Posted: Friday, April 12, 2019
The EU has decided to cancel its proposed plans to impose a digital tax on major multinational tech giants, announcing instead that it will wait for the G20 group to implement wider tax reforms. The EU had previously mooted a 3% tax on the EU revenues of tech companies, but the proposals stalled after opposition from some countries in the group. In the absence of any Europe-wide action on the tax plan, the French government is planning its own national tech tax, following the UK’s announcement of a similar tax last year.
Whilst plans for an EU digital tax have been abandoned for now, officials have said that the issue will be revisited should the planned global reforms fall through.