Britain to United States: We want a trade deal and a digital tax
23/01/2020 07:40
LONDON, Jan 23 (Reuters) - Britain wants a trade deal with
the United States but will impose a digital service tax on the
revenue of companies such as Google, Facebook and Amazon,
business minister Andrea Leadsom said on Thursday.
"The United States and the United Kingdom are committed to
entering into a trade deal with each other and we have a very
strong relationship that goes back centuries so some of the
disagreements that we might have over particular issues don't in
any way damage the excellent and strong and deep relationship
between the U.S. and the UK," Leadsom told Talk Radio.
"There are always tough negotiations and tough talk but I
think where the tech tax is concerned it's absolutely vital that
these huge multinationals who are making incredible amounts of
income and profit should be taxed and what we want to do is to
work internationally with the rest of the world to cover with a
proper regime that ensures that they're paying their fair
share."
Under the British plan, tech companies that generate at
least 500 million pounds ($657 million) a year in global
revenue will pay a levy of 2% of the money they make from UK
users from April 2020.
($1 = 0.7608 pounds)
(Reporting by Elizabeth Howcroft; writing by Guy Faulconbridge;
editing by Kate Holton)
((guy.faulconbridge@thomsonreuters.com; 07825218698;))