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Three imperatives for taxing the digital economy

Feb 18, 2019
The digital revolution is transforming economies, business models and the lives of all citizens. It is dramatically impacting every aspect of economies, including the tax base and governments' ability to raise revenues. Addressing the tax challenges posed by the digital economy is a global tax policy priority, and of great importance for the global accountancy profession.

IFAC CEO, Kevin Dancey, recently published an article outlining three imperatives for taxing the digital economy, in which he stresses the need for global collaboration on policy development and a focus on developing tax policy which enhances trust in tax systems. The full article can be accessed here.

To address the challenges posed by the digital economy, the OECD has published a public consultation on the topic, which will be open for comment until Friday 1 March 2019.

The OECD proposals go beyond a focus on strictly digital companies and are likely to have practical implications for all businesses with cross-border operations. As such, this work will be widely impactful – and it is moving very quickly.

IFAC encourages you to view the OECD consultation and to add your voice to the global conversation by 1 March 2019.

Source: The International Federation of Accountants.