Commission launches a public consultation on Digital Tax

The European Commission launched a public consultation on Monday 18 January, concerning a new digital levy, which ‘aims to ensure fair taxation in the digital economy’. It is addressed to national and sub-national administrations, businesses, trade associations, NGOs, citizens, workers associations and trade unions, consultancies, think tanks, research and academic institutions. It is especially addressed at stakeholders operating in the digital economy.

In the accompanying press release, it notes that this is because tax systems have not developed alongside global technological developments, resulting in digital companies paying ‘much less tax than they should’, and observes how the COVID-19 pandemic has accelerated the process.<