World Trade Organisation`s General Agreement On Trade In Services
6 Measures to ensure fair or effective collection of direct taxes include measures taken by a member within its tax system that apply to non-resident service providers, recognising that the tax obligation is determined by non-residents with respect to taxable property purchased in the territory of the Member State or established in the territory of the Member State , or apply to non-residents to collect or collect taxes on the member`s territory; or apply to non-residents or residents to prevent tax evasion or evasion, including compliance measures, or apply to consumers of services provided in or out of another member`s territory, to ensure that these consumers collect or collect taxes from sources in the member`s territory; distinguishing, distributing or distributing income, profits, profits, losses, losses, losses or credits of residents or branches or between related persons or branches of the same person, recognizing the difference in the type of tax base. The tax terms or concepts in Article XFV (d) and this footnote are defined according to tax definitions and concepts, or definitions and concepts equivalent or similar, in accordance with the national law of the member taking the measure. Article I, paragraph 3 of the GATS excludes « services provided in the exercise of state authority. » These are services that are not provided on a commercial basis or in competition with other providers. In cases, these are social security systems and all other public services, such as health or education, which are provided in non-market conditions. 11 Specific commitments made under this section should not be construed as requiring a member to compensate for the competitive disadvantages arising from the foreign nature of the service providers concerned. One of the most important provisions of the GATS with respect to national rules is Article VI:4, which deals with competency requirements and procedures, technical standards and licensing requirements. In order to ensure that measures taken in these three areas do not constitute unnecessary barriers to trade in services, the GATS requires that these requirements be based on objective and transparent criteria and are not « heavier than necessary to ensure the quality of services ». The GATS provides that signatory governments cannot apply licensing requirements or technical standards in a manner that nullifies or compromises the commitments they have made under the agreement. In addition, Member State governments are encouraged to enter into negotiations on mutual recognition of the qualifications of service providers. The provision of many services often requires the simultaneous physical presence of the producer and the consumer. There are therefore many cases where, in order to be commercially reasonable, trade obligations must extend to cross-border consumer movements, the establishment of a commercial presence in a market or the temporary free movement of the service provider.
The GATS expressly recognizes the right of members to regulate service delivery by pursuing their own policy objectives. However, the agreement contains provisions to ensure that service rules are managed appropriately, objectively and impartially.