The U.S. Senate Finance Committee Chairman Charles Grassley (R-IA) and ranking member Ron Wyden (D-OR) continue to voice concerns with regard to a proposed EU tax on digital services.
Grassley and Wyden late last month sent a joint letter summarizing these concerns to Treasury Secretary Mnuchin. Read the January 2019 letter [PDF 381 KB]
Yesterday, Chairman Grassley made a statement on the Senate floor asserting that the European Commission’s proposal to impose a 3% digital services tax on the revenues of multinational companies would specifically target U.S.-based multinational companies. Grassley urged the Treasury Department to participate in the ongoing digital service tax project at the OECD and to reach consensus on a “long-term, multilateral solution.”
KPMG is hosting a webcast on Friday, February 15, 2019, to address issues relating to recent developments concerning the taxation of the digital economy and the proposed digital services tax. For more information or to register for the webcast, click here.
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.