INTERPRETATION OF THE TERMS "COMPANY", "ENTERPRISE", "FIRM", "ASSOCIATION" IN THE CONTEXT OF CONVENTIONS ON THE AVOIDANCE OF DOUBLE TAXATION

Abstract

The article explores the relationship between certain terms in the context of conventions on the avoidance of double taxation and EU founding treaties. It is established that a company can be any entity engaging in business operations and generating taxable income. It can be a corporation, a limited liability company, a partnership, a branch, etc. The terms "company" and "firm" are often used interchangeably to describe businesses or organizations engaged in profit-making activities. However, from a legal perspective, they can be approached differently.

"Company" is a broad term that can encompass any organization or enterprise, regardless of its ownership structure. A company can be private or public, state-owned or private, existing in various forms such as a corporation, partnership, limited liability company, etc. The term "firm" is more commonly used to denote a specific form of organization, typically when referring to partnership structures, such as limited liability companies (LLCs) or partnerships with additional liability, limited partnerships, and so on.

Purpose. Сlarification of terms used in the context of conventions on the avoidance of double taxation; comparison of the use of terms in different versions of conventions and in different countries to determine similarity or difference in their interpretation and application.

Methods. The methodological basis of the research is modern general scientific and special methods of cognition, among which the following should be highlighted: formal-legal method, comparative-legal method for the analysis of international legal documents. Given the large quantity and scope of materials (as of today, Ukraine has 71 international bilateral conventions/agreements for the avoidance of double taxation with other countries), we will apply the comparative method.

Results. 1. According to national legislation, the term "company" is defined as any corporate association or organization considered for tax purposes as a corporate entity. In the context of the Ukrainian international treaties, this term is replaced by other phrases, such as "legal entity," but the definition of "company" is not standardized in various texts of such treaties.

1. The term "company" refers to a legal entity or a group of individuals formed for conducting commercial or other activities and subject to taxation according to the tax laws of the state in which it operates. It includes any corporate association or organization considered for tax purposes as a legal entity.

3. The interpretation of the terms "company," "firm," "association," and others in the context of conventions on the avoidance of double taxation is determined by the legal and tax norms of each participating state.