Permanent Establishment risk. Is a business has a steady presence in a state or country outside its home base, it must pay taxes there. So, permanent establishment refers to a corporation that has a taxable presence outside its home territory. Since the business generates local revenue, the host country imposes corporate tax on the business. Need expert advice on managing permanent establishment risks? Contact Us with the Gurcan Partners team for customized solutions and effortless international operations! Please feel free to reach out via email at info@urcanpartners.com