UN Tax Panel Okays Move to Beef Up Dispute-Resolution Power (1)

The United Nation’s model tax convention will have more power to help settle global tax disputes under a provision a UN panel approved Wednesday.

The UN Tax Committee finalized a move to give the UN model convention the ability to oversee tax disputes if there’s a clash between tax treaties and the provisions of trade and investment agreements, like the World Trade Organization’s General Agreement on Trade in Services and free-trade agreements. The panel approved the insertion of an “extended provision” into the convention that would help it do that.

Business groups had opposed the move, saying that the extended ...