CCIA Critical of U.K. Budget’s Inclusion of Digital Services Tax

BY Heather Greenfield
March 11, 2020

Washington — The United Kingdom presented its 2020 Budget which announced that the UK will move forward with legislation to introduce a digital services tax of 2 percent. The tax would be paid on an annual basis, with accruals beginning April 1, 2020.

The Computer & Communications Industry Association has long warned against discriminatory Internet taxes, and has called for an appropriate response from U.S. officials. CCIA remains supportive of the ongoing work taking place at the OECD to reach lasting solutions regarding taxation.

The following can be attributed to CCIA President Matt Schruers:

“At a time when the U.S. is poised to begin negotiations with the UK on a comprehensive free trade agreement, the UK’s decision to follow other countries in pursuing discriminatory taxes against U.S. exporters is unfortunate and will threaten the strong U.S.-UK trade-in-services relationship. Rather than pursuing taxes that guarantee trade conflicts, countries must remain committed to the ongoing multilateral process at the OECD to achieve lasting solutions.”

For media inquiries, please contact: Heather Greenfield hgreenfield@ccianet.org

 

Related Articles

CCIA Opposes U.K. Digital Services Tax

Apr 1, 2020

Washington —  The UK’s Digital Services Tax came into effect today. This follows the UK’s March 11 release of its 2020 Budget which announced that the UK will move forward with legislation to introduce a digital services tax of 2 percent. First payments under this new tax will be due in 2021.  The Computer &…

USTR Releases Annual Report Identifying Digital Trade Barriers

Mar 31, 2020

Washington — The U.S. Trade Representative has issued its annual National Trade Estimates (NTE) report that noted the expanded use of digital trade barriers by trading partners. For the 2020 Report, USTR reiterated concerns with the rise in digital services taxes, restrictions on cross-border data flows and data localization requirements, Internet censorship, and online content-based…

CCIA Europe Offers Recommendations On How To Calculate European Audio Visual Works 

Mar 13, 2020

Brussels, BELGIUM — The Computer & Communications Industry Association (CCIA) contributed to the European Commission’s consultation on new guidelines under the revised Audiovisual Media Services Directive (AVMSD) today. A main issue to resolve is how to calculate the share of European works in the catalogues of video on demand (VOD) services. CCIA said the same…