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EU to propose new tax principles for on-line sector in 2018: Juncker

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The European Commission will propose new principles following calendar year to assure that the on-line sector pays its honest share of taxes, its president Jean-Claude Juncker claimed on Friday.

President of the European Commission Jean-Claude Juncker listens at a information meeting throughout the European Union Tallinn Digital Summit in Tallinn, Estonia, September 29, 2017. REUTERS/Ints Kalnins

TALLINN: The European Commission will propose new principles following calendar year to assure that the on-line sector pays its honest share of taxes, its president Jean-Claude Juncker claimed on Friday.

Critics say on-line firms these types of as Google or Facebook pay out as well tiny tax in the EU by routing profits to very low-price nations around the world these types of as Luxembourg or Eire. The EU has threatened to go ahead on your own fairly than wait around for the world’s prosperous nations to obtain an accord.

“We are of the viewpoint that in the digital sector, tax has to be paid out the place it is thanks, be it on-line or be it offline,” Juncker advised a information meeting right after a summit of EU leaders in Estonia.

“The Commission will propose following calendar year new principles on honest and helpful taxation that offers legal certainty and a stage enjoying industry for all,” he added.

Not all EU nations around the world agree on how the digital sector need to be taxed, but Juncker claimed he considered they would reach a offer.

(Reporting by Philip Blenkinsop and Robert-Jan Bartunek Editing by Alissa de Carbonnel)



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