Target companies like Alphabet and Facebook: Digital technology companies operating in the European Union could face a tax of 3% on gross revenue, according to a European Commission proposal that he published η Bloomberg.
Earlier plans suggested a contribution to the 2 range of up to 6 percent, as EU countries are exploring new ways to tax large technology companies such as Alphabet and Facebook.
Under the new plan, the companies technologys with worldwide total revenue of more than €750 million ($920 million) and total taxable annual revenue from the provision of digital services in the EU of more than €50 million will be subject to the new levy.
The contribution will be increased according to the income from advertisements, revenues from users, subscription services and revenues from the sale of data to third parties.
The European Commission expects to raise €5 billion a year from the new tax, according to draft proposals reviewed by Financial Times. The plan, which is expected to be proposed on March 21, will need unanimous support from all 28 EU members to come into effect.
The levy is not high enough, French Finance Minister Bruno Le Maire said earlier this month:
"It's a starting point. I prefer a law that will be implemented very quickly and not endless negotiations. ”
EU countries like Ireland with low tax rates could vote against the upcoming bill as it is currently the favorite country of technology companies and of course it would not want to share it with the rest of the European Union.
- Cambridge Analytica - Facebook: how Trump won the election
- Google Earth Pro v7.3.1 full installers for all platforms