Finance ministers of European Union are set to discuss changing rules so that technology giants like Google or Facebook are on the list to pay more taxes in Europe. European regulators have become more aggressive and losing their patience against US technology giants which is gaining too much power.
According to European Union document, “It is urgent to close the gap in international tax rules in order to ensure the fair taxation of profits from businesses in the digitalized economy”. Most of the digital platforms operating in the European Union are situated in Ireland which provides a low corporate tax regime to allow internet giants to escape a higher tax rate in other member countries.
National authorities in the European Union have started tax fights with Google and other Internet giants.