The 2025 OECD Model Tax Convention Update: A Mountain in Labour Gives Birth to a Mouse

Key Points

• The OECD's update to the Model Tax Convention indicates minimal changes in tax policy implications.
• With a focus on labor market dynamics, the update underscores the importance of adapting to economic shifts.
• Analysis reveals that while adjustments were made, the overall influence on taxation may be limited for member countries.
• Support for introducing non-discriminatory tax practices is emphasized, though substantial changes appear unlikely.