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EU Delays Digital Services Tax Amid Rising US Retaliation Threat

  • The European Commission is resisting immediate EU-wide adoption of a Digital Services Tax (DST), despite renewed pressure from France.
  • Brussels continues to prefer an OECD Pillar One global solution for taxing highly digitalised multinationals.
  • The Commission has left open the possibility of an EU digital levy if global negotiations fail, potentially as soon as 2027.
  • In the US, lawmakers are moving to penalise countries that impose DSTs or other taxes viewed as discriminatory toward American businesses.

Source: vatcalc.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.



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