The growth of the digital economy over the last several decades has raised important questions about how to tax corporations that no longer need a physical presence in a country to turn a profit there.
For months, countries in the Organisation for Economic Co-operation and Development (OECD) have been working towards a multilateral solution to this challenge, with the goal of developing a new international tax framework by the end of 2020.
We recently hosted an exclusive Talking Tax Reform webinar discussion to get up to speed on recent developments and gain insight from leading international tax experts on some of the following questions:
- What is the OECD trying to achieve with its digital tax project, what progress has it made, and why is the initiative so important for the U.S. and global economies?
- Why did the U.S. suggest a pause in negotiations and what does it mean for the OECD project?
- The U.S. Trade Representative has announced Section 301 investigations into unilateral digital services taxes (DSTs) in nine countries and the EU, in addition to an earlier investigation aimed at France—why are DSTs problematic and what‘s the risk that disputes devolve into a global tax and trade war?
- Is it possible to get the OECD project back on track and, if so, what’s the best path forward towards a multilateral agreement? If not, where do we go from here?
Tax Foundation President Scott Hodge moderated the panel discussion, which included:
- Cathy Schultz, Vice President, National Foreign Trade Council
- Daniel Bunn, Vice President of Global Projects, Tax Foundation
- Robert Stack, Managing Director, Deloitte Tax LLP, International Tax Group
Original Article Posted at : https://taxfoundation.org/oecd-digital-tax-project-developments/