tax treaties to state-owned entities, including Sovereign Wealth Funds.


State-owned entities, including sovereign wealth funds, have expanded their cross-border investments in recent years. This has raised a number of questions, including questions related to taxation. The Committee on Fiscal Affairs, through its Working Party 1 on Tax Conventions and Related Questions, has examined questions related to the application of tax treaties to these entities as well as the relationship between tax treaties and national practices related to the application of the doctrine of sovereign immunity to tax matters.


This public discussion draft includes proposals for additions and changes to the Commentary on the OECD Model Tax Convention that result from the work of the Working Party on these issues.


The Committee is considering the inclusion of these additions and changes in the next update to the OECD Model Tax Convention, which is tentatively scheduled for the second part of 2010. It therefore invites interested parties to send their comments on this discussion draft before 31 January 2010.  These comments will be examined at the February 2010 meeting of the Working Party, when the Working Party intends to complete its work on the next update.


This discussion draft is released for the purpose of inviting comments from interested parties. It does not necessarily reflect the final views of the OECD and its member countries.


Comments should be sent electronically (in Word format) to


Unless otherwise requested at the time of submission, comments submitted to the OECD in response to this invitation will be posted on the OECD website.


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