Dual resident companies are subject to worldwide taxation in two states. The tie-breaker provision of Art 4 para 3 OECD MC gives priority to the country in which the place of effective management is located. This article analyzes the functions of the tie-breaker rules and examines whether Art 4 para 3 OECD MC also applies in the context of Art 10, 11, and 15 to dual resident companies that make a payment to the taxpayer. The article deals with the meaning of the second sentence of Art 4 para 1 OECD MC and its effect on tax treaties concluded with third states, and also illustrates the new tie-breaker rule for dual resident companies in the 2017 OECD draft model, which solves conflicts on a case-by-case basis through the mutual agreement procedure.