Digital dilemma

"Digital taxation is no longer a question of “if” – this ship has sailed", said European Commissioner Pierre Moscovici.

There is a widespread view among policymakers that the international tax system needs reforming to address the digital economy. In recent months, we’ve seen pronouncements from the UK government, the OECD and the European Commission. But it’s one thing to identify the problem, and quite another to deliver a workable and effective international solution…

Unilateral measures - In the absence of multilateral consensus, many jurisdictions have begun to formulate unilateral rules to tax the digital economy. Ben Jones, Susan Seabrook, Sebastiano Sciliberto and Georgina Jones (Eversheds Sutherland) explain which countries are doing what.
The UK government’s position- The government would prefer a multilateral solution, but makes clear that it will press ahead with a sub-group of like-minded countries, or alone if necessary, writes Heather Self (Blick Rothenberg).
The OECD’s view - One of the most striking aspects of the OECD’s interim report is the difference of opinion among the 113 BEPS inclusive framework members, reports Alenka Turnsek (PwC).
The European call to arms - Murray Clayson (Freshfields Bruckhaus Deringer) considers recent OECD and EC activity surrounding the taxation of the digital economy, and he asks, could this trigger an American/European tax trade war?
A closer look at the EC's digital services tax - Sarah Gabbai and James Ross (McDermott Will & Emery) examine how the EC's proposed 3% DST works and which activities would be caught.
Dead in the water? Karen Kwan (KPMG) thinks it unlikely that the EC's interim measures will be unanimously adopted by member countries, but reports growing pressure on the OECD to deliver a multilateral solution sooner than previouisly expected.

Categories: Analysis , Compliance , Corporate taxes , Corporation tax , Groups , International taxes , digital tax reform

"Digital taxation is no longer a question of “if” – this ship has sailed", said European Commissioner Pierre Moscovici.

Unilateral measures - In the absence of multilateral consensus, many jurisdictions have begun to formulate unilateral rules to tax the digital economy. Ben Jones, Susan Seabrook, Sebastiano Sciliberto and Georgina Jones (Eversheds Sutherland) explain which countries are doing what.
The UK government’s position- The government would prefer a multilateral solution, but makes clear that it will press ahead with a sub-group of like-minded countries, or alone if necessary, writes Heather Self (Blick Rothenberg).
The OECD’s view - One of the most striking aspects of the OECD’s interim report is the difference of opinion among the 113 BEPS inclusive framework members, reports Alenka Turnsek (PwC).
The European call to arms - Murray Clayson (Freshfields Bruckhaus Deringer) considers recent OECD and EC activity surrounding the taxation of the digital economy, and he asks, could this trigger an American/European tax trade war?
A closer look at the EC's digital services tax - Sarah Gabbai and James Ross (McDermott Will & Emery) examine how the EC's proposed 3% DST works and which activities would be caught.
Dead in the water? Karen Kwan (KPMG) thinks it unlikely that the EC's interim measures will be unanimously adopted by member countries, but reports growing pressure on the OECD to deliver a multilateral solution sooner than previouisly expected.