Taxpayers with limited tax liability are entitled to deduct losses from domestic permanent establishments that serve to generate business income (Sec 102 para 2 no 2 ITA). In this regard, Viktoria Oberrader clarifies that losses carried forward from a permanent establishment can be offset against profits of another permanent establishment in subsequent years if the permanent establishment non-discrimination clause (Art 24 para 3 OECD MC) does not apply.
