Italy to impose 3% digital tax on global IT giants; U.S. likely to slap retaliatory tariffs

following in the footsteps of France
Italy is going to impose a digital tax on global tech companies the move is
likely to rile the United States which has already been responding to such
measures with retaliatory tariffs eun-jung Mint has the details Italy will follow Frances suit when it
comes to imposing taxes on global IT giant’s which will be unwelcome news for
the US the Italian parliament passed the digital tax into law this week imposing
a 3% levy on revenue for companies that earn more than 750 million euros and at
least 5.5 million euros in Italy the new tax which takes effect New Year’s Day
only targets business-to-business transactions including advertising or
cloud computing services some European countries have been complaining that
American tech companies paid too little in taxes in countries where they have
users Italy’s Parliament passed a digital tax last year as well but put
off its implementation to wait and see if there would be uniform taxation by
the OECD or EU the move however is likely to trigger backlash from the US
which has been criticizing France for its own digital texts on IT giant’s
Washington insists the tax targets American tech firms such as Facebook
Google and Apple in response the Trump administration said it’s going to impose
tariffs of up to a hundred percent on French wine cheese and handbags it has
also warned of similar retaliation against Italy France for his part has
threatened to bring the case to the WTO once the u.s. imposes its retaliatory
taxes benjamine arirang news

Leave a Reply

Your email address will not be published. Required fields are marked *