Abstract
South Africa has many foreign nationals working within its borders as well as many
residents working in other countries. Both classes of individuals may find
themselves in a position of double taxation where they are tax‐resident in the one
state, but working in another, and both states seek to tax the individuals’ income
from employment. Relief from double taxation on employment income can be found
in the ‘income from employment’/’dependent services’ article of a double tax
agreement, typically contained in Article 15(2). However, whether this relief is
available depends on the interpretation of the Article and the terms contained
therein. The term ‘employer’ is one of the most debated terms that often leads to
interpretational differences in the application of Article 15(2).
The objective of this research was to analyse the concept of the term ‘employer’ for
the purposes of applying Article 15(2)(b) and (c) of the OECD MTC and UN MTC from
a South African perspective.
A doctrinal research methodology was used in this study. This method involved
reviewing literature on the subject, identifying the appropriate guidelines to
interpretation in line with the established rules of statutory interpretation, and
formulating a view on how to interpret the term ‘employer’ in a South African
context...
M.Com.