Business Group Raises Double-Tax Alarm in UN Tax Treaty Draft

The International Chamber of Commerce raised double-taxation concerns Friday about part of a draft United Nations tax treaty that would expand countries’ taxing rights over multinational companies.

The ICC called draft Article 4 of a framework convention on international taxation being developed at the UN the “most sensitive provision” for the business community.

The article, prepared by drafters in advance of a November negotiating session in Nairobi, Kenya, states that parties agree a country where a company does business and makes money has a right to tax the income from those activities.

It was debated vigorously at the session, with ...