On the occasion of new attempts to overcome the still existing difficulties of the tax treaty revision a further round of a consultative coordination with regard to the application of the current tax treaty took place in Berlin on May 14, 1999 between the heads of the international tax divisions of the Finance Ministries of both states. The result was as follows:

• Since no consensus could be reached as to the tax treatment of managing directors of companies whose responsibility is restricted to the business affairs of a permanent establishment double taxation resulting therefrom will be avoided unilateraly in Austria on the basis of sec. 48 of the Fiscal Proceedings Code, if this serves Austrian business interests. Germany treats such managers as performing in the country of the head office of the company, whereas Austria treats them as performing in the country of the permanent establishment.

• Payments derived by artistes a for second-time TV-broadcasts are royalties rather than subsequent income from the original performance and are therefore covered by the royalties-article rather than the artiste-clause of the treaty.

• If antennas and satellite dishes fixed on buildings of the ...