Reasons and consequences of the double taxation of the income of representatives of the entertainment industry and sports from international activity

Double taxation on income of entertainers and sportsmen performing abroad is deemed to remain one of the main stumbling blocks for international professional activities of these taxpayers group due to existence of international tax regime which allows income source countries to tax part of income derived from participation in entertaining and sport events that take place on their territories. The given paper presents a complex scrutiny of tax environment that leads to extra tax burden for athletes and artists. With aim to reveal the reasons for application of aforementioned special tax regulation the author analyses national tax practice of some countries, evaluates their setbacks and potential for mitigation the negative consequences.