EU Merchants Slam Digital Tax Plan for Boosting China

• Online platform levy favors non-EU companies: merchants

• Demand for economic impact assessment

EU-based online merchants insist an upcoming European Commission digital tax proposal targeting online platforms such as Amazon and Airbnb will drive sales out of Europe to non EU-based companies, especially those in China.

Ecommerce Europe, which represents 75,000 companies selling goods and services online, warned in a letter to the commission that the scope of the revenue-based digital service tax (DST) on “intermediate services” needs further evaluation. The structure of the proposal’s digital tax would ensnare companies with European headquarters for EU operations, but excuse companies ...