The Spanish Tax Authorities, in their binding consultation V0066-22, dated 18/01/2022, analysed the possible consideration of Permanent Establishment (PE) of a company resident in the United Kingdom derived from the displacement to Spain of one of its employees to telework from his home.
In this case, as this was a unilateral decision by the employee, without the British company bearing any costs, it is understood that his home is not at the disposal of the company and, consequently, does not constitute a fixed place of business or, therefore, a PE.
