Some countries treat a partnership as self-sustaining taxpayers and may impose it as an entity. Other countries do not consider a partnership to be a separate legal entity and the partnership is treated as fiscally transparent, with each partner being taxed on its share of profits based on its interest in the partnership. Partnership taxation is addressed in the commentary on Article 1 of the OECD model. BY VALUE – Assigned value that is printed on a sharing certificate. face value. REVENU PASSIF — income in which the beneficiary, on the whole, is not involved in the activity that leads to income. B for example, dividends, interest, rental income, royalties, etc. PASS-THROUGH ENTITY – A tax-free unit as a partnership. As a general rule, income or expenses are passed on to the underlying owner. BREVET — a form of intellectual property. The inventor of a new article or process usually registers his invention with a government authority that gives him the exclusive right (the right to patent) to use the invention for a limited time. PATRON — A person who does business with a co-op but is not necessarily a member. DIVIDEND PATRONAGE — A payment to a co-op benefactor.
PAYROLL TAX — The tax levied on an employer`s payroll (i.e. gross wages, wages and other earnings) paid to an employee regardless of his or her home, family economy status or other individual circumstances. PE — See: Permanent Establishment PENALTIES — Administrative penalties are imposed for tax offences such as.B. failure to return or pay in a timely manner, negligence and misrepresentation or tax return. They are presented in the form of a tax surcharge and are considered part of the tax. On the other hand, criminal sanctions are enforceable only through criminal prosecutions. A prison sentence may be imposed for serious tax evasion. PER CAPITA — Latin for “for every person” BY DIEM — Latin for “day by day”; reference to daily allowances, usually for travel, interviews, staff allowances or any other expenses resulting from the execution of a business transaction.
PERMANENT EATEN (PE) – A term used in a double taxation agreement (although it can also be used in national tax legislation) to refer to a situation in which a non-resident entrepreneur is taxable in a country; In other words, a company in one country is not subject to the income tax of the other country, unless it has a “permanent institution” operating in that other country.