The OECD’s Committee on Fiscal Affairs has agreed to modify the OECD **Model Tax Convention**, which serves as a basis for most negotiations between countries on tax matters, by including the possibility of arbitration in cross-border disputes if they remain unresolved for more than two years.

A new OECD report, ***“Improving the Resolution of Tax Treaty Disputes”***, was released today and addresses a number of issues relating to the Mutual Agreement Procedure (MAP), the mechanism provided by tax treaties to resolve disputes between the countries that sign these treaties.

The Committee on Fiscal Affairs also has published on the OECD Internet site a web-based manual setting forth 25 best practices to help countries to improve the existing mechanisms for resolving disputes.