International Tax Aspects of Providing Consulting Services on the Premises of the Client

Abstract

Among the most important issues in contemporary accounting practice is the handling of independent consultants who work for a firm but who are not officially employed by it and who therefore do not pay withholding taxes. This loss of revenue has important economic consequences, particularly in the developing world. In this article, the author considers the case of consultants who may or may not have an official office in the country in which they practice.