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Sovereignty Issue With Arbitration Fading, OECD Official Says

March 12, 2018, Tax Notes International

Dirk Suringa spoke at a conference hosted by the Pacific Rim Tax Institute and is quoted in a Tax Notes International article regarding the current approach to mandatory binding arbitration. According to Suringa, some countries have said sovereignty issues prevent them from participating in mandatory binding arbitration (2017-102252) because they can't surrender their ability to decide on tax cases to a group of foreign arbitrators. If a country has authority to enter into a treaty, then it is able to make decisions related to that treaty accordingly, so perhaps some countries do not understand how the arbitration process works, he said.

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