London, Aug 27: Britain’s digital tax is “fair and proportionate”, its government insisted Tuesday after President Donald Trump threatened fresh tariffs on countries seen targeting US tech firms.
Trump’s comments Monday appeared aimed at European countries and others which have created laws regulating the online world.
“The UK’s Digital Services Tax is a fair and proportionate approach to taxing business activities undertaken in the UK, and it remains the UK’s intention to repeal it once an international solution is in place,” a government spokesperson told AFP.
“We will continue to make sure that businesses pay their fair share of tax, including businesses in the digital sector,” they added in a statement.
Earlier Tuesday, the European Commission asserted the EU’s “sovereign right” to regulate the activities of tech giants within the bloc and rejected claims by Trump that its rules unfairly harm US firms.
The UK digital tax, levied on the likes of Apple and Facebook owner Meta, is currently brings in about £800 million ($1 billion) annually to the British government, headed by Prime Minister Keir Starmer.
Media & PR: editor@dailystraits.com. Copyright 2021–Present DailyStraits.com. All rights reserved.