FT: France, Germany plan digital tax compromise

|By:, SA News Editor

France and Germany abandon an EU plan to impose a digital tax on tech companies. The duo will instead propose a 3% tax on digital ad revenue, according to plans viewed by the Financial Times.

The wider digital tax plan would have also included data sales and online platform activities.

Under the Franco-German plan, Facebook (FB +0.9%) and Google (GOOGL +0.5%) would remain targets, but retailers like Amazon (AMZN +4.2%) would be excluded.

The compromise plan will go into effect in 2021 if another global solution isn't reached before then.

Previously: Britain will target tech giants with digital tax in 2020 (Oct. 29)

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