{"id":105290,"date":"2018-12-13T09:30:29","date_gmt":"2018-12-13T09:30:29","guid":{"rendered":"https:\/\/www.bnreport.com\/paris-berlin-to-propose-new-tech-tax-to-save-face-5\/"},"modified":"2018-12-13T09:30:29","modified_gmt":"2018-12-13T09:30:29","slug":"paris-berlin-to-propose-new-tech-tax-to-save-face-5","status":"publish","type":"post","link":"https:\/\/www.bnreport.com\/en\/paris-berlin-to-propose-new-tech-tax-to-save-face-5\/","title":{"rendered":"Paris, Berlin to propose new tech tax to save face"},"content":{"rendered":"

France and Germany will Tuesday propose a new advertising tax for tech giants like Facebook and Google in another desperate attempt to reach a compromise at EU level.<\/p>\n

The new proposal \u2014 obtained by POLITICO<\/a> \u2014 effectively ends the European Commissions proposed \u201cdigital services tax\u201d (DST), which EU finance ministers were expected to vote down Tuesday<\/a> in Brussels at this months ECOFIN meeting.<\/p>\n

The new Franco-German draft levy would target tech companies at a rate of 3 percent \u201con a tax base referring to advertisement,\u201d according to the proposal, which Paris and Berlin completed late on Monday night following talks at the G20 summit in Buenos Aires over the weekend.<\/p>\n

The document makes no reference to taxing company revenues, which was a central concern to countries like Denmark with regard to the DST.<\/p>\n

Frances Bruno Le Maire is set to unveil the new proposal to his peers together with Germanys Olaf Scholz and urge them to agree on it by March 2019 \u201cat the latest.\u201d<\/p>\n

The levy would \u201center into force on January 1, 2021, if no international solution has been agreed upon,\u201d the proposal said. It would then \u201cexpire by 2025.\u201d<\/p>\n

EU tax initiatives require unanimity before they can become law, and its unclear whether the new proposal will satisfy Denmark, Finland, Ireland and Sweden, which rejected the DST for \u201cpolitical reasons<\/a>.\u201d<\/p>\n

\u201cWe know some member states have reservations, these have been made clear in recent months,\u201d an official said. \u201cBut we believe it is essential to find an agreement that is both fair and effective and responds to citizens concerns.\u201d<\/p>\n

Read this next: EU top judge: UK can unilaterally withdraw Article 50<\/a><\/em><\/h2>\n

Original Article<\/a><\/p>\n

[contf] [contfnew] <\/p>\n

<\/a><\/h5>\n","protected":false},"excerpt":{"rendered":"

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