Non-residents trading in the UK: domestic law permanent establishment/branch or agency
Permanent establishment - fixed place of business
A fixed place of business permanent establishment will have certain characteristics,all of which would be expected to be present, as follows:
- there must be a geographic place of business, possibly premises or a site, although it can, in certain circumstances, be machinery or equipment (see INTM266060);
- the place of business must be fixed, that is, have a certain degree of permanence (see INTM266070), and
- the business must be carried on through this fixed place of business, normally by the personnel of the enterprise (see INTM266080).
If any part of the non-residents business is carried out through a UK fixed placeof business then a permanent establishment exists. Only the profits arising through thebusiness carried out through the UK permanent establishment may be taxed in the UK.