ETAF position on the Commission proposal for a Digital Services Tax

On 21 March 2018, the European Commission proposed new rules to ensure that digital business activities are taxed in a fair way within the EU. The Commission has made two legislative proposals: a first initiative to reform corporate tax rules so that profits are registered and taxed where businesses have significant interaction with users through digital channels (so-called comprehensive or long-term solution); a second initiative proposing an interim tax covering the main digital activities that are not effectively taxed in the EU, according to the Commission’s judgement. This position will solely set out the views of the European Tax Adviser Federation (ETAF) on the European Commission “Proposal for a Council Directive on the common system of a digital services tax on revenues resulting from the provision of certain digital services COM(2018) 148”.

ETAF Position paper on the Commission Proposal for a Digital Services Tax